Martin

Senior Member
Dec 31, 2000
56,913
ßüякε;1943603 said:
What Jack is saying is, if a company is hit with 20% losses across the board, 20% loss on 1,000,000 is a lot more than 20% loss on 500.
But that's talking about size. Big company vs small. It doesn't account for anything related to how well the company is doing (revenue vs cost).
 
OP
ßöмßäяðîëя
Apr 12, 2004
77,165
  • Thread Starter
  • Thread Starter #36,226
    No, I'm saying within the same company.

    Volvo Busses vs Volvo cars.

    If you sell 1,000,000 cars and 500 busses a year within that company, a 20% loss on the car industry is a lot more money than a 20% loss on the bus industry.

    Loss of 200,000 cars vs the loss of 100 busses, in terms of sales.
     

    JCK

    Biased
    JCK
    May 11, 2004
    125,395
    But that's talking about size. Big company vs small. It doesn't account for anything related to how well the company is doing (revenue vs cost).
    You business is not going well and then something bigger than you starts affecting your business there are two outcomes, you are either doomed or don't do as bad as other businesses that were doing pretty well during normal times.
     

    JCK

    Biased
    JCK
    May 11, 2004
    125,395
    ßüякε;1943612 said:
    Jack, what is the average cost of a Volvo car and a Volvo bus?

    Retail...
    On average a brand new Volvo car would cost around 35 000 €.

    I don't know how much is it for a bus, I will get back to you on that tomorrow.
     

    Enron

    Tickle Me
    Moderator
    Oct 11, 2005
    75,668
    But that's talking about size. Big company vs small. It doesn't account for anything related to how well the company is doing (revenue vs cost).
    A better example is GM. Right now GM is in the tank so to speak. But a smaller company it owns, Saturn is killing it(doing well). GM would be smart to sell Saturn to a foreign company in an effort to keep itself afloat. Since Saturn's performance would fetch a fairly decent price.
     
    Apr 15, 2006
    56,640
    A better example is GM. Right now GM is in the tank so to speak. But a smaller company it owns, Saturn is killing it(doing well). GM would be smart to sell Saturn to a foreign company in an effort to keep itself afloat. Since Saturn's performance would fetch a fairly decent price.
    MSN mein bahut sataata hai yaar. uska smileys, uska "sense of humour", baap re baap. main usko ek na ek din MSN se nikaal doonga!
     

    Bjerknes

    "Top Economist"
    Mar 16, 2004
    116,292
    It still pisses me off that these damn bankers received trillions from the government but GM can't even receive a decent loan. If GM goes down that's about 2 million job losses all at the same time. If so, that means we have the greatest Depression.

    You either bail out all of them or bail out nobody at all. Any mix between the two is simply corporate fascism.
     

    Enron

    Tickle Me
    Moderator
    Oct 11, 2005
    75,668
    It still pisses me off that these damn bankers received trillions from the government but GM can't even receive a decent loan. If GM goes down that's about 2 million job losses all at the same time. If so, that means we have the greatest Depression.

    You either bail out all of them or bail out nobody at all. Any mix between the two is simply corporate fascism.
    The auto industry is a bit more flexible than the banks. The past has shown us that the fore runners in the auto industry tend to "rise and fall" like Hawthorn's families. In addition companies like Ford aren't suffering as much as GM and Chrysler. I think that's the reason the government hasn't been quick to pump crazy cash into those two.
     

    Bjerknes

    "Top Economist"
    Mar 16, 2004
    116,292
    The auto industry is a bit more flexible than the banks. The past has shown us that the fore runners in the auto industry tend to "rise and fall" like Hawthorn's families. In addition companies like Ford aren't suffering as much as GM and Chrysler. I think that's the reason the government hasn't been quick to pump crazy cash into those two.
    More flexible? I don't know about that.

    All the money in the banker bailout went to Goldman Sachs, Duestche Bank, and Soc Gen. Foreign banks. It's absolutely incredible we had to bailout foreign banks, which is why I've been against it.
     

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