It would seem to me that a combination of labor, it's associated costs and over regulation are most likely the main culprits in placing the company in an uncompetitive situation. I agree that there has always been destructive competition coming from overseas but I think that the GM business model needs an overhaul. I think their products are up to snuff but the internal workings of the organization are most likely set in the twentieth not the twenty first century. If the business is to survive there will need to be give on both sides, labor and management. I think the UAW will need to come to the realization that moving forward new hires compensation will need to be placed on an even pace with the competition. Maybe the bail out if any should be focused on control of the existing health and pension plans in an attempt to place overhead at a more manageable rate. As workers retire etc. new workers would come in on a more competitive basis.
Even if you have a very good product if the cost is prohibitive your market will not be very dynamic.
Cost is Cost, if the products are reasonably equal cost is the only determining factor.
I have always thought that CR was biased towards imports.
