Prime Minister Tony Abbott is right when he describes Australia’s car industry workers as “highly skilled people, adaptable people”. He has also been saying this week that the departure of Toyota and Holden…
Now that the final nail has been hammered in to the car industry’s coffin, what does it mean for the Australian economy? As always, the data is a good place to start. Efficient manufacturing depends largely…
For the past 30 years, Australian automotive industry policies can be characterised as managed decline. Beginning in the 1980s with the Button Plan, the aim of policy was to consolidate the industry and…
People change jobs constantly, and the jobs lost in car manufacturing closures are insignificant in the context of total job changes - no different to everyday job changes. So say some commentators opining…
The idea that everyone wants leadership and wants to be led is a popular one, especially among corporate CEOs, but how true is it? Recent political events in Ukraine and Thailand should focus business…
General Motors Holden’s decision to pull the pin on its Melbourne manufacturing plant spurred renewed debate around government-subsidised industry sectors. But instead of throwing money into a flailing…
For many decades, Australians have regarded a local car industry as a demonstration of our domestic capability. Sometimes, we have paid dearly for our enthusiasm. In the late 1970s, import quotas limited…
General Motors has confirmed it will cease manufacturing in Australia from 2017, citing a “perfect storm of negative influences”. GM chairman Dan Akerson said these forces include “the sustained strength…
“Building cars in Australia is just not sustainable.” That was GM Holden managing director Mike Devereux, announcing the closure of Holden. Ominous words for Toyota as well. Toyota responded that Holden’s…
The idea of further government support for the ailing automotive industry (AKA the Holden problem) generates considerable political and economic debate. For economists and business academics, it comes…
Ford’s announcement on Tuesday of 440 job cuts is the culmination of almost 40 years of automotive industry policy failure. Ford will slash 15% of its workforce and cut production by 29%, as the industry…
“What is the value of zero?” asks the seductive commercial for the new Nissan Leaf (due to launch in Australia in April). Set against a montage of natural and man-made images of “0”, the Leaf advert asks…
Car travel is becoming a victim of its own success. If we in the West had only kept cars for ourselves, automobility could have survived much longer. But we shared them with the rest of the world, and…
The Australian Government has been bailing out automotive manufacturers since 1985. Both that year’s Button Plan and the 2008 Bracks Report recommended restructure and additional funding. But unless the…
It is no coincidence the federal government is increasing its existing multi-billion dollar subsidies to the car industry at the same time it is increasing the tax burden on the mining sector. Price signals…
The Federal Government will contribute millions of dollars to Australian car manufacturers Holden and Ford in an effort to keep Australia’s automotive sector afloat. The government will add $34 million…
Over the past ten years, total vehicle sales in Australia have increased by roughly 35%. But sales of the once-most-popular cars, the Holden Commodore and Ford Falcon, have halved. This fall in sales has…
Professeur senior d’analyse financière, d’audit et de risk management - Directrice de Programme pour le MSc Fashion Design & Luxury Management- Responsable de la spécialisation MBA "Brand & Luxury Management", Grenoble École de Management (GEM)