So what are the conditions basically I asked myself. This is what I’ve seen and have ascertained thus far to date.
All entities involved have been dragging their feet. The relationships are not looking at the long term greater good, nor being flexible or socially equitable in this condition that all entities have a hand in creating as far as I can see. Management must have something to manage that can be competitive in the marketplace. Labor through their unions must be realistic as to what are ‘market-real’ contracts and plan and train their membership to adapt to the ‘market-real’ conditions that are more like physics than egos or opinions of yesterday when there was more to go around. ‘Market-real’ includes ‘right-sizing’ not only labor’s wages and benefits but also ‘right-sizing’ managements salaries, bonuses, perks, benefits, etc. to be proportional without the archaic emotional component of greed.
What is coming and coming soon is the ‘C’ word, consolidation within the Auto Parts Industry Sector to handle the global competition that is forcing prices ever lower, a seeming never ending cycle.
This headline a few days ago drew some interest, “Visteon spin-off firm stirs interest“, and I’m not the only person seeing these kinds of articles as more than filler for a special interest news publication.
John (CarGuru Sr)