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What is missing in discussion about GM is a very real fact: the GM brand is severely damaged. For many in the US, GM is associated with sub-par products. The lingering opinion of GM and its products result in other brands making shopper's top 5 list before GM. Even if GM is bailed out or go bankrupt and re-organize, they probably will not become competive because too many people view GM negatively compared to other car brands.
Something drastic needs to happen. And it is this.
1. The brand GM needs to go away. Similiar to Philip Morris, GM needs a name change.
2. They need to get rid of the majority of the sub brands. Like the Japanese brands, there should be no more than 2 sub-brands (e.g Nissan and Infinity, Toyota and Lexus)and those sub-brands should be premium brands
3. Like the other car makers, the new name will drive the common product line. So if GM become LMW, the non premium product line might go as follows: LMW Prima, LMW Mitta, LMW Thun. These would compete against, for example, the Nissan Maxima, Ultima, and Versa, respectively. Look how this simplifies thing. Now GM can compete directly against its competitors. No longer will consumer have to traverse the GM tree (Chevy, Pontiac, Olds, Saturn, Cadillac, ...) to find a product that match their need.
4. Apply above streamlining to truck division. Is there really a need for the Cadillac Escalade, GMC Tahoe, and Chevy Surburban? Isn't it easier to market the LMW Real Big, Big, Normal, crossover?
5. Sell Saab!! My personal pieve...
Unless GM makes changes in line with those just prescribe, I am willing to bet good money they will be in trouble against regardless of whatever money is thrown its way. We need only look at Chrysler.
posted by 71.249.5...
, Sun, 17 May 2009 17:24:54
, Wed, 12 Nov 2008 19:54:21
, Sat, 15 Nov 2008 05:53:37
, Thu, 13 Nov 2008 08:29:22, Wed, 12 Nov 2008 19:55:21, Wed, 12 Nov 2008 08:43:06
, Wed, 12 Nov 2008 11:04:12, Fri, 14 Nov 2008 02:34:39
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