Bush says the American worker can compete with anyone. Which American worker - the one with stupid management or the one with smart management. Take automobiles for example (since I am shopping for one. Honda and Toyota get good reviews while most of the others have strings of complaints). Local sentiment about the layoffs at GM and Ford is that the unions brought it on themselves. Now I don't see how the unions caused the car companies to design crap no one wants to buy. Actually, buying "American" is pretty hard when they are us and we are them. Here are a few facts I found:
Approximately
80 percent of the Honda's cars and light trucks sold in North America are produced here as well.
Ford has plenty of money to expand to
China. Japan’s automakers
investment in the U.S. has climbed to $17.5 billion since 1987. Nearly 50,000 Americans are employed directly by the manufacturers, while more than 230,000 sell Japanese-branded vehicles at 7,000 dealerships, according to the Japan Automobile Manufacturers Association (JAMA). At the same time, US is investing in foreign car companies. GM holds a 20% equity stake in Fuji Heavy Industries Limited; GM holds a 49% equity stake in Isuzu Motors Limited; Ford holds a 33.4% equity stake in Mazda Motor Corporation; DaimlerChrysler holds a 37% equity stake in Mitsubishi Motors Corporation; Renault holds a 36.8% equity stake in Nissan Motor Co. Ltd; Renault holds a 22.5% equity stake in Nissan Diesel Motor Co., Ltd; GM holds a 20% equity stake in Suzuki Motor Corporation. Would they be better cars if American management didn't have large interests?
Japanese plants are run much more
efficiently because of better management.
The
number of Japanese auto plants in the United States has grown. There were 11 in 1993; 28 are expected to be operating this year, according to the Japan Automobile Manufacturers Association. Although foreign companies employ less than a quarter of U.S. autoworkers, their growing presence looms large over the strategic decisions of both the corporate managers and the union officials at their U.S. rivals.