Well Hyundai is transferable. It is reduced to 5 yrs and 60K on the powertrain only. In 5 yrs. time the GM warranty is also expired. And if you are the original owner, you would have ten more years. And there is the missing 5 yr. Bumper to Bumper warranty. It is only one thing to consider when buying a car. If you have a GM car you think is wonderful to buy, I would in no way say that the lesser warranty should stop anyone from buying their dream car. Just saying that GM, in their advertising is saying they are the giving people the best coverage on their new car - I simply don't see it that way. If GM could explain how a shorter warranty is a best warranty or coverage, more power to them.
It has nothing to do with style, and nothing to do with how good the car itself is, but is simply there, in your face. Like the ad which was always saying to go Head2Head to compare their vehicle to others. Well, I did that - now what? I assume they are to win the challenge in a head to head, as the ad implies. I must have missed something. At least in most the comparisons I tried, the closest may have been a near miss. What it would more likely be is a preference in looks, ride, as in actually driving the car, or some loyalty to GM products / feel I guess. Raw data did not seem to blow away another car in the comparisons. I could see how someone may like the looks of say the Impala over the Accord, or like the old push-rod engines or for some other reason, but in the specs, I did not see the advantage there. And the Sonata, just by the numbers and content, is gonna win, as you know. Have no idea if the car is actually a good choice, but once again, it was GM which invites people to go head to head in comparing cars by the specs - data sheets. Same with a warranty, if it is going to in your face - advertised all over America, then I guess it is something to examine. To me it looks better than the worse, but not quite the best. How am I wrong in what the figures yield? -Loren
The 5 yr. 100K powertrain warranty is standard on all GM brands for year 2007.
3/36K is standard "bumper to bumper" on all brands except the brands with the 4/50K "bumper to bumper" which includes the following. Buick, Cadillac, Saab.
"Best coverage by a full line manufacturer (I don't think consumer cares about the "full line" part)"
Why do they play suchg stupid games. It's like when the G6 came out and GM ran an ad trumpeting "The most powerful standard V6 does not come in the Altima 2.5 S" Well d'uh. The 2.5 S is a four cyclinder. If you want to compare V6s, the G6 was only 65 hp short.
Unfortunately, half of the ads in the US is deceptive. True for car ads as well as other ads. So, I don't blame GM too much even though I remain unconvinced. I'm still open to buying GM (despite my terrible experience with GM products) if GM can improve quality and resale value. I can live with any styling as long as it's functional and not extreme. I see some signs of GM improving - but the question is whether GM will keep improving or take three steps back after taking two forward.
GM, Ford and Chrysler are permanently on a crisis/illusory recovery roller coaster. It just happens that right now Ford and Chrysler are in crisis mode, and GM in illusory recovery mode. Just last year, Chrysler was supposed to realize solide sustainable profits with its 300 and Dodge twin.
Each of the big 3 had at least several 'recoveries' and major crises during the last five years. As soon as one of them thought it had the road to steady profits figured out, here came another major blowout, worse than the last.
A carmaker can't really recover unless 1) it stops bleeding market share and 2) it starts making serious profits on each and every car it sells. Any other recovery is illusory. If I'm not mistaken, GM, Ford or Chrysler is far far from either. And really has no credible strategy to accomplish either.
3/36K is standard "bumper to bumper" on all brands except the brands with the 4/50K "bumper to bumper" which includes the following. Buick, Cadillac, Saab.
And how does this statement you made contradict my point that GM is only giving a solid warranty to their upper end lines?????? Seems you made my point, and I rest my case. Differing warranties means the junk gets a junk warranty, the decent gets a decent warranty.
'18 Porsche Macan Turbo, '16 Audi TTS, Wife's '19 VW Tiguan SEL 4-Motion
No, I would say it is more of an absolute, like mathematics. The devil is always in the details of course. Interesting how the Hyundai warranty is spelled out in detail, and it easily found on the website so people know what they are getting. I am only talking warranty now. Not talking about which car is best to buy, own, or maintain. GM is talking best coverage. Well then, how do they explain their math?
