Heres kind of an interesting article.

Ontario gov't invests $81M in Ford engine plant to help attract new business - Money - MSN CA

I wonder what some guys that have been picking on GM (Government Motors) have to say about this?

I personally dont care either way if a company gets help from the government, just kind of interesting to see that ford is guilty of it too (up here in a smaller amount)

Thoughts, opinions?

 

Im kinda, and kinda not surprised no one replied to this lol.
Really brings into perspective that alot of auto companies are very similar with how they operate.

 

I, for one, am disappointed. I thought the guys at Ford had things straightened out already.

 

Morning, I just saw your post Sheldon, and haven't had the chance to read the article yet.

 

They were held on a pedestal as angels amongst the other demons!
IMHO - all big business is dirty but the winners are the ones who make themselves look clean...
Same chit, different pile!

 

After reading the whole article, I'm still disappointed in Ford Canada, but There is more to it than just asking for money. It's not a total bailout like the other 2.

 

Lemme ask ya though Dave, whats disappointing to you, about getting help like that?


I kinda compare it to us getting loans and government grants and stuff like that, thats why it really doesnt matter much to me.
That and at the end of the day, Ford will still be my favorite auto maker, due to the fact I love their trucks! (I guess to me it just doesnt make them look any better or any worse that they get a hand)

I really do view this the same way as you. Like this whole Toyota thing, yeah they arent any better of a company then the rest, but.. they arent any better then the rest! (meaning they are all the same!)

 

i'm seeing this article from a different view. it looks to me almost like the ontario gov't was offering this funding so they could keep their citizens employed. it states that Ford was closing and down-sizing plants because operation costs were getting too high there. to me, thats not "needing a bailout", thats just moving operations to another location that is more affordable so they don't need to charge more for their products...gov't wants to stop that so they offer an incentive to keep them there and keep their citizens employed...

i don't totally agree that they should have accepted money, rather they should have negotiated with their employees and with the ontario gov't to get lower operating costs if they were to stay in production in the province...

 

That link had alot of words.....whats the jist?

 

Basically ryan, Ford got some money from the ontario government, sorta like what happened when they bail outs were handed out, but not for a bailout reason.

Interesting way to view it Sherm.

I dont view it any different then GM, or anyone else getting money from the government (nor really care), but I did find it interesting that Ford did take it.

 

I was just disappointed that they took it. I know what you mean about the loan/grant thing. I'd have probably taken money handed to me for similar reasons. (such as EI, OK, it's not quite the same, but it's still Gov. support)

 

It`s simple economics, Ont. wants jobs and Ford can supply them.
MF grabbed a big bunch of Gov`t money years ago and then bolted to the US.

 

Supply and demand, yeah, but was there a chance Ford was gonna bolt from Ontario, and not give Ontarioians those jobs anyways...?

Dave in your eye, does it seem to you like Ford Canada, is the same as GM (so to speak) with that they took cash to get help?

 

I'm not surprised, nor am I disappointed. I maybe resigned to fate, that of the business universe.... unfolding as it has done and will do.

Federal, provincial, state, sometimes municipal grants are common. I'm not crazy about it...sending tax money to any manufacturer. who in all probability will make a profit with or without the grant.

But it's the way companies play one govt. off of another govt....whoever (jurisdiction) pays the 'grant' gets the factory or keeps the factory open.

In the end it's just business and if a company can get a good chunk of money (govt. grant) to defray some of their costs or add to the company coffers...well from the company standpoint...that's good for the bottom line.

Back in the 1920's the President of GM said something to the effect that what was good for GM was good for the country (USA).

Well he was being a bit arrogant of course...but he was right to a certain extent. A strong demand for GM, Ford, Honda plants to locate and remain open producing product and jobs, in the USA or Canada translate into a strong economy...then what's good for GM et al...is good for the country.

It's a very competitive market out there...different jurisdictions (countries, states, provinces, etc.) and they all want that Ford, GM, Honda....Maytag plant.

Employment has a mushroom effect with other businesses...more people, more consumer spending, more schools, hospitals, grocery stores...robust economy.

In order to get a good factory with all those attendant jobs and therefore all the tax benefits, and strong economy as indicated earlier..then it's ok to sweeten the deal with a 'grant'...if that's what it takes to get that plant.

The old song from the '60's used to go..."Money makes the world go round.." and it certainly does.

 

What I really dont care for is the fact that Ford made a big headline in its position to not accept Govt money, then went ahead and did just that!
This money is different than the bailout package - its for Canadian job retention (that will slip away anyways once the money runs out and the 'bought for' jobs are relocated to areas where labor costs still allow profits).