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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?


To: TH who wrote (26667)3/31/2005 2:17:05 PM
From: orkrious  Read Replies (2) | Respond to of 116555
 
so maybe there is more to this decision than would appear on the surface.

I don't think so.

IMHO the only reason they are doing this because they were gonna bring these SUV's out a few months later anyway. speeding things up would save them some money if the cars were gonna sell. I doubt they sell though, they are much more likely to just sit.

the car companies aren't smart enough to say...ummm, maybe we should cancel the new SUVs and concentrate on cars. either that or they are smart enough to know they are f*cked no matter what. they can't design cars well enough to sell, and even if they could, the unions aren't flexible enough to allow them to make them profitably.



To: TH who wrote (26667)3/31/2005 2:43:49 PM
From: ild  Read Replies (1) | Respond to of 116555
 
TH, thanx for the great update.

He told me that raw material increases, as well as energy cost, are starting to put mature programs into the red. This is condition that will lead to death, as there is no way out for the supplier as they MUST continue to supply, and as many as four years could be left on a given program.

Can you elaborate more? Why "MUST"? What if raw material and energy just keep increasing?