Now back to regular programming -- Will styling save GM? To that I say, first we have to see some serious styling. OK, the CTS and Solstice may be examples. Those to help, so add a check mark in the plus column. Now count the also ran --- maybe not, it will be depressing. For styling, it is 10% very good, 20% acceptable, and then all the rest. Yeah, I made that up
I see little use for the three companies to join if it is just to revive US profits. Renault and Nissan do well in the rest of the world. Nissan does well in the US also. Renault is a non player here because of the dark days of the 1980's. GM USA has nothing to bring to the table really. Aside from trucks. Their cars are cost cutting nightmares. Europe/Asia may be a different thing all together.
I was hyped about the Aura. I have driven the Vectra a few times in Europe. When I got to the dealer right off the bat I could tell the wheel base is longer on the Aura. The car looks like a stretched Vectra in sedan cloths. The tail lights and rear bumper are the biggest "American" thing about the car. I like the Opel rear much better. Interior wise they look very close. Only problem is that the Saturn has some sever cost cutting done to it. There are some very cheap details once you get to looking at it. If you do not mind those things then It is a hit. The drive is much softer in the Aura. I wasn't able to hit any curves in it but the steering is much more numb than the Opel. I'm sure this is set for what GM thinks Americans want. At any rate it is a huge jump over say a Malibu.
I think there has ALWAYS been a portion of the American public that was ready for Euro style. However, I don't see a whole ton of particularly Euro style elements in the Aura. What I am hoping when/if I drive one is that it has "Euro tuning" for the suspension/chassis. THAT would be news at the General, and would provide a great alternative to the cars from other GM brands. AND to the base Toyota Camry. In the meantime, the Aura gets MAXIMUM credit for the very good materials used in the interior, ESPECIALLY given this is GM we are talking about.
It sure would have been nice if they could have sprung for the DOHC engine as standard. Or had a class-leading DOHC four to drop in there as the base engine, and maybe have 3 engine options. As things stand, I wonder if the projected switch to more fuel-frugal cars will actually occur in America, and if so if it will hurt sales of V-6 midsize sedans, such as this one.
Does the General have any competition for smaller cars planned besides the slightly revised Aveo? It would be cool to see Saturn have a car smaller than Ion and its replacement. A 108" wheelbase makes for a pretty large Saturn Astra next year.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
There are so many things that could be done at Saturn. If GM wants to be smart about the whole thing they'll bring over as many of their European models as they can under the Saturn badge. Re-configure them for the U.S. market, but keep as much for their European breeding as possible, including styling and road manners. They could save a bunch of money and make a lot more on such vehicles, if they do it right. In just a few years Saturn could become something cool or hip like VW. Saturn already has a excellent dealer setup because lets face it that is the only reason they're still around considering the horrible car they've sold over the years.
Its their styling that really has killed GM sales other than a reputation for poor quality over the past 10 years or since the 80's. I have read articles on the internet that a big reason why young people don't buy Domestics other than quality has been exterior styling. I have to agree with those opinions in articles because I loke Mazda and Honda myself and I am in my mid 20's. I mean 1994 was the last year that GM sold 5 million cars. In my opinion GM just doesn't have the right styling on their cars in the past 10+ years. Gm just hasn't made the right moves with changing customer tastes or youth trends with exterior styling other than Caddy of late. Whatever happened to Pontiac being a styling leader like they were from 1985-1991? The 6000 was sweet for its time, and the 88 Grand Prix was great looking for its time. They just lost it with the 92 Boneville and 92 Grand Am exteriors and haven't got it back until recently when the Soltice came out. They try to cater to young people with Oldsmoble in the late 90's and it killed the brand. Maybe looking back on it they shouldn't have made the switch to cater to young people with Oldsmobile.
I know GM has gotten their styling more on track lately with Caddy especially and the Buick Lucrene but Pontiac needs a huge overhaul which I hope it will get. GM is in the same situation as Toyota right now in terms of core buyers: relying on the baby boomers to carry their brand.
Gm has made mistakes with the Gen X and Y thinking they will "buy American" like Boomers did back in the 80's. Young people like me are fussy on what we want. I don;t like when a brand like Gm lays out a product like Gm did in the 90's and expects to buy it like the boomers did in the 80's. It has to have good exterior styling and good interior plastics which was 2 things Gm didn't have in the 90's.
