Global Economy a Failure For GM......

What we always hear is that we are living in a global economy. It is not just about the United States. Corporations NEED to send jobs all over the world so they can then sell into those markets. The days of it only being about the USA are over. Americans are not guaranteed jobs because today it is about the entire world.

Yet……

What we see (once again) is it is NOT about the rest of the world at all. The rest of the world does not have the buying power that the United States has. The very thing that corporate America DESPISES about Americans (our higher standard of living and wages) is the very thing corporations depend on to make their money. By getting rid of US jobs in effect corporations are chopping off their legs and then they wonder why they are having a hard time standing up.

Nobody in Russia is buying GM cars. I could have told GM that years ago and now they wouldn’t look so foolish. They should really call me on these things. Nobody in India is buying them either. Nor Brazil…..Nor China. We hear all about the 1 Billion people in China and how they are so incredibly important. Yet the GM cars just sit there in Chinese show rooms collecting dust.

It is all just nonsense. The magical global economy is a fairy tale with no basis in reality.

http://www.forbes.com/…/gm-says-it-wont-throw-good-money-a…/

Political turmoil in Russia, combined with a weak economy and lower-than-expected vehicle sales, convinced General Motors that it just isn’t worth sinking more money into the once-promising market.

GM announced today that it will idle a factory in St. Petersburg and stop selling Opels and most mainstream Chevrolets in Russia by the end of the year.

Russia, one of the BRIC countries, along with Brazil, India and China, has not lived up to automakers’ expectations as the next big market for automobiles.

over the past 15 months, GM has announced plans to pull Chevrolet out of Europe, stop producing vehicles in Australia and Indonesia and restructure its business in Thailand. Those decisions eliminated $500 million in annual losses and avoided $1.5 billion in investment over the next four years. (Yay…..Global Economy)