Why did GM Buy Saab in the First Place?

The demise or sale of Saab brings up the question: Why did General Motors acquired Saab?

Was it because GM thought they knew what was needed by the Swedish company to succeed or rather because GM did not want someone else to buy Saab?

I don’t believe GM’s management ever understood that a small manufacturer, like Saab, based on quality and innovation has a different philosophy and must operate in a completely different manner than that of a mass production colossus like GM, especially in America, where cars are manufactured the same way that electrical appliances are made, in high production volume. It would be similar to buying a gourmet restaurant and then running it like a McDonald’s franchise. If you do this, you have lost the competition challenge before you even get started.

The Successful Business Acquisition Process – Step #1 Who Buys Companies and Why?

Buying a company is by far one of the most complex purchase activities most individuals ever undertake. A far broader array of skills and knowledge is required than for any other purchase, certainly much more so than purchasing a house or an automobile. Continue reading The Successful Business Acquisition Process – Step #1 Who Buys Companies and Why?

The Business Enterprise and Today’s Society

We have been in the midst of a fundamental and historic shift of how the economies around the world develop.  With the collapse of communism, the centralized and state control model of the economy has also collapsed. Other socialist State models, i.e., Sweden, UK before Margaret Thatcher, have also collapsed.  What we have now, however, imperfect it maybe, is the model of the “Free Market.”

This shift is occurring in parallel with two other sociopolitical expressions:

  1. Smaller government, though the last couple years this seems to have moderated quite a bit
  2. The need, indeed the demand by our society to provide assistance, protection, and distribution of economic benefits  a “fair” way

What we are witnessing is a major shift on “how we can fulfill our expectations of a humanistic society” while we keep the state’s interventions and control power at minimum. Continue reading The Business Enterprise and Today’s Society