Let the Good Times Roll

You may also like...

2 Responses

  1. Mike Zimmer says:

    Until the hiring of Mulally at Ford and the collapse of GM & Chrysler, the management of the Big Three continued to assume that the auto business, while worldwide, was divided into separate national product markets. From the oil crash in the 1970s, if not before with the entry of VW’s Beetle, that was sheer hope in face of increasing experience.

    What should have happened to the managers of the big financial giants that the government saved did happen to the hidebound GM & Chyrsler managements who continued to do what had always done, even though the world had changed.

  2. Michelle Harner says:

    Mike:

    Thank you for the comment. The different approaches/responses used throughout the crisis and how those scenarios would play out under the resolution authority contemplated by the Dodd-Frank Act are all interesting and important questions. Also, although you may have already seen them (as they are both now somewhat dated), I have attached below two articles related to your points on management and the Big 3.

    Best regards, Michelle.

    http://www.brookings.edu/~/media/Files/rc/papers/2007/11_us_automakers_winston/11_us_automakers_winston.pdf

    http://www.chicagofed.org/digital_assets/publications/economic_perspectives/1994/ep_jan_feb1994_part1_