General Motors has grabbed more than its share of headlines lately - and many of them not so flattering. The economic meltdown in our banking and financial markets has exposed the Auto Industry in ways that no one could have predicted. The reliance on credit from a wide variety of partners including Material Suppliers, Manufacturers, Logistics Companies, Dealers, and ultimately consumers. The reality is that the Auto Industry in the US is built upon a series of credit backed transactions. And when the banking system began to collapse last year, it brought the auto industry to its knees. It has been well documented that New Vehicle sales in the US have collapsed from a high of about 18 million new units just a couple of years ago to an annualized pace of just 8.5 million units so far this year.
While virtually all auto manufacturers have seen annual sales declines of about 40%, the domestic companies, in particular Chrysler and General Motors, have been brought to the brink Bankruptcy - with Chrysler slipping over already. This brings me to my point - how is it that our current Federal Administration, aka President Obama and his 'Automotive Task Force', is dictating how this all plays out? Did I miss something in the last election cycle? When the political machine called out for CHANGE, did they literally mean for us to understand that they intended to Change most of the business principles our great country has been built on? What am I missing?