The merger between GM and Ford seems increasingly likely

GM and Ford have a strong market share in the US, but lately Ford has been experiencing difficulties in selling and therefore maintaining the same infrastructure and staffing. The company pulled most of its sedan models from the US market because consumers started to look for more sporty cars, pickups or crossovers. Ford's only trump card in the States remains their F-series pickups. A model that still remains the best-selling pickup in the US. The company's sales in China continue to decline, reaching a staggering level. But those of GM remain strong, but they remain in direct competition on the Chinese market with domestic and foreign companies.

Ford's management, led by CEO Jim Hackett and EC William Ford, showed that a cost containment policy could be implemented. Until recently, the company cut nearly 7,000 staff. This will save the company about $ 600 million. Hackett has set aside a $ 14 billion reserve to keep the company active for the next five years. In order not to lag behind the competition, the company announced it plans to develop 40 electric and hybrid cars by 2020. Few people believe the company will succeed. After all, it will be all about whether these cars will be sold.

GM is in a much better position thanks to the efforts of CEO Mary Barra. She has been GM's CEO since 2014. She has also taken measures to cut costs. In addition, there is a majority that believes that GM is well ahead of the overseas competitors in the field of electric and passenger cars. GM owns 75% of Cruise Automation, which are leading in the development of AI.

The company also has two advantages over other world manufacturers. They are among the leaders who sell successfully in China. GM is also a sales leader in the United States.

While GM can win its future as a standalone company over the next decade, Ford's fortunes may be quite different. Ford's market share is down 42% over the past five years, while GM's remains almost unchanged but stable. The money saved by both companies will amount to billions. However, a merger between GM and Ford could significantly increase competition with Toyota, VW and even the new Fiat-Renault combo.

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