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Eberhard 14 (1:22)
Topic(s): Auto Industry / Car Culture
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Video Transcript
It seems pretty clear that the American car companies have not
been particularly innovative, at least lately, but I don't
think that has to do with the people. Within Ford, within
General Motors, within Chrysler, there are people there who
are incredibly bright and innovative. But they are in a
company that has a structure about it and a way of doing
things that forces them to behave a certain way. And I think
it's also—how can I put this—the American car
companies have found themselves a local maximum, a place where
they can make lots of money selling giant SUVs and pick-up
trucks and the like. And every time they try to step off that
a little bit, you know, their profits go down and the business
doesn't do very well. And even if there was another peak over
here that was even higher for them, to get from here to there
requires them to go through a valley and finding their way to
this higher peak. And that's almost impossible for businesses
to find their way how to do that.
But, you know, I hate to say that, you know, I'm smarter than
the guys at General Motors and that these guys are idiots and
don't know how to make cars, because I think that is not the
case. The problem that they have at general motors is a very
different problem than mine. Rick Wagner has to figure out how
to sell, what is it, 1.8 million cars in America next year and
2 point some-odd million SUVs. And I have to figure out how to
sell a few thousand cars. So we have a very different problem
before us. I'll have his problem some day, maybe, but its not
right now for sure.
