Car Companies In Trouble

December 22 2008, 11:19pm

The crisis facing the automotive industry hit home yesterday as Toyota revealed that they will make their first operating loss in 70 years.

Now if that were a small company having their first loss in 70 years is pritty good by any standards. Just like setting up a company the first 3 years are likely to make a loss but when you hit that 4th year you should really be looking to recoup those losses.

I think that these car manufacturers have got caught in a market that requires some blue ocean thinking e.g. outside of the box. E.g. they got comfortable making the same old cars not changing a lot to meet the changes in the market and now look what has happened. The designers get stuck designing the same thing rather than thinking out side the box could have got them out of this mess.

The advice should be "Do something different.. Don't copy Ford"