Re: GM to buy Chrysler???
I do not know much about economics, but if a company bought another company, even a faltering one, would it not eventually pay off in terms of customer base? That assumes that those who purchase from DaimlerChrysler would continue to purchase from the General Motors-DaimlerChrysler conglomerate. But if it did happen, and the combined corporation continued the trimming and pruning that they are already doing, might it not eventually result in a more profitable company?
Again, this is by far my area of expertise, but I have this feeling in the back of my head that even a floundering company can be a good acquisition. Sort of the buy low, sell high mentality. I know the lessen that was pounded into my head by an investment banker is not to purchase high-flying stocks because by that time, it is usually too late. Instead, watch for the floundering ones -- but be careful and do some research to get an idea of whether it has the possibility to get back on its feet -- and then when things get moving, you're riding the wave.
Just my two cents. I don't see it all as doom and gloom or a bad purchase decision, if it proceeds.
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