The ultimate alliance: GM and Ford Detroit's 2 titans talk about a partnership that would rock the industry -- and send Carlos Ghosn packing Senior executives at General Motors and Ford Motor Co. have discussed a merger or alliance, according to several sources familiar with the talks. But it is not at all clear whether the negotiations will bear fruit. As of now, the two companies are not holding talks, and one source says there's a slim chance that anything will come of it. story Published: 9/18/06 6:00 AM [SUB][$]
GM and Ford will be busy with merger, restructuring, acquisition, spin-offs, divesting stake in financial arms, etc. And, at the same time, Toyota and Honda will be busy redesigning their existing models and offering new technologies like hybrids.
GM this year and into next is launching vehicles with the all new dual phase hybrid system, as well as the value hybrid currently in the VUE in a number of other cars. The value hybrid in the VUE has been very well received.
On the other hand, Honda is starting to back away from Hybrids altogether, as its Hybrid Civic and Accord are not selling well at all.
Still no indication Toyota is going to offer a dual phase hybrid.
GM is also launching the largest fleet of fuel cell vehicles - 100 Equinox with fuel cells - on the market to date.
It would make a large company with significant buy power.
With the exception of Hybrids, the two are strong in the same North American segments and have issues in the same.
GM is stronger in Asia-Pacific and slightly so in South America. Ford is a little stronger in luxe Europe. GM is stronger in middle market Europe.
It may make sense if the companies were to expand co-operative r&d projects, as they did with the 6 speed automatic. This would put them somewhat closer on par with the Japanese and Europe, where safety and fuel economy research is underwritten by the government. On the other hand, Ford did not show much interest in the dual phase hybrid system. Maybe an alliance would incorporate some requirement the two co-operate in more instances.
Don't know, really. I think the strongest possible mergers out there would be Renault/Nissan and Ford and GM and Honda.
That's the big question. What are they going to do about the overlapping brands and factory overcapacity? Those situations are bad enough as it is, let alone if the companies merge.
This idea has been bandied about before (most recently by the Wall Street Journal), and it makes absolutely no sense.
It sure would have been nice if they could have sprung for the DOHC engine as standard. Or had a class-leading DOHC four to drop in there as the base engine, and maybe have 3 engine options. As things stand, I wonder if the projected switch to more fuel-frugal cars will actually occur in America, and if so if it will hurt sales of V-6 midsize sedans, such as this one.
The Aura will be available come March 07 with the value hybrid system, which matches the DOHC 2.4 litre ecotec and an electric engine. Expect mpgs around 34 highway, I guess.
Does the General have any competition for smaller cars planned besides the slightly revised Aveo? It would be cool to see Saturn have a car smaller than Ion and its replacement. A 108" wheelbase makes for a pretty large Saturn Astra next year.
Lutz earlier said not until the next generation Corsa, which will not be here until '10. I expect the Corsa launching in EU this month will find its way here as a Saturn before that, however.
I also think the Astra will be available with a clean burning diesel, which should have mpgs in the 40s or higher.
Increase North American revenue – GM's financial crisis erupted in the first quarter of 2005, when declining sales of high-ticket trucks sent North American revenue spiraling down 12.8 percent to $25.38 billion, a $3.72 billion decline from the same quarter in 2004.
The shift in product mix exposed a key vulnerability: GM sorely needs a healthy top line to meet enormous fixed costs such as health care and pensions.
"The company has had a difficult time driving revenue growth, which is, long term, the best indicator in determining the health of the company," says John Casesa, managing partner of Casesa Shapiro Group LLC in New York.
In the second quarter of this year, global revenues climbed 12 percent to $54.4 billion. North America delivered a hefty 5.6 percent boost, to $28.5 billion.
Improve residuals – The 36-month vehicle residual forecasts for GM brands are up from 2003 forecasts by 2 to more than 9 percentage points, according to Automotive Lease Guide in Santa Barbara, Calif. But GM's residuals overall remain well below those of the Honda, Nissan, Toyota, BMW, Mercedes-Benz and Audi brands.
A source close to GM says achieving parity with the Japanese on residuals is one of the top goals of the company's board of directors. Higher residuals mean a lower monthly payment and higher trade-in value for customers, allowing GM to avoid heavy incentives.
Improve long-term quality – GM's move to extend its powertrain warranty to five years or 100,000 miles is gutsy.
The J.D. Power and Associates Vehicle Dependability Study, which measures problems reported over three years, ranks only two GM brands, Buick and Cadillac, above the industry average. Hummer and Saab are at the bottom.
