Comments on: New US challenger enters bidding on Volvo http://www.caradvice.com.au/43599/new-us-challenger-enters-bidding-on-volvo/ Resource for Car Reviews, News, Advice, Road Tests, Green Cars, Hybrids Sat, 11 Feb 2012 15:21:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: max no longer mad http://www.caradvice.com.au/43599/new-us-challenger-enters-bidding-on-volvo/#comment-158833 max no longer mad Thu, 08 Oct 2009 11:52:15 +0000 http://www.caradvice.com.au/?p=43599#comment-158833 I just can't see this working. If you look at the history of private equity firms buying car companies, they just don't work. Phoenix bought Rover cars from BMW and lasted a few years. Same with Cerebus buying Chrysler. And in both those cases, they paid almost nothing. With the Crown buy out, the have to service the huge debt to buy Volvo, then run the company, build cars, then invest the billions needed for the continual updates required to remain competitive. I just can't see them lasting. For what its worth, I think the same will happen with the Magna buyout of GM Europe. GM USA have been very clever. They have or will, retain a small shareholding. In a few years when Magna is in trouble, GM will step in and buy it back for next to nothing. Well thats my take on it anyway. I just can’t see this working. If you look at the history of private equity firms buying car companies, they just don’t work. Phoenix bought Rover cars from BMW and lasted a few years. Same with Cerebus buying Chrysler. And in both those cases, they paid almost nothing. With the Crown buy out, the have to service the huge debt to buy Volvo, then run the company, build cars, then invest the billions needed for the continual updates required to remain competitive. I just can’t see them lasting.
For what its worth, I think the same will happen with the Magna buyout of GM Europe. GM USA have been very clever. They have or will, retain a small shareholding. In a few years when Magna is in trouble, GM will step in and buy it back for next to nothing. Well thats my take on it anyway.

]]> By: click http://www.caradvice.com.au/43599/new-us-challenger-enters-bidding-on-volvo/#comment-158752 click Thu, 08 Oct 2009 05:58:51 +0000 http://www.caradvice.com.au/?p=43599#comment-158752 In Carmaker’s Collapse, a Microcosm of South Korea’s Woes NYTimes “Chinese company BOE got the technology they wanted. All we got was layoffs,” said Hwang Pil-sang, a Hydis worker." “We trusted their promise to help us into the vast Chinese market,” Mr. Yang said. “In the end, they kept none of their promises, and they got what they wanted: our technology.” http://www.nytimes.com/2009/02/24/world/asia/24seoul.html?pagewanted=1&_r=2&ref=asia ------------------------ not surprise. After Chinese company get the technology they wanted, They will kill world automotive industry with cheap price volvo. Volvo workers in sweden will replace by cheap pay chinese workers soon. In Carmaker’s Collapse, a Microcosm of South Korea’s Woes
NYTimes

“Chinese company BOE got the technology they wanted. All we got was layoffs,” said Hwang Pil-sang, a Hydis worker.”

“We trusted their promise to help us into the vast Chinese market,” Mr. Yang said. “In the end, they kept none of their promises, and they got what they wanted: our technology.”

http://www.nytimes.com/2009/02/24/world/asia/24seoul.html?pagewanted=1&_r=2&ref=asia

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not surprise.
After Chinese company get the technology they wanted, They will kill world automotive industry with cheap price volvo. Volvo workers in sweden will replace by cheap pay chinese workers soon.

]]> By: Carfanatic http://www.caradvice.com.au/43599/new-us-challenger-enters-bidding-on-volvo/#comment-158716 Carfanatic Thu, 08 Oct 2009 03:28:05 +0000 http://www.caradvice.com.au/?p=43599#comment-158716 as they have worked for Ford in the past, I'd certainly be investigating it. as they have worked for Ford in the past, I’d certainly be investigating it.

]]> By: Shak http://www.caradvice.com.au/43599/new-us-challenger-enters-bidding-on-volvo/#comment-158706 Shak Thu, 08 Oct 2009 02:41:03 +0000 http://www.caradvice.com.au/?p=43599#comment-158706 Have you ever wandered that the Company selling the company may ask another company in secret to place a bid to try and get the highest bidder to raise their price. I know this would somehow be illegal but in reality you could not prove it could you. I think thats what many car companies do to try and flog off their dodgy merchadise for high prices. Ford could have asked these new comers to try and place a false bid to get Geely worried and in response Geely would post a higher bid if they really wanted the brand. Some food for thought. Have you ever wandered that the Company selling the company may ask another company in secret to place a bid to try and get the highest bidder to raise their price. I know this would somehow be illegal but in reality you could not prove it could you. I think thats what many car companies do to try and flog off their dodgy merchadise for high prices. Ford could have asked these new comers to try and place a false bid to get Geely worried and in response Geely would post a higher bid if they really wanted the brand. Some food for thought.

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