Sunday, May 20, 2018

Some New Stories


Now it is time for me to set out some articles that I have read over the past little while and give you my opinion on them.

IS FORD CANADA STILL ALIVE 

I just do not understand the automobile industry anymore. It seemed to be doing so well. Negotiations with their unions seem to be fine also. Profits seem to grow fantastically upwards. Unions seem pleased. Everything just seemed so spectacularly wonderful. That is until one reads that the auto companies are going to be changing the nature of their business and getting rid of many of their passenger cars:

"Ford’s decision to discontinue almost all of its car models in North America within two years will leave its Canadian operations intact, since they are focused mainly on sport utility vehicles and light trucks.

The car segment of automotive sales has been shrinking since 2012, while sales of sport utility vehicles have grown over the same period — a trend that’s expected to continue.

“So, we are focusing our efforts on vehicles customers prefer,” Ford Canada’s Lauren More said in an email Thursday." (Canadian Press, April 26, 2018) 

I don't know what will happen if gas prices keep increasing much higher. Will people be able to afford sport utility vehicles and light trucks given the need for larger amounts of gasoline than cars? If not, what happens then if cars are not being built any longer? In other words, does it really matter what users prefer if they cannot afford the price of the new vehicle?

Other auto companies are also looking to eliminate cars from their sales portfolios. What will happen to them in the future also with the kind of vehicles that they will be producing?

FORD'S NEW WORLD

However, in spite of all that was mentioned in the story above, Ford seems to be changing rather dramatically across the river which could very well have an influence on our side:

"With the abandoned Michigan Central Station as the campus' anchor, Ford is also nearing deals to buy properties ranging from small retail buildings and slivers of land to large warehouses, according to a half-dozen sources who have been briefed on the discussions with property owners.

The Dearborn-based automotive giant, which employs 48,000 in Michigan, is expected to reveal its intention to buy and redevelop the dilapidated Michigan Central Station in Corktown next month, according to four other sources familiar with the campus discussions.

An announcement of what could be the most transformational Detroit development plan in more than a decade may come May 10..." (Kirk Pinho, Crains Detroit,April 28, 2018

Such an announcement would be quite a significant move there for young people looking for jobs in the area also. It could provide a major move as the industry changes with the new technology in car building:

"One source familiar with Ford's pursuit of the train station said the move is aimed at building a workplace in an urban setting that can attract younger workers to the automaker.

Ford officials, including Executive Chairman Bill Ford Jr., have said talent attraction was a driving factor in the company buying The Factory building and embedding a team of employees focused on developing the business strategy for selling electric and autonomous vehicles of the future." (Kirk Pinho, Crains Detroit, March 25, 2018)

Moreover, it could well provide quite a view of what may happen in Detroit that could be used by other areas as a precedent for their growth:

"Former Detroit City Council member Sheila Cockrel, now on the Corktown Business Association, said the station's redevelopment is a fascinating possibility.

“This would take resurgence to a whole new level," Cockrel said. "Whoever does that, they will become an iconic name for rebuilding American cities."

All that I can say is to keep reading the various media outlets to learn what may happen here and hope that it applies as well in Canada so that we can prosper. Who knows what the next big announcement may be!

TECUMSEH MAYOR'S ELECTION STORY

What a strange story written by CBC News with respect to some comments made by the Mayor of Tecumseh, Gary McNamara:

"The election of Doug Ford as leader of the Ontario Progressive Conservative party is yet another sign provincial leadership is too "Toronto-centric," according to Tecumseh Mayor Gary McNamara...

"He's very ingrained in Toronto. Interestingly enough, we have three candidates that are basically in the GTHA area. We've been saying all along that the province of Ontario is bigger than Toronto." said McNamara.

McNamara questions Ford's comprehension of provincial issues outside of the Toronto area. He added Ford has a short time to get up to speed."

Now that was brave of him to take that position with respect to the person whose Party seems to have a good chance of being the new Government of Ontario, winning a huge majority of the seats in Queen's Park.

Strange though, the story missed out on one important detail. While the Mayor did not seem all that friendly with respect to Doug Ford, the story never mentioned his background that could help explain that attitude:

"Tecumseh Mayor Gary McNamara, a long-time Liberal party member." (Dave Battagello, Windsor Star, February 28, 2016) 



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