I hear this all the time and don't buy it. Imagine what would have happened 5 years ago if GM CEO Rick Wagoner had announced to the world that GM was going to stop making so many profitable trucks and SUVs because they saw $4.00/gallon gas in the near future and wanted to build smaller, but less profitable cars. The shareholders would have thrown them out on their butts! Congress would have probably investigated GM to see why they were misleading stockholders. They built what the majority of the American public wanted to buy. The Japanese were able to sell plenty of the cars here that the rest of the world wanted, but they were scrambling as fast as they could to build large, profitable trucks. Witness the Toyota Tundra and the plans to build a Highlander plant in Mississippi.Our companies just went on making BIG vehicles because they generated more money, but the people were wanting smaller, more fuel efficient cars.
Ford is in better shape financially because they hit bottom a couple of years ago and mortgaged the company to buy a few more years. In hindsight, they are probably really thankful that this happened when it did. At least there was credit available at the time. And as for foreign markets, I could be wrong, but I believe GM is actually the strongest of the domestics outside of the US. I know they are the leading US manufacturer in China.Ford is in better shape financially, because it's foreign markets are going strong.
Toyota is expected to report a loss for 2008, the first time this has happened in something like 50 years. The world wide market is in shambles. I don't for one second think the domestics are necessarily well run and know their problems are deep and the result of decades of mistakes. But they are not unique and were on the right track before the financial meltdown crippled them.