Honda, GM and Chrysler have all cancelled plans of opening / expanding Factories in Canada, some that were already subsidied by the local governments, in favor of caving to US demands of returning manufacturing there instead.
Well that may just be business prudence. In a world where Trump might wake up, see a picture of Trudeau kissing Katie Perry, and decide to make your cars 300% more expensive because fuck everyone, it’s probably wiser to just not take that risk…
They can also control the US by just denying them vehicles. Hondas are incredibly popular vehicles, and removing them and their parts from the market would piss a LOT of people off.
Capitalism is where the money is the important part and has the power yet whenever these corporations find themselves in a position where the system could actually function in some vaguely beneficial way for society they still fall all over themselves to suck off whatever shitstain is causing problems.
It all comes back to shareholder primacy. Dodge v Ford decided that corporations must act first and foremost in the interest of shareholders. And the more modern Friedman doctrine decrees that they should cater to those interests not only primarily, but exclusively, even at the expense of all others.
Honda could try a bargaining tactic like that. And their shareholders could sue the shit out of them. And the shareholders would win. Because our model of corporate governance is fucked.
Honda is bending to Maga too.
Honda, GM and Chrysler have all cancelled plans of opening / expanding Factories in Canada, some that were already subsidied by the local governments, in favor of caving to US demands of returning manufacturing there instead.
Well that may just be business prudence. In a world where Trump might wake up, see a picture of Trudeau kissing Katie Perry, and decide to make your cars 300% more expensive because fuck everyone, it’s probably wiser to just not take that risk…
They can also control the US by just denying them vehicles. Hondas are incredibly popular vehicles, and removing them and their parts from the market would piss a LOT of people off.
Capitalism is where the money is the important part and has the power yet whenever these corporations find themselves in a position where the system could actually function in some vaguely beneficial way for society they still fall all over themselves to suck off whatever shitstain is causing problems.
It all comes back to shareholder primacy. Dodge v Ford decided that corporations must act first and foremost in the interest of shareholders. And the more modern Friedman doctrine decrees that they should cater to those interests not only primarily, but exclusively, even at the expense of all others.
Honda could try a bargaining tactic like that. And their shareholders could sue the shit out of them. And the shareholders would win. Because our model of corporate governance is fucked.