Yes, risk aversion so they all react 'safe'. CYA and political correctness comes with the territory, big organizations not allowed to fail
On Fri, Mar 1, 2019, 17:59 H LV <[email protected]> wrote: > In contrast with Big Tobacco of the 1970s, I think the big car companies > and big oil have investors who suffer from risk aversion rather than naked > selfishness. > > Harry > > On Thu, Feb 28, 2019 at 8:45 PM Jed Rothwell <[email protected]> > wrote: > >> Jones Beene <[email protected]> wrote: >> >> >>> He did not mention explicitly : "investors from the petroleum industry" >>> since that is a given ... but the implication is that he gets constant >>> negative feedback from some of his investors, at the level of Board of >>> Directors, NOT to pursue electric vehicles... Imagine that... >>> >> >> I expect this is what led to the destruction of the GM EV1, and to the >> long delay in introducing electric cars. However, when the market for >> electric cars began to heat up, and when Tesla began to outsell all other >> luxury cars combined, this motivation evaporated. GM, Ford and the others >> feared they would face extinction if they did not develop electric cars. >> They would not let influential Board Members or politicians prevent them. >> >> For the same reason, GM, Ford and the others rushed to build hybrid cars >> after the Prius become popular. Hybrid cars greatly reduced gasoline >> consumption, so if there were Board Members with connections to big oil, I >> suppose they would have opposed them. I don't know if there were such >> Members but if there were, GM ignored them. >> >> Again, for the same reason, they are now pouring billions into >> self-driving automobiles. There may be industries and groups that oppose >> that oppose that technology. I wouldn't know. But no auto executive would >> listen to opponents, because after Toyota or GM starts selling self-driving >> cars, the others better have one within a few years or they will be doomed. >> >>