"While GM has made strides in quality, production and efficiency, it hasn't translated to the consumer's mind," says Bob Schulz, director of Standard & Poor's rating services. "The extended warranty could help change that."
But GM must continue improving quality to impress customers attracted by the extended warranty and to avoid heavy warranty costs.
Increase factory capacity use – According to the Harbour Report, GM was using 90 percent of its production capacity in 2005. Ideally, the company needs to get to 100 percent.
GM's new global product development process emphasizing common platforms should help produce products more efficiently by allowing more vehicles to be built in the same plant, says Brett Hoselton, senior automotive analyst for KeyBanc Capital Markets in Cleveland.
GM's plans to close plants as part of its recovery also will help reduce excess capacity. But hot-selling vehicles are the ultimate solution.
Raise share price -- GM stock has traded recently at about $33 per share. That's up from $18.90 in January. But in April 2000, GM's stock reached $93.62 per share.
No one expects GM to reach that price anytime soon. But those close to the automaker say it needs to get its share price on a trajectory to reach that level again.
Improve market share – GM's U.S. market share is at 24.7 percent through August. That's down from 26.9 percent a year ago. GM had a 28.6 percent share in 2002.
Although profitability is the ultimate sign of a company's health, analysts agree that share matters.
Says Hoselton: "Market share has a significant psychological impact on people, if nothing else."
One isolated example of Accord Hybrid doesn't prove anything. Unsuccessful launches are also common with GM, e.g. Terraza, Aztek, VUE CVT, Catera (I hope I got the spelling right). Also, I made my remarks in response to the post on GM-Ford merger. And, my comments are very valid. Do yourself a favor - just check the recent history - Fiat, Saab, Subaru, Isuzu, Daewoo, Jaguar, Aston Martin, Volvo, Mazda, Land Rover, Hertz, Visteon, and even some silly websites during dotcom boom, .... the list goes on. Ford and GM are perpetually busy with all these activities. Toyota and Honda are busy making cars. Honda is now close to outselling Chrysler and Toyota is close to outselling Ford. Toyota is now pursuing GM. GM needs to focus on cars, trucks and cars instead of mergers!
One isolated example of Accord Hybrid doesn't prove anything.
Civic Hybrid as well. It, and the fact Honda has no future hybrids lined up certainly proves they are not going big on hybrids.
Do yourself a favor - just check the recent history - Fiat, Saab, Subaru, Isuzu, Daewoo, Jaguar, Aston Martin, Volvo, Mazda, Land Rover, Hertz, Visteon, and even some silly websites during dotcom boom, ....
Do yourself a favor and review all the facts before placing lists.
Fiat not good for GM. Saab so-so. both fairly recent. GM forged a deal with Isuzu more than 25 years ago. When GM dropped its interest in Isuzu, it got all of Isuzu's small diesel works. A huge boom for every nation other than the US where diesel is popular.
Daewoo is a stellar aquisition. GM has been able to play the Daewoo acquisition (which was for pennies) into a major market share stake in China, India, Eastern Europe and Korea, as well as get cars for export to the US and EU.
Ford has had Mazda for around 20 years. Ford acquired Hertz more than 50 years ago. Spinning it off now merely reflects changes in the industry. Volvo is a very good fit with Ford and may be one of the main keys in a new Ford company. Aston Martin and Jaguar are problems but not so bad.
Toyota in fact has bought companies. Toyota bought GM's interest in Fuji. It also bought Daihatsu, a Japanese mini-car manufacturer.
Didn't mama tell you that two wrongs don't make a right? Seriously, the merger of two weak companies has always ended in the future demise of both struggling companies within the auto industry. It is possible there is an exception to this rule, but I am at a loss to think of one at the moment. A merger would create a company with the worlds largest debt, I guess, if that is a record to be proud of. Guess it can not surpass the U.S. debt.
Many of those hanging on to buying Ford or GM do so out of loyalty to the brand. A merger would create zero brand loyalty. My goodness, it would be like having a merger of Microsoft and Macintosh, the Dallas Cowboys and Washington Redskins, or Hillary Clinton running for president on the Republican tick. That dog ain't gonna hunt! Which car to buy a Camaro, or a Mustang? No, I'll just buy the Camstang. -Loren
Oh yes, of course, I forgot about the hybrid. The salesman I was talking to actually mentioned it, in fact he said it would be available around January 1, so it might be here earlier than the planned March launch.
