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What if GM Dumps Saturn?

88 messages, Last post on Nov 23, 2009 at 7:58 PM
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Replying to: joshuag (Dec 08, 2008 2:28 am) link title link title Once again, GM is counting on the consumer to "wait until next year" only this time, it's 2011.
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Replying to: anythngbutgm (Dec 08, 2008 6:08 am) |
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Replying to: joshuag (Dec 07, 2008 10:48 pm) Last time when I checked G8 "The BMW killer" it wasn't so. Please let me know when I could buy American bmw 335i. |
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GM hopes to conceive a new business model to make the brand profitable, LaNeve says. Saturn is not a candidate for sale because it has no dedicated manufacturing or engineering facilities apart from GM, according to another source. http://www.autonews.com/article/20081208/ANA03/812080318/1078 (registration link) As General Motors executives weigh the future of the disappointing Saturn division, GM is not allocating new money toward future Saturn products, according to a source familiar with GM's budget. I guess they made the same mistake again in the late 80s, setting up Saturn. But maybe the law forbids having a brand with factory stores in 50 states, I dunno. And if GM terminated the brand like it did Oldsmobile in 2000, state franchise laws would protect the 211 dealers who own 425 Saturn dealerships Dealer broker Mark Johnson estimates that GM would have to pay $3 million to $5 million to buy out the average GM dealer. So Saturn's dealer network alone could cost upward of $1 billion to shut down. And yikes, is this really all the sales they have had this year?! Through November, Saturn's sales are down 20.9 percent to 175,434 compared with the year-ago period. Saturn's three cars — the Aura, Astra and Sky — sold a combined 76,191 units through November, while the Chevrolet Impala alone sold 244,692 units. And that is with the Aura, COTY etc, out less than two full years, isn't it? And Astra only in its first year. This brand needs to go, somehow, some way.
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I think they should keep Saturn, since they have put decent work into the car, and looks some what modern. They have a good thing to work from. Just a little tweaking here and there to make the Saturn brand more solid. However, Drop Pontiac.The brand is very stale, cheap and now is not the time to try to bring back a brand to life, other than its new G8! With sales down for the G8, rumors of it discontinuing, it will go away along with Pontiac. They can make up for this some where else in their line up! Perhaps throw that platform into a Chevy or even Saturn Brand. The issue at hand is that GM has too many cars to focus on, and with that, they cannot put they same kind of work they put into say a Cadillac. Pontiac is going down anyway now, as it is public knowledge that they won't be focusing on it. I feel that this has already been the case all along, GM has certain areas they focus anyway, the rest of the cars are just another car, nothing too special, perhaps just another money maker or a stale car sitting on the lot. So with them announcing which cars they will focus on, is only confirming it from the source, when its been going on like this for years. I truly beleive Saturn has something great to work with, it is an attractive car, but needs a bit tweaking, like interior, quality, build, just going a bit further would make a world of difference. Pontiac is too far gone I think to repair its reputation. The G8 would have brought the Brand name up if it wasn't for the economy. I still believe they could have worked a more efficient engine in the car. Perhaps, lose the G8 name and replace the G6 with the new G8 look. Too late! bummer. Now is not the time to play games. Its down to business, drop Pontiac, Perhaps drop another brand or two, to slim down the size of GM, then focus on your most highly sold cars, and work from there. Then they would have more cash flow to put quality into their products and gradually build their name back up. GM just needs to lose the extra weight, Now is not the time to play around with diets, just lose it! |
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Replying to: nippononly (Dec 08, 2008 8:25 am) dtownfb, "Saturn may be easier to kill.... " #1348, 8 Dec 2008 9:03 am
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Replying to: steve_ (Dec 08, 2008 9:47 am) "Johnson" is Mark Johnson, president of financial advisory and brokerage firm MD Johnson near Seattle. I wonder when GM will make some decisions about what it will do with Saturn. It seems media speculation is running ahead of the actual facts, and WAY ahead of any moves by GM itself. |
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GM needs to file chapter 11, get rid of UAW, and hire all new management.
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Replying to: jimlockey (Dec 08, 2008 3:05 pm) |
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I sure as hell could careless about Saturn, Pontiac, and Buick, no ones likes them, and are garbage in my eyes.
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