Belgium Entrepeneur behind Plans to Buy Holden

[csv8]

http://carsales.mobi/editorial/details/ED-ITM-100380

[b0son]

All well and good if the VE/VF platform was relatively young, but its already getting long in the tooth, and would need an update in the not too distant future. Given development costs are hitting the $1bn mark for an all-new model, surely you would need to be an established global manufacturer to fund it? Ford learned the hard way that you can't fool buyers with ageing platforms.

[Angeldust]

Originally Posted by b0son

All well and good if the VE/VF platform was relatively young, but its already getting long in the tooth, and would need an update in the not too distant future. Given development costs are hitting the $1bn mark for an all-new model, surely you would need to be an established global manufacturer to fund it? Ford learned the hard way that you can't fool buyers with ageing platforms.

Silly question, but why? does it need an update, and update it to what? Sure you can do the usual panel, interior etc changes, but why does the chassis need a update?

[FPV GTHO]

If its not updated, the market will leave it behind.

There's always something to be improved, be it safety, weight etc.

[arronm]

Originally Posted by FPV GTHO

If its not updated, the market will leave it behind.

There's always something to be improved, be it safety, weight etc.

Like the FG-X.........

[1TUFFUTE]

Originally Posted by b0son

All well and good if the VE/VF platform was relatively young, but its already getting long in the tooth, and would need an update in the not too distant future. Given development costs are hitting the $1bn mark for an all-new model, surely you would need to be an established global manufacturer to fund it? Ford learned the hard way that you can't fool buyers with ageing platforms.

Pretty sure Ford didn't learn anything.... they just saved a billion dollars.....plus another billion of ours

[701let]

Originally Posted by 1TUFFUTE

Pretty sure Ford didn't learn anything.... they just saved a billion dollars.....plus another billion of ours

I think you're right. What an inspired business plan they have...

[Burnout]

Sounds like a bunch of cobblers to me!
(Press release by GM-H marketing office)

[Bossxr8]

GM will not provide the intellectual property. Simple as that.

Every effort Ford Australia made to get more business was sunk by Ford HQ because if the chinese got the products they would then be competitors to Ford in China, and possibly eventually North America.

[malazn mafia]

Originally Posted by Bossxr8

GM will not provide the intellectual property. Simple as that.

Every effort Ford Australia made to get more business was sunk by Ford HQ because if the chinese got the products they would then be competitors to Ford in China, and possibly eventually North America.

Don't quite understand how if the Chinese got the products (which products?) they would then be competitors to Ford in China, and possibly North America? You suggesting that if the Chinese somehow got the blueprints to the xr6 turbo, they could cobble together the world's fastest, cheapest, 4 door car in LHD and RHD and export it to the U.S. to compete with Taurus and Lincoln.

[Road_Warrior]

Originally Posted by malazn mafia

Don't quite understand how if the Chinese got the products (which products?) they would then be competitors to Ford in China, and possibly North America? You suggesting that if the Chinese somehow got the blueprints to the xr6 turbo, they could cobble together the world's fastest, cheapest, 4 door car in LHD and RHD and export it to the U.S. to compete with Taurus and Lincoln.

I think he means Ford didn't want a business unit that would take work away from Ford China/Ford's China market ambitions

[Express]

I thought they were going to make it a shine and turn it into a button factory.

[Powdered Toast Man]

Story has been updated with Holden saying nobody from Pucnh has spoken with them....

[b0son]

That doesn't mean much ... Punch would need to speak to GM

[JC]

Belgium? Isn't that where all those terrorists are from?

[FairmontGS]

I'm calling BS..

[sbutler]

The $100.000.000 question is.. WHY? Holden is loosing money hand over fist, so why woould buy a company that is pretty much dead??

[cheap]

I'd put this announcement in the same category as...

[Express]

Originally Posted by sbutler

The $100.000.000 question is.. WHY? Holden is loosing money hand over fist, so why woould buy a company that is pretty much dead??

There are many multinational companies that make huge profits from purchasing dying companies and either resurrect or asset strip them.

[mik]

Sounds like a long shot, if GM is planning on importing a heap of cars, it is hard to see them wanting more competition .

[GasoLane]

When I read "the locally-developed Zeta architecture that underpins it" my first thought was the Adelaide built Lightburn Zeta.

It never sold well back in the 60's but was right up there in the ugly stakes

[Brazen]

I suppose as the transmission supplier he will want to make it work so he doesn't lose the business . As someone who has bought a GM factory he will know the ins and outs of how to make it work.

Potentially would be a good buy as the cars would make good money and he has a ready made market here and loads of potential overseas.

[FormulaFG]

Of all the pie in the sky ideas of what will happen to Holden this one has probably got the most potential thus far. I'd really like to see his business plan. It MUST have an export program or else it will end the same way.

