bankruptcy

10. Texaco (1987)
Why they failed? Because of poor investment strategies and some very bad lawyers!

9. Pacific Gas and Electric Co. (2001)
Why they failed? Because they put their mouth where their money wasn’t.

8. Thornburg Mortgage (2009)
Why they failed? Sub prime mortgage crises!

7. Chrysler (2009)ChryslerBankruptcy
Why they failed? Europeans made better cars and Japanese made better for cheaper.

6. Conseco (2002)
Why they failed? Poor executive, operational and financial management.

5. Enron (2001)
Why they failed? Accounting scandals, Arthur Anderson, Kenneth Lay, George Bush.

4. General Motors (2009)
Why they failed? 90% of their cars won’t last 1000 miles without sounding like a 100,000 mile car. Their 70s models are still pure gold!

3. Worldcom (2002)
Why they failed? Accounting scandals and frauds.

2. Washington Mutual (2008)
Why they failed? Global financial crises forced people to withdraw all their funds resulting in a serious insolvency issue.

1. Lehman Brother Holdings (2008)
Why they failed? The Global financial crises and the greedy management!

FINANCIAL/LEHMAN

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General Motors to declare bankruptcy

 

A liquidation consultant must be making big money nowadays. The biggest bankruptcy in history is on the cards now as Obama yesterday suggested that bankruptcy is the best option for GM now. Two more bankruptcies are expected in the near future from Ford and Chrysler. The inventors of the automobile are about to disappear from the car market. This is big! It’s bigger than the insolvency of Enron and Lehman Brothers. There will be around a million jobs lost immediately with the demise of these companies. The next decade will not see the following automobile brands on the roads.

 

  • Buick
  • Cadillac
  • Chevrolet
  • Daewoo
  • GMC
  • Holden
  • Hummer
  • Opel
  • Pontiac
  • Saab
  • Saturn
  • Vauxhall
  • Wuling
  • Ford
  • Lincoln
  • Mercury
  • Dodge
  • Chrysler

 

It would have been better had these companies learned on time on how to re-design their cars to be more stylish, smaller, spacious, economical and affordable. Every single American car was tapping a niche market. Trucks for Texans and Californians, Mustangs for the baby boomers and muscle car fanatics, Cadillacs for the white and wealthy, Hummers for the black and wealthy. Whatever happened to targeting the “mass market”? Japanese focused on targeting the masses and emerged victorious. The Europeans learned from the Japanese and redesigned and relaunched their cars in smaller, economical and cheaper versions without compromising on the quality. In the meanwhile the Americans just kept guzzling gas. GM has only itself to blame.

 

rip-gm-1908-2009

 

 We will definitely miss the Mustang!