Tuesday, April 17, 2007

GM Going Indian

GM is increasingly shifting towards India, which I think is a good sign. After all, manufacturing blue collar jobs will help to redistribute wealth to the unskilled poor masses, while also avoiding asymmetries and disparities that give rise to social backlash.

2 comments:

Ghost Writer said...

@ san
We are unlikely to ever come to agreement on manufacturing, but I must disagree about "manufacturing blue collar jobs".
A car manufacturing (rather parts manufacturing and car assembly) operation is not full of - as you put it Blue Collar Jobs. All of this is "Lights out Manufacturing Plants" - mostly running on robotic assembly. The only jobs here are high-end engineering, which is why its not going to China.
While I am not sure of the environmental impact of this 10-15% car sale growth in India (it's better to research green fuel-driven cars that run cheaper than dirty gasoline). It is better to to trade on the fact that you have a more compelling technology than just manufacturing ability. There is one overall positive to this as well.
Remember GM built most of the machinery used in WW-II. India needs to be able to manufacture its own war trucks, armored vehicles etc. Any technology and capital transfer that can be "taken over and customized" is a good thing. I know this is a lame justification - but there you have it.

habc said...

U.S. market is losing its appeal, Chinese say