VW may axe Taos and Jetta under restructure
- Thread starter wemay
- Start date
Those decisions cannot be that hard because the CEOs usually get a pretty substantial pay bonus afterwards.
I remember when CEO Stemple announced GM layoffs the size of Chrysler. He got a big fat bonus. I think it was CEO Toyoda or someone who said, "If I made that announcement my job would be the first to go."Those decisions cannot be that hard because they usually get a pretty substantial pay bonus afterwards.
And I think if western corporations did something similar to the leaders, or at least gave them a substantial pay cut, we would see a much different and more thoughtful decision making process from these leaders.
Easier said than done.
There most underutilization of factories is in Germany. As discussed, one of the German provinces has 20% of the board of director vote.
The next most underutilized is in China. Abandon largest auto market on earth? Likely the correct plan at this point, but very hard to do in a globalized world.
Close plants in other countries, like USA? Easy to do, but were moving to a world of protectionism - not just here. So you close the plants in a country you may very well not be able to sell there competitively in the near future.
They have a series of very hard choices to make. There are two many car companies for what amounts to a shrinking pool of buyers, and countries like USA and China not wanting to make it easy to import foreign cars. VW is the poster child of globalism, and maybe one of its first casualties as it implodes.
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Very hard to do layoffs in Germany because the worker councils have board seats. No one gets laid off until the firm fails and then everyone gets laid off
Everyone needs to shrink there footprint, with declining global sales due to aging populations and the Chinese market becoming untenable for most, not to mention Chinese exports.
VW is going through it. Nissan is half way through it. Honda is just learning there going to need to do it.
Ford and GM will continue to do fine until the taxpayer 179 funding isn't enough, then they will simply get more direct taxpayer funding.
There is a continuing Stellantis share price thread ongoing.
Toyota might have saved themselves staying away from the whole EV capex toilet to begin with, but even they will need to cut at some point.
VW is going through it. Nissan is half way through it. Honda is just learning there going to need to do it.
Ford and GM will continue to do fine until the taxpayer 179 funding isn't enough, then they will simply get more direct taxpayer funding.
There is a continuing Stellantis share price thread ongoing.
Toyota might have saved themselves staying away from the whole EV capex toilet to begin with, but even they will need to cut at some point.
Nothing is immune from the Product Lifecycle.
I was briefly looking at them for work / travel a few months ago. I joined a couple facebook groups to get an idea on them. It appears a lot of people have constant problems with the infotainment systems and a large number of the vehicles end up blowing the head gasket before 30,000 miles. Quality on the Taos is quite low, apparently.
Nissan is cutting the wrong models.
There really should be more Versas and Altimas selling. Especially with how the economy , gas prices are looking at the moment.
I see lots of those Taos suv's and some Jettas around here. Looks like a stupid move to me. They're definitely stupid enough to think those that will show up to buy either will upgrade to a much more expensive larger SUV on a whim as if customers are made of money but will discover that they will walk instead.
The Sentra outsold the Versa in both USA and Mexico - its intended markets. So they got rid of it. I don't think the Sentra or Maxima are going anywhere.
Nissan has other small cars for rest of world, like the Note and they have focused on small SUV's which most of the world wants now - like the Kicks.
They also killed off the Titan finally - another good vehicle that never sold.
There lineup in the USA really isn't that broad. I would say the only thing redundant at this point is maybe the Murano.
Murano is still sold?
I can't remember the last time I have seen one on the road.
They sold 42K units in the USA last year. Not a lot, but not none. I suspect profit margin on them is high. I see them around.
I see the Mavericks advertised in the high 20s. Absolute stripper XL around $27K.
