Edmunds; AutoObserver.com Suggests GM's Interest in Chrysler Group Defensive

Analyzing speculation that General Motors (GM) might purchase Chrysler Group, AutoObserver.com's Senior Editor Michelle Krebs says that GM might want to play defense and keep foreign competition away.

In her latest column "GM: Chrysler's White Knight Against Foreign Invaders" Krebs writes "GM faces significant risk if a Chinese or Korean automaker buys Chrysler and gains instant access to its coast-to-coast dealership network to widely distribute vehicles that can be priced below the competition because they come from low-cost production sources.

"Ford would be hurt as well, but it's broke, so it can't put up a solid defense. GM, however, is in reasonably good health to put the brakes on such a foreign invasion."

Click to read the column GM: Chrysler's White Knight Against Foreign Invaders

Michelle Krebs has covered the automotive industry for more than 25 years, regularly writing for publications such as The New York Times, the Detroit Free Press, Parade, Motor Trend and AutoWeek. Before starting her own business, she was staff writer for Automotive News, covering the financial beat and General Motors Corp.

Krebs has written a column for Inside Line, Edmunds' high-speed online car magazine and the most-read automotive enthusiast Web site, since its launch in January 2005. In addition, she is an Adjunct Professor of Business at Detroit's College for Creative Studies.