He has/will have:
reliable supply of gearboxes.
contacts in GM to source bulk cheap LS engines.
huge plant and a bunch of workers.
local auto suppliers that have no one else to service

The only sticking point is that he has no chassis and body to put it into.

[pottery beige]

milk desperate no jobs local govco moneys

business case

win

[jmack]

breaking news.an unconfirmed source from holden head office has just confirmed the ink cartridge has been change in the bull@@@@ printer.anything to keep the name in the press

[MethodX]

Would be great if it happened.... but fat chance.
Zeta platform is still good.... just a tad heavy... would need more lightweight materials.

[Stefan]

Not an altogether dumb idea...established name / business, lots of Holden fanboys. Replace management, and away you go. Turnbull is almost Labor like and given some pressure will probably open govcos wallet to kick the can down the road a bit. Talk gov into giving a tax break to companies that use Aussie made cars.

Lots of companies get restructured and return from the brink of death. Once ford is gone, no competion for Holden, the few that bought hi po falcons will also jump into an Aussie made v8 full size sedan.

Plenty of opportunity that is for sure.

[Express]

This is not a company going out of business, it's a company changing tact.

Why on earth would GM or any company for that matter want to offer tooling to another party to allow them to go into competition with them.

GM wants to introduce a completely new Commodore platform very much divorced from what the consumer it accustom too, so why help someone else produce something that would feed the customer base they are hoping to convert to their new Commodore line.

If I was the CEO of a company that gave the competition a helping hand to supply my customer base with a product they may prefer, I’d expect to be out of work before my coffee has time to go cold.

Sell the premises, maybe.

Sell any intellectual rights or tooling so someone else can manufacturer a product to compete with you, no chance.



.

[Brazen]

Originally Posted by Express

This is not a company going out of business, it's a company changing tact.

Why on earth would GM or any company for that matter want to offer tooling to another party to allow them to go into competition with them.

If I was the CEO of a company that gave the competition a helping hand to supply my customer base with a product they may prefer, I’d expect to be out of work before my coffee has time to go cold.

Sell the premises, maybe.

Sell any intellectual rights or tooling so someone else can manufacturer a product to compete with you, no chance.



.

This is too political to be a simple business decision.

Imagine a public boycott of Holden cars if they refuse to sell the rights to a potential employer of thousands of Australians.

Imagine politicians lining up to bag the company after hundreds of millions have been spent by the taxpayer.

Imagine p!ssing off your biggest fleet customers (Australian government fleets) by not following good corporate citizen practise and seeking out some sort of remedy for a mass extinction of an industry.

I suspect it could be more complex than it first appears. GM could even be a customer and keep in ordering low volume Caprice police cars for the U.S. And SS for the Australian market.

[Express]

Originally Posted by Brazen

This is too political to be a simple business decision.

Imagine a public boycott of Holden cars if they refuse to sell the rights to a potential employer of thousands of Australians.

Imagine politicians lining up to bag the company after hundreds of millions have been spent by the taxpayer.

Imagine p!ssing off your biggest fleet customers (Australian government fleets) by not following good corporate citizen practise and seeking out some sort of remedy for a mass extinction of an industry.

I suspect it could be more complex than it first appears. GM could even be a customer and keep in ordering low volume Caprice police cars for the U.S. And SS for the Australian market.

If this issue so political it would be receiving saturation coverage in the mainstream media and it is not.

If you take a step away from those attached to the car industry and car enthusiasts you’ll find no-one is interested as its yesterday’s news.

I’ve mentioned to a number of friends I’ve ordered the last Commodore and the response has been either or I thought they stopped making them a couple of years ago.



So

I imagine the bulk of consumers as they did during the lead up to the announced closures won’t care and will continue to purchase on price and not loyalties and therefore all that unpurchased stock produced because of loyalties will mean a quick end to the business venture.

I imagine the politicians won’t want to use taxpayer funds to prop up a start-up company making a product that had already lost favour with the marketplace as they would need a much bigger proposal to get them on board than the one on offer.

I imagine Government Fleets have already moved on and they will fall into line with Federal Government policy.

I suspect the horse has bolted.



From a business point if a company was to offer their intellectual property to another company they would want substantial royalties on each item which would put a big strain on the new company's profit margin.

The Government would have to offer enormous taxpayer incentives to coax any company to give up something of such value and we all know governments don't control the corporate world it is in fact the other way round.

If anything comes of this it'll be because GM sees a profit in it and not because the government wants it and I don't believe GM would truly be interested.

I’ll be over the moon if I’m proven wrong as I’d love to be able to keep buying those V8 Commodores but I think there is a lot of wishful thinking going on.



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