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Re: NPR Story
Posted by Noel [Email] (more from Noel) on Wed, 2 Jul 2008 06:11:42
In Reply to: NPR Story - No Saab in future?, tim, Wed, 2 Jul 2008 05:07:18
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Here's the link to the story. The guy says,
"GM has way too many brands when it only has 20% of the market."
and he notes, "Saab could disappear, that sales are awful." Ironic, since Saabs have the mix of good fuel mileage and performance that could help save GM.
The piece is interesting, but is just a very high-level discussion and is only the reporter's opinion. But no kidding "GM has too many brands." And like federal government, leadership appears to be absent, so what they do is not likely to make a lot of sense, as most of their brands are in trouble in one way or another.
My guess is that Hummer, Buick, Saab, Pontiac and probably Saturn are all very vulnerable. IMHO, all that will ultimately remain is Chevy and Caddy (cars) and GMC (trucks). Certain consolidations may be possible, but will take time due to dealer franchise agreements.
Saab and Saturn
Saturns are becoming Opels, and share enough from the platform side for Saab and Saturn to be joined at the hip. Saab could still remain a separate brand, but the two would be more similar than different and Saab would lose any remaining uniqueness. Combining the brands is a marketing issue. They appeal to very different audiences, but in a fuel-economy conscious marketplace they would offer low, mid and upper end cars that are good on gas. If GM can't figure out how to do this, I suspect Saab will be sold off or the brand killed.
Hummer
will be killed off unless a buyer is found, which may be hard to do. The dealer body --and the huge unique dealerships they have built-- will be a big problem due to franchise agreements. Expect lawsuits!
Buick and Pontiac can go away. Badge-engineer Chevy's and Caddys to cover the gap. But the dealers will be a problem here, too.
Just my 2 cents.
NPR on US Auto Industry
Posts in this Thread:
- NPR Story - No Saab in future?, tim, Wed, 2 Jul 2008 05:07:18
- This is an interesting video, Finch, Wed, 2 Jul 2008 11:43:39
- market cap of GM is 6 billion dollars, J, Wed, 2 Jul 2008 08:23:16
- Market Niches, OKSaabs, Wed, 2 Jul 2008 07:27:48
- Saab on Waukegan Rd. in Morton Grove closed ->, michael p, Wed, 2 Jul 2008 06:56:57
- Unlike Hummer - Saab has technology..., Scott Paterson , Wed, 2 Jul 2008 06:56:09
- Yes, I agree..., Savary , Wed, 2 Jul 2008 11:32:23
- Maybe, maybe not..., Noel, Wed, 2 Jul 2008 07:37:05
- But both have GM management calling the shots...., Bill H., Wed, 2 Jul 2008 07:19:31
- Re: NPR Story, Noel, Wed, 2 Jul 2008 06:11:42 <-- Viewing This Message
- Re: NPR Story - No Saab in future?, yaofeng, Wed, 2 Jul 2008 05:53:38
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