A Big Move That Won't Fix This Automaker's Problem

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The following video is part of our "Motley Fool Conversations" series, in which industrials editor and analyst Brendan Byrnes and consumer goods editor and analyst Austin Smith discuss topics across the investing world.

In today's edition, Brendan and Austin discuss GM's recent decision to purchase a 7% interest in French automaker Peugeot. This looks to many like a curious decision in light of the problems facing Europe's auto industry. The main issue right now is an overcapacity problem that is driving costs higher. This deal with Peugeot won't solve that problem, but is it still worthwhile for GM?

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