Toyota Supports Bailing Out Weaker Competitors

This is a really interesting point of view from Toyota. See CNN article here. Toyota would prefer that the US government actually help bail out GM / Chrysler to keep them in business.

At first, this doesn't seem to make sense. Why would Toyota want to save a competitor? Well, if you read down in the article, you see why:

The final concern for the overseas automakers is a longer-term problem. The failure of a U.S. automaker could open the door for a Chinese or Indian automaker to buy up the assets of the failed company and create a new low-cost competitor in the U.S.

"You could open the door for foreign companies to buy distressed assets at rock-bottom prices," he said. He pointed to India's Tata (TTM) and China's Geely as two automakers in the developing world that are already on record as being interested in expanding into western markets like the United States.

So Toyota wants to keep GM / Chrysler in business because they think that they are EASIER TO COMPETE AGAINST than those who would replace them if they failed. Just think about that for a minute...