As for the assemblers preventing innovation, its much harder to pump cash into R&D when your assembly costs are twice that of your competition.
And as for ford doing well relative to GM and Crysler, you're basically saying they're doing good compared to bankruptcy. I like ford (especially their current lineup), but they've fallen a long way from their massive dominance of a few decades back.
To be clear, I agree with you (this reply seems a little ranty), the entire auto industry is a mess; a large part of these inefficiencies I feel comes out of dealing with unions - and I see the same things happening with teachers.