The question mark is the price of course. I would hope they could offer the base hybrid model with the standard equipment of the XE for about $21K, or just a few hundred $$ higher than the V-6 XE. They have been making a lot of fuss about how the new hybrid system is a lot cheaper to offer than current hybrid systems from other automakers. And indeed, the Vue hybrid has a very small premium over the regular Vue, I believe. At $22Kish, it certainly has a very manageable price.
They should spend the bucks to federalize the current Corsa, which is new or almost new in Europe, isn't it? The investment would pay them back in spades, I believe. Saturn should have a proper small car to take on the imports.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
Daewoo / Aveo - GM? Strange how these sell, when you could just buy another Korean car for less money and a longer warranty. Smoke and mirrors works just fine -- really cool how the human mind works.
How about Toyota -GM and Ford, creating one company called Toyota, General Industries, and Ford. Or TGIF ? -Loren
I seriously doubt they (GM/FORD) will merge anytime soon. It was probably just something 'thrown out on the table' in a board meeting.
I don't see any good that could come of it, and it would distract everyone at both places trying to sort out the mess of combining them. Geez, just imagine - who stays/who goes, who leads it, which models get axed, which models do we continue with, which compete with each other for the same buyer, etc, etc.
Daewoo / Aveo - GM? Strange how these sell, when you could just buy another Korean car for less money and a longer warranty. Smoke and mirrors works just fine -- really cool how the human mind works
Yes. That must be it.
If things do not go according to the Loren rules, either the company is engaging in subertfuge or the consumer is stupid.
The thought maybe that the 10s of thousands buying the Aveo are intelligent, informed consumers could never be at play. :sick:
If the VUE Greenline is any guide, the Aura GL might be both a deal and do pretty well mileage wise.
I concur with your disappointment on the Corsa. The Corsa is launching in the EU following the Paris Auto Show. I guess GM does not have spare EU capacity to make them for export to the US. It would have been nice to have them made here in NA as well.
Possibly the delay is owing to how long it will take to re-tool the factory (my bet is Spring Hill) that will make them here. I wish GM had this underway already.
Actually, considering that the price for an Aveo in Korea is $7000 after converting to USD, it's a huge cash-cow for GM and the #1 reason people shouldn't buy it. Suzuki makes a far better small car, and so does Hyundai/Kia.
Thing is that GM has had big issues in making attractive and economical small cars- it's just not in their "core competancy" for the North American market, and with cheap fuel for years, they didn't have to. But Daewoo and other companies have lived with astronomical fuel prices for years- so why try to re-invent something when you can buy the technology? But GM and Ford- where is the synergy there? Both are struggling with some of the same issues, but I have read that GM is somewhat ahead in recovery. Wonder what the Ford family thinks of all this- they own 40% of Ford, they would become minor players in a merged company.
Sometimes I think that GM and Ford should just become "contract manufacturers" for Toyota/Nissan/Honda- just use their factories to make sub-assemblies and assembled vehicles for vehicles designed and engineered by the Asians. Then there would be no vehicle fiascos like they have each had over the years. Never happen (of course), but it's an idea!
A merger of GM and Ford just doesn't make sense to me...they both make only a handful of decent cars...the rest are horrible looking. If GM would get more winners like the CTS, G6, etc...then maybe they wouldn't have to rely on others to help them out of the rut that they have dug themselves in.
Why would the Asians want to mess with the UAW? They could outsource the work to China/India/S. Korea/Indonesia for a heck of a lot less and not have to mess with the bastards at the UAW.
Regarding GM this year and into next is launching vehicles with the all new dual phase hybrid system, as well as the value hybrid currently in the VUE in a number of other cars. The value hybrid in the VUE has been very well received.
On the other hand, Honda is starting to back away from Hybrids altogether, as its Hybrid Civic and Accord are not selling well at all.
1) GM better make some money off the hybrids.
2) Honda will roll out a mass-produced commercial hydrogen fuel cell car in 2010.
