The US has big stake in GM. Toyota is GM’s big rival. Toyota has a product problem. The US government is the safety regulator and watchdog. The US government piles on Toyota–makes big news, sales crash and GM profits. Everyone’s happy. Not me. I complained about this stinky mess–an unintended consequence of Obama’s decision to bailout the company–in my last post. I have been stunned, absolutely stunned that there is no media coverage of this very clear and potential credibility busting conflict. But, now it appears that is starting to come.
Here’s one example. Note that this article starts putting the Toyota problems in context–something the headline crazed media refuse to do and can’t be expected to do. But the more the US government piles on Toyota, against this context, the more unfair it will be and appear and the more backlash there will be on the US ownership of GM. My advice to President Obama: decide what is a better and more appropriate role for the US government–watchdog and protector of the citizens or owner of a company in a highly competitive market. You can’t be both!