Friday, January 06, 2006

a difference of opinion

The difference in the philosophies of the Ford Motor Company and General Motors forecasts big trouble for one of them. You guess which one.

"Ford Motor Chairman Bill Ford summed up what other executives have also said: 'We know that the days of unlimited, inexpensive gasoline are over, and we are planning our product lineups accordingly.'"


Ford Article


"GM historically has dominated the large end of the SUV market with its Suburban, Tahoe and Yukon models, but sales of all three have tumbled this year, including a 26 percent drop for the Suburban. GM executives acknowledge that concern over fuel prices has played a role but say the main reason is the models have gotten stale and consumers are anticipating a major redesign. “The bottom line for us is the utility market remains the largest category in the industry,” said Paul Ballew, GM's executive director of global market and industry analysis. 'We are anticipating we will maintain our share of a stable market that is still very profitable.'"

GM Article

I added the emphasis but one thing’s for sure, the oil market over the next few years will be anything but stable.

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