economy or what???

Discussion in 'General Industry Discussions' started by Tim Louis, Apr 8, 2005.

  1. Soupy

    Soupy LawnSite Gold Member
    Posts: 3,125

    You can't tell me that the reason these auto makers are losing money is because it cost to much to build auto's. They have plenty of profit worked into prices. Maybe if they would lower their MSRP's they might sell more product and make some money. There is more steel put into a single wide Mobile home and they can be purchased cheaper then many auto's.

    Believe me if the economy was that bad then the auto manufacturer would lower their prices. They must think it is doing ok to keep prices up. I remember when they did believe the sky was falling and every manufacturer on earth had 0% financing and rebates out the yingyang. Interest rates have went up 6 times recently because things are on the rise.

    The real truth is Toyota etc. are hurting sales from Ford etc. They now have their 1/2, 3/4 ton truck lines that are hurting sales on the big 4.


    Just like when people were scared into building fall out bunkers. They soon found out the world was not ending and lived many prospered years. I repeat! Do not believe everything you hear! Look into your own wallet and tell me times are tough. Remember the stories of how families were considered rich if they owned 2 cars and had a TV, powered clothes washing machine, etc.

    Sure there a millions of americans over spending, but it's by choice and if they thought the sky was falling they would buy a 150grand house instead of a 300grand house. Man imagine having to settle for a 150 grand home. By the way, if the sky was falling then the 300 grand homes would be 150 grand. New neighborhoods are popping up all over the place and these are not your average home either. If things were so bad then these neighborhoods wouldn't be putting in lakes and golf coerces.

    How many times do you see the take out restaurants delivering food around town. I spent $50 on take out tonight and I'm sure many americans had the luxury of ordering out tonight. Things are really bad though.

    Sorry for the rant, but we have it easy compared to our parents generation and sitting around complaining is a slap in their face.
     
  2. pagefault

    pagefault LawnSite Senior Member
    Posts: 492

    Toyota makes more profit than all three US companies combined. Toyota charges about the same for their cars. If the big three lower their prices to sell more cars, won't that make them lowballers? They're already scrubs, based on the quality of their products.
     
  3. DGI

    DGI LawnSite Member
    from SE Mich
    Posts: 173

    While it is true that probably no one in this thread truly understands how the various factors compound one another, and in which order they affect things, your analysis is hollow. What % of that "growth" was funded by credit? That is to ask: what is the proportion of the overall net GDP change to the trade deficit (an inflow from capital from the rest of the globe) ?

    GDP figures mean little when the job creation can't keep up. The US economy continues to perform a delicate balancing act, with its structure ever more resembling that of a spinning top that is slowing down.
     
  4. Remsen1

    Remsen1 LawnSite Bronze Member
    Posts: 1,020

    Yes but it takes many more machines (made of steel incidentally) and many more people to build a truck than it does to build a mobile home. I don't see too many single wide mobile homes that are cheaper than trucks, but I have seen some. Secondly, most dealers around here ARE offering $8,000 to $10,000 manufacturer rebate off MSRP, but they are still not selling enough. Why? Cause few people can afford trucks as in the recent past.

    "The real truth is Toyota etc. are hurting sales from Ford etc. They now have their 1/2, 3/4 ton truck lines that are hurting sales on the big 4. "

    This is only having a minimal effect on the sales of Ford and Chevy.

    "Just like when people were scared into building fall out bunkers. They soon found out the world was not ending and lived many prospered years. I repeat! Do not believe everything you hear! Look into your own wallet and tell me times are tough. "

    I AM!!!

    "Remember the stories of how families were considered rich if they owned 2 cars and had a TV, powered clothes washing machine, etc. "

    I have heard of these times, but back then this stuff was considered high-tech and was relatively far more expensive compared to the costs today.

    "we have it easy compared to our parents generation"

    I guess that would depend on when your parent's generation was. My parents were my age in the early 80's. They didn't have it any worse than I do now. People of my parent's generation are complaining far more than I am by the way, so are they slapping themselves in the faces?
     
  5. dvmcmrhp52

    dvmcmrhp52 LawnSite Platinum Member
    from Pa.
    Posts: 4,205

     
  6. dvmcmrhp52

    dvmcmrhp52 LawnSite Platinum Member
    from Pa.
    Posts: 4,205






    Ford's profits dropped?
    Yesterday they beat estimates.............and their stock rose..............



    "Bloated inventories"


    Exactly. The big three have been churning out vehicles for quite a while, the cycle is in the downturn now as it always ends up doing. Demand for new vehicles is not an unending pot of gold, sooner or later demand will drop off until those vehicles begin to age and the buying begins again. No rocket science here............... no different than the tech bubble created during clinton's years, you had to be a fool to believe it could continue.
     
  7. dvmcmrhp52

    dvmcmrhp52 LawnSite Platinum Member
    from Pa.
    Posts: 4,205

     
  8. pagefault

    pagefault LawnSite Senior Member
    Posts: 492

    People were talking about it. Not enough people were listening.
     
  9. scraper69

    scraper69 LawnSite Senior Member
    from mi
    Posts: 477

    you've gotta admit, during Clintons term - we were all doing better, jobs, profits, NO usles WARS! The country was overall good. Not saying he was the best pres. but he was close.
     
  10. dvmcmrhp52

    dvmcmrhp52 LawnSite Platinum Member
    from Pa.
    Posts: 4,205



    Fewer people by far were talking about it then in comparison to the many doomsayers of today.............Maybe it's just my perception of things.......................
     

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