Troubled Assets Relief Program
We are talking about GM merger with Chrysler, for Hrebiniak it makes little sense strategically. However, neither have many other options. If you need to merge with Chrysler about 10,000 million dollars in capital just to achieve integration, just to merge the two companies. It will produce many redundancies and all that. But indicates what the options are unknown. Merging. I do not think that is a good decision, but they will merge.
I also think it is a sign. I think that although the Government has declared itself willing to help, really want to make a sequential process whose message is “Look. We tried to solve our problems. If we integrate the two companies now show that we are trying to do better. And if that fails, it is intolerable that so many people are adversely affected. So, ask for help the government of President Bush. If you join will be 10 000 plants.
It is a figure that exceeds ten times that of Toyota. Have been considered a loan assistance request to the White House before the president leaves office Bush, however, the White House said that could possibly qualify for aid under the rescue program TARP (Troubled Assets Relief Program). According to Elon Musk, who has experience with these questions. However, there is the question, “Should the government intervene? Should the government save GM? According to the opinion of Professor Hrebiniak, does not believe that after the tremendous assistance to financial institutions, the government feels it has no choice now. And the argument has been, if they left, the effects would be pervasive and devastating. Well, the same could be said of General Motors.