Comments
It has nothing to do with style, and nothing to do with how good the car itself is, but is simply there, in your face. Like the ad which was always saying to go Head2Head to compare their vehicle to others. Well, I did that - now what? I assume they are to win the challenge in a head to head, as the ad implies. I must have missed something. At least in most the comparisons I tried, the closest may have been a near miss. What it would more likely be is a preference in looks, ride, as in actually driving the car, or some loyalty to GM products / feel I guess. Raw data did not seem to blow away another car in the comparisons. I could see how someone may like the looks of say the Impala over the Accord, or like the old push-rod engines or for some other reason, but in the specs, I did not see the advantage there. And the Sonata, just by the numbers and content, is gonna win, as you know. Have no idea if the car is actually a good choice, but once again, it was GM which invites people to go head to head in comparing cars by the specs - data sheets. Same with a warranty, if it is going to in your face - advertised all over America, then I guess it is something to examine. To me it looks better than the worse, but not quite the best. How am I wrong in what the figures yield?
-Loren
Rocky
The 5 yr. 100K powertrain warranty is standard on all GM brands for year 2007.
3/36K is standard "bumper to bumper" on all brands except the brands with the 4/50K "bumper to bumper" which includes the following. Buick, Cadillac, Saab.
Rocky
Rocky
Why do they play suchg stupid games. It's like when the G6 came out and GM ran an ad trumpeting "The most powerful standard V6 does not come in the Altima 2.5 S" Well d'uh. The 2.5 S is a four cyclinder. If you want to compare V6s, the G6 was only 65 hp short.
Each of the big 3 had at least several 'recoveries' and major crises during the last five years. As soon as one of them thought it had the road to steady profits figured out, here came another major blowout, worse than the last.
A carmaker can't really recover unless 1) it stops bleeding market share and 2) it starts making serious profits on each and every car it sells. Any other recovery is illusory. If I'm not mistaken, GM, Ford or Chrysler is far far from either. And really has no credible strategy to accomplish either.
And how does this statement you made contradict my point that GM is only giving a solid warranty to their upper end lines?????? Seems you made my point, and I rest my case.
Differing warranties means the junk gets a junk warranty, the decent gets a decent warranty.
Now back to regular programming -- Will styling save GM? To that I say, first we have to see some serious styling. OK, the CTS and Solstice may be examples. Those to help, so add a check mark in the plus column. Now count the also ran --- maybe not, it will be depressing.
-Loren
It sure would have been nice if they could have sprung for the DOHC engine as standard. Or had a class-leading DOHC four to drop in there as the base engine, and maybe have 3 engine options. As things stand, I wonder if the projected switch to more fuel-frugal cars will actually occur in America, and if so if it will hurt sales of V-6 midsize sedans, such as this one.
Does the General have any competition for smaller cars planned besides the slightly revised Aveo? It would be cool to see Saturn have a car smaller than Ion and its replacement. A 108" wheelbase makes for a pretty large Saturn Astra next year.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
M
I know GM has gotten their styling more on track lately with Caddy especially and the Buick Lucrene but Pontiac needs a huge overhaul which I hope it will get. GM is in the same situation as Toyota right now in terms of core buyers: relying on the baby boomers to carry their brand.
Gm has made mistakes with the Gen X and Y thinking they will "buy American" like Boomers did back in the 80's. Young people like me are fussy on what we want. I don;t like when a brand like Gm lays out a product like Gm did in the 90's and expects to buy it like the boomers did in the 80's. It has to have good exterior styling and good interior plastics which was 2 things Gm didn't have in the 90's.
Rocky
True. But what car manufacturer are you referring to? Toyota?
-Loren
GM
Rocky
The ultimate alliance: GM and Ford
Detroit's 2 titans talk about a partnership that would rock the industry -- and send Carlos Ghosn packing
Senior executives at General Motors and Ford Motor Co. have discussed a merger or alliance, according to several sources familiar with the talks. But it is not at all clear whether the negotiations will bear fruit. As of now, the two companies are not holding talks, and one source says there's a slim chance that anything will come of it. story Published: 9/18/06 6:00 AM [SUB][$]
2002/03 was revolutionary for Nissan. Shouldn't GM (and Ford) be aiming for the same agility?
Rocky
Rocky
http://media.gm.com/servlet/GatewayServlet?target=http://image.emerald.gm.com/gm- news/viewpressreldetail.do?domain=2&docid=28560
On the other hand, Honda is starting to back away from Hybrids altogether, as its Hybrid Civic and Accord are not selling well at all.
