kane

I guess, in the end, it depends on what their restructure plan is. If they are actually going to make major changes within their companies and positions themselves in a way that allows them to compete in the future I think saving them is a good thing. If they are just going to use the money to keep them afloat for a few more years in hopes that the economy picks up and people start buying again then no, they shouldn't get the money.

If they fail other car companies may sprout up, but I think the damage done to our economy would greatly reduce their chance of succeeding and competing. People will still buy cars. They will just buy honda or Toyota or whatever is still out there. You could even argue that those companies will grow because they will be getting new customers who were previously loyal to one of the big 3. If a new company comes along they will have to have the capitol to start up, build a nationwide sales team (I suppose they could buy up the vacant property from the failed big 3) and then convince the American people to buy their cars in a large enough number to help keep them around. That is not going to be an easy thing to do. when it comes to cars people like a name they know. Names like ford and chevy and jeep and honda and toyota have been around for decades and have built a following and the trust of the buyer. Something new will have to compete with that and during an economic down turn it will be very hard.

I'm not saying it can't be done, but it will be very difficult for them to succeed and last. I think it is worthwhile to look into helping these car companies. After all they are looking for a loan, not a handout like the banks and financial companies are. We should at least take a long look at it and determine what is best for them and the country as a whole.