Posted by Gilmour Poincaree on November 18, 2008

November 18, 2008 at 10:40 am

I want to begin with this quote I pulled from Newyorktimes … quoting ROBERT JOHNSONfrom a long time ago.

So how did the famous 1953 quotation from the former General Motors president Charles E. Wilson — that what was good for our country was good for G.M., and vice versa — become a dated notion to so many people?

How true is that… I often do today’s companies abuse this government and walk on it’s people. Instead of helping the economy, so many giants have fallen and as they topple they wish to be propped up by the government… and in all seriousness… in turn propped up by us, the American people.

Now onto the next reasoning behind my theory in American Auto-Maker failing.

3. Tying up the new ways of fuel in lawsuits and legal battle’.

Both fuel makers and car manufactures were trying to tie up the development of alternative non-”gas” car types and energies. Other’s just refuse to take part. Such as Exxon… (link provided)

Last year, Exxon, which is based in Irving, Texas, celebrated its 125th anniversary, marking a straight line that connects it to John Rockefeller’s original Standard Oil Trust before the government broke up the enterprise. While other oil companies try to paint themselves greener, Exxon’s executives believe their venerable model has been battle-tested. The company’s mantra is unwavering: brutal honesty about the need for oil and gas to power economies for decades to come.

And to be honest, brutal prices are also well within many of these fuels companies and car companies mantras. Another great point is some of the great in’s and outs of legal/political things some of the automakers delve into… lobbying.

So far this year, G.M. has spent $10 million on lobbying, out of $95 million in the past 10 years,placing it at No. 16 on the site’s “top spenders” list.

Ford, which ranks No. 19 on the list, has spent $5.7 million this year, out of $80.6 million the last decade.

And the next great fail of both gas/car companies are their will to not change. The strangle hold on oil and the strict standard for car makers all are there to drive out competition and keep prices high. Although this is mainly targeted at auto makers… fuel and the automobile go hand in hand… and often think the same.


Oil is not safe, and oil companies do not follow proper precautions. One of our worst ecological disasters ever, the Exxon Valdez oil spill, recently had its punitive damages reduced from what once totaled $5 billion to $500 million. And such pandering to an industry that can afford to pay for the damage they have done, even over a twenty-year span, if not within a year, should have to do so, as this would deter future careless hiring practices and other precautions not taken, both of which contributed to this disaster. And don’t forget Grist’s note, above, of the hundreds of instances of damage from hurricanes (which come by every year, by the way). The oil industry is more confident that they can get off easily when they make mistakes, and are therefore less likely to take necessary precautions.

Both industries see the government as a scape goat. The car makers of America probably feel as though they can just receive help and get off easy when it comes to repaying its debt of following its protocols. As

Barack Obama has said the auto industry should get assistance, “I think that it can’t be a blank check,” he said Sunday on “60 Minutes.”

Maybe, some of this money should have been spent in developing… or investing… or research? Maybe? The same companies that tried to lock up the production and research of Hydrogen fueled cars, by stating that people would be unsafe… that in effect they would be driving hydrogen bombs. Long story short.. the ruling went against them after many years stating that… in order to have a Hydrogen bomb you need uranium… of which a Hydrogen cars don’t have.

In any even, these companies should spend less money and time on stopping new technology and research and more time figuring out a way to secure a future. A lot of problems could be solved from these companies if less time was spent tying up other companies and events and focus on a good business model… one that focuses less others and more on the industry itself.



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