Still no indication Toyota is going to offer a dual phase hybrid.
GM is also launching the largest fleet of fuel cell vehicles - 100 Equinox with fuel cells - on the market to date.
On to your next theory.
With the exception of Hybrids, the two are strong in the same North American segments and have issues in the same.
GM is stronger in Asia-Pacific and slightly so in South America. Ford is a little stronger in luxe Europe. GM is stronger in middle market Europe.
It may make sense if the companies were to expand co-operative r&d projects, as they did with the 6 speed automatic. This would put them somewhat closer on par with the Japanese and Europe, where safety and fuel economy research is underwritten by the government. On the other hand, Ford did not show much interest in the dual phase hybrid system. Maybe an alliance would incorporate some requirement the two co-operate in more instances.
Don't know, really. I think the strongest possible mergers out there would be Renault/Nissan and Ford and GM and Honda.
This idea has been bandied about before (most recently by the Wall Street Journal), and it makes absolutely no sense.
The Aura will be available come March 07 with the value hybrid system, which matches the DOHC 2.4 litre ecotec and an electric engine. Expect mpgs around 34 highway, I guess.
Does the General have any competition for smaller cars planned besides the slightly revised Aveo? It would be cool to see Saturn have a car smaller than Ion and its replacement. A 108" wheelbase makes for a pretty large Saturn Astra next year.
Lutz earlier said not until the next generation Corsa, which will not be here until '10. I expect the Corsa launching in EU this month will find its way here as a Saturn before that, however.
I also think the Astra will be available with a clean burning diesel, which should have mpgs in the 40s or higher.
The shift in product mix exposed a key vulnerability: GM sorely needs a healthy top line to meet enormous fixed costs such as health care and pensions.
"The company has had a difficult time driving revenue growth, which is, long term, the best indicator in determining the health of the company," says John Casesa, managing partner of Casesa Shapiro Group LLC in New York.
In the second quarter of this year, global revenues climbed 12 percent to $54.4 billion. North America delivered a hefty 5.6 percent boost, to $28.5 billion.
Improve residuals – The 36-month vehicle residual forecasts for GM brands are up from 2003 forecasts by 2 to more than 9 percentage points, according to Automotive Lease Guide in Santa Barbara, Calif. But GM's residuals overall remain well below those of the Honda, Nissan, Toyota, BMW, Mercedes-Benz and Audi brands.
A source close to GM says achieving parity with the Japanese on residuals is one of the top goals of the company's board of directors. Higher residuals mean a lower monthly payment and higher trade-in value for customers, allowing GM to avoid heavy incentives.
Improve long-term quality – GM's move to extend its powertrain warranty to five years or 100,000 miles is gutsy.
The J.D. Power and Associates Vehicle Dependability Study, which measures problems reported over three years, ranks only two GM brands, Buick and Cadillac, above the industry average. Hummer and Saab are at the bottom.
"While GM has made strides in quality, production and efficiency, it hasn't translated to the consumer's mind," says Bob Schulz, director of Standard & Poor's rating services. "The extended warranty could help change that."
But GM must continue improving quality to impress customers attracted by the extended warranty and to avoid heavy warranty costs.
Increase factory capacity use – According to the Harbour Report, GM was using 90 percent of its production capacity in 2005. Ideally, the company needs to get to 100 percent.
GM's new global product development process emphasizing common platforms should help produce products more efficiently by allowing more vehicles to be built in the same plant, says Brett Hoselton, senior automotive analyst for KeyBanc Capital Markets in Cleveland.
GM's plans to close plants as part of its recovery also will help reduce excess capacity. But hot-selling vehicles are the ultimate solution.
Raise share price -- GM stock has traded recently at about $33 per share. That's up from $18.90 in January. But in April 2000, GM's stock reached $93.62 per share.
No one expects GM to reach that price anytime soon. But those close to the automaker say it needs to get its share price on a trajectory to reach that level again.
Improve market share – GM's U.S. market share is at 24.7 percent through August. That's down from 26.9 percent a year ago. GM had a 28.6 percent share in 2002.
Although profitability is the ultimate sign of a company's health, analysts agree that share matters.
Says Hoselton: "Market share has a significant psychological impact on people, if nothing else."
Civic Hybrid as well. It, and the fact Honda has no future hybrids lined up certainly proves they are not going big on hybrids.
