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Automotive News & Views GM News, New Models and Market Share
8501 messages, Last post on Nov 28, 2009 at 10:40 PM
You are in the Automotive News & Views Forum. Your Hosts are steve_ & claires
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Replying to: circlew (Jan 06, 2009 9:20 am) It also feeds the perception that the foreign makes are better. We (Americans) have been trained to believe that if something is cheaper, it's probably not as good as the more expensive product (I know this is debatable but allow me some latitude here to make my point). So people are now willing to pay more for a comparable Accord, Civic, Camry, etc. over a Fusion, Malibu, Impala, etc. It took years for this to develop and it will take years for the perception to change. Unfortunately GM and Chrylser only have months not years to survive. The sad part is all indication of this dynamic was in place back in the mid-90s. The year the Accord surpassed the Taurus as the most popular car marked the beginning of the end. Unfortunately Wagoner and his gang were too blinded by the profits they wer making on pickups and SUVs to notice. The 2008 Malibu and CTS are very nice vehicles but it's about a decade too late.
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Replying to: dtownfb (Jan 06, 2009 10:00 am) The foreign brands can reap that benefit you mentioned because they earned it. We are experienceing the effects of what the D3 have earned. The market share of GM needs to be no more than 15% and the incentives cut by 25% as the pricing model changes on all GM nameplates. It's the only way. It'll be interesting to see the final plan. Regards, OW
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Replying to: m4d_cow (Jan 06, 2009 6:37 am) GM is number 4 just under Lexus virtually tied with MB and a couple ahead of BMW and way ahead of Acura. http://www.jdpower.com/corporate/news/releases/pressrelease.aspx?ID=2008250
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Replying to: 62vetteefp (Jan 06, 2009 5:31 pm) |
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Replying to: circlew (Jan 06, 2009 9:20 am) Condos on the Ocean in Fla are renting for 1200 a month with landlords making 2400 mortgage payments. Strategy: live to fight another day. Look at all the retailers who have one down xmas sales year and have no cushion established and going out of business now. Stupidity. Should I not be happy with dealers advertising Malibu and Impala at $14,900? I am happy about it. In a way, I get my $134 share (one taxpayer's worth) of the auto bailout back if I buy one. I could live with the warranty risk for $5k up front. The fact that Honda's market share is rising does not make me happy. Reason: jobs, jobs, jobs. If an Accord is $5k more than a Malibu, I should join the masses and buy the Accord and then complain about the bailout (a whopping $134 to me) and wonder why there are no good technical jobs in the Midwest? |
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Replying to: dave8697 (Jan 06, 2009 8:57 pm) You should buy the car that you feel offers the best value for your money. If that's the Malibu, so be it, but many others have chosen the Accord or Camry (or are waiting for the 2010 Fusion, heh). If more people felt the Malibu was better for them and GM was making money on each sale, then GM would be OK. Thing is, GM loses money at the price you mentioned, which is not good business practice. If the consumer is unwilling to buy a GM vehicle at a price that generates a profit for GM, then GM has to either cut costs, or make a better product people are willing to pay more for, so they an stay in business. Right now they've done neither effectively, so instead of being rewarded with our money, they managed to swing a bailout...and got rewarded with our money anyway. So absolutely you should complain. Heck, everyone who HAS bought their products are suddenly finding themselves paying more for it after the fact, is that right? |
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Replying to: dave8697 (Jan 06, 2009 8:57 pm) That is like buying friends. Anyone can get customers by giving the product away. GM is trying to survive. I see GM as a giant beached whale. Too big for anyone to push back into the water without killing it. If you have never seen a beached whale it is a sad agonizing slow death. |
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Replying to: dave8697 (Jan 06, 2009 8:57 pm) **** Yet where are those jobs being made? Most likely in one of the new U.S. plants they want to build or if one of the D3 fails, a plant that they will take over. Meanwhile GM is moving more and more stuff outside of the U.S. Don't confuse "Made in America" with "Made in the U.S.A." when they start pimping their cars in the ads. Because, thanks to NAFTA, If it's made in Mexico, the U.S.A., or Canada, it counts as 100% domestic and "Made in America". Unfortunately these guys are weasels. You have to track where the money is going and exactly where the cars are made. If that first VIN number isn't a 1, you're not helping the domestic workers or economy.
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Replying to: plekto (Jan 07, 2009 7:42 am) That is correct. Looking at the door tag on my Sequoia, it says Made In USA. I believe it has as much US content as most domestics sold in the US. It was built by real workers in a factory in Indiana. Gauging by the way it was put together, they were happier workers than the Indiana UAW workers that built my 2005 GMC PU Truck. Made by Union workers used to carry a sense of pride with it. Does not seem to be that way anymore.
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Replying to: gagrice (Jan 07, 2009 8:57 am) |
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