Word: honda
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Dates: during 1990-1999
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...companies need full-scale crises to force changes in their old habits. Ford came back from near bankruptcy in the 1980s by cutting costs and creating teams of workers and managers to design and build new cars. Such teamwork produced the Ford Taurus, which now vies with the Honda Accord for the title of best-selling...
...main reason that Clinton's idea will not work is that foreign companies like Honda, which invested in auto and motorcycle plants in Ohio in the 1980s and helped create thousands of new U.S. jobs, have little motivation to move their profits elsewhere. Germany's corporate tax rate is 51% and Japan's is 46%, while the rate in the U.S. is only 34%. "There's just not much incentive for these companies to move their profits to higher-tax countries," says Hufbauer...
...this new global economy, Reich writes, it matters little whether a company is based in London or Los Angeles. A Honda built in Ohio may have more "domestic content" than an Oldsmobile. The only policy that will benefit all Americans, Reich writes, is for Washington to "invest" in the two assets that won't leave the country: "human capital," such as education and job training; and physical infrastructure, from roads and bridges to high-speed railroads and fiber-optic communications. Such public investments, Reich argues, will encourage both U.S. and foreign firms to create jobs in America. How would Reich...
...Concorde, Dodge Intrepid and Eagle Vision ($16,000 to $22,000). The cars feature an innovative "cab- forward" design to allow more passenger room and window area. Highly praised by auto experts, the new cars are expected to be worthy rivals to such popular models as the Ford Taurus, Honda Accord and Toyota Camry. All told, "Chrysler is the hottest company in the car business," declares David E. Davis Jr., editor of Automobile magazine...
Even more surprising was Iacocca's admission that in spite of all his public Japan-bashing, Japan was in fact building superior cars. After the retreat, Chrysler assembled a team of 25 young recruits to spend a year at Honda's plant in Marysville, Ohio, to study everything from its assembly methods to corporate culture, which the Japanese company allowed as a political courtesy. No senior executives went along on the mission. "We wanted open minds not poisoned by Detroit," admits Iacocca. Their report, still secret, led to a greater emphasis on customer satisfaction, an increase in continual training...