Do yourself a favor - just check the recent history - Fiat, Saab, Subaru, Isuzu, Daewoo, Jaguar, Aston Martin, Volvo, Mazda, Land Rover, Hertz, Visteon, and even some silly websites during dotcom boom, ....
Do yourself a favor and review all the facts before placing lists.
Fiat not good for GM. Saab so-so. both fairly recent. GM forged a deal with Isuzu more than 25 years ago. When GM dropped its interest in Isuzu, it got all of Isuzu's small diesel works. A huge boom for every nation other than the US where diesel is popular.
Daewoo is a stellar aquisition. GM has been able to play the Daewoo acquisition (which was for pennies) into a major market share stake in China, India, Eastern Europe and Korea, as well as get cars for export to the US and EU.
Ford has had Mazda for around 20 years. Ford acquired Hertz more than 50 years ago. Spinning it off now merely reflects changes in the industry. Volvo is a very good fit with Ford and may be one of the main keys in a new Ford company. Aston Martin and Jaguar are problems but not so bad.
Toyota in fact has bought companies. Toyota bought GM's interest in Fuji. It also bought Daihatsu, a Japanese mini-car manufacturer.
The list goes on and on.
Next theory.
Seriously, the merger of two weak companies has always ended in the future demise of both struggling companies within the auto industry. It is possible there is an exception to this rule, but I am at a loss to think of one at the moment. A merger would create a company with the worlds largest debt, I guess, if that is a record to be proud of. Guess it can not surpass the U.S. debt.
Many of those hanging on to buying Ford or GM do so out of loyalty to the brand. A merger would create zero brand loyalty. My goodness, it would be like having a merger of Microsoft and Macintosh, the Dallas Cowboys and Washington Redskins, or Hillary Clinton running for president on the Republican tick. That dog ain't gonna hunt! Which car to buy a Camaro, or a Mustang? No, I'll just buy the Camstang.
-Loren
The question mark is the price of course. I would hope they could offer the base hybrid model with the standard equipment of the XE for about $21K, or just a few hundred $$ higher than the V-6 XE. They have been making a lot of fuss about how the new hybrid system is a lot cheaper to offer than current hybrid systems from other automakers. And indeed, the Vue hybrid has a very small premium over the regular Vue, I believe. At $22Kish, it certainly has a very manageable price.
They should spend the bucks to federalize the current Corsa, which is new or almost new in Europe, isn't it? The investment would pay them back in spades, I believe. Saturn should have a proper small car to take on the imports.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
How about Toyota -GM and Ford, creating one company called Toyota, General Industries, and Ford. Or TGIF ?
-Loren
I don't see any good that could come of it, and it would distract everyone at both places trying to sort out the mess of combining them. Geez, just imagine - who stays/who goes, who leads it, which models get axed, which models do we continue with, which compete with each other for the same buyer, etc, etc.
what a mess it would be.
Yes. That must be it.
If things do not go according to the Loren rules, either the company is engaging in subertfuge or the consumer is stupid.
The thought maybe that the 10s of thousands buying the Aveo are intelligent, informed consumers could never be at play. :sick:
I concur with your disappointment on the Corsa. The Corsa is launching in the EU following the Paris Auto Show. I guess GM does not have spare EU capacity to make them for export to the US. It would have been nice to have them made here in NA as well.
Possibly the delay is owing to how long it will take to re-tool the factory (my bet is Spring Hill) that will make them here. I wish GM had this underway already.
The Corsa looks like a real gem.
2) Companies are not supposed to make profits?
3) The Aveo is competitively priced against all makes, including those from Suzuki and HyunKia
4) You are saying Suzuki and HyunKia do not make profits?
Sometimes I think that GM and Ford should just become "contract manufacturers" for Toyota/Nissan/Honda- just use their factories to make sub-assemblies and assembled vehicles for vehicles designed and engineered by the Asians. Then there would be no vehicle fiascos like they have each had over the years. Never happen (of course), but it's an idea!
Yep. Loser + Loser = Mega Loser
On the other hand, Honda is starting to back away from Hybrids altogether, as its Hybrid Civic and Accord are not selling well at all.
1) GM better make some money off the hybrids.
2) Honda will roll out a mass-produced commercial hydrogen fuel cell car in 2010.