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Old 06-24-2008, 09:33 PM   #41 (permalink)
milton112c
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Re: Saving General Motors

Quote:
Originally Posted by SierraGS View Post
We have a winner.

Finally a logical post based upon REVENUE GROWTH.

Agree with most of it but would make Hummer a "floating" brand - any dealer or "channel" that wanted to sell Hummer products could for a trial period and if successful would get a franchise - same would apply to SAAB/Saturn.

As Jerrry put it
"Unlike some commentators, I do not think GM's problem is that it has too many divisions. It is shifting Buick, Pontiac and GMC to common dealerships, which means some divisions are becoming more like individual models rather than full-fledged brands. It causes less public relations damage and legal liabilities to leave Buick with a few models, rather than endure the type of bad publicity it endured a few years ago when it phased out Oldsmobile."



GM has to get far, far, far away from this brand cutting strategy that does not work and only suceeds in either driving customers away from GM or prevents them from considering one - who wants to put over $20,000 into a product that may not be around next year?

An spare me if they cut back they can regrow GM - get a job on a Farm.



And then points out
"I think that GM made a big mistake and did a great disservice to itself and to its dealers when it recently announced that it was looking for ways to unload Hummer. Yes, the biggest Hummers are gas pigs, but Hummer is a strong brand to put up against Jeep. It was a mistake, too, to cancel production of the Hummer H4, a smaller vehicle to compete against the iconic Jeep Wrangler. Just because consumers are flocking to vehicles that are more efficient does not mean that they do not want exciting, macho, sport utility vehicles."


If you want less market share (and sales) cut brands and dealers (as history proves is true) - if you want to survive; develop a survival strategy.

First thing GM has to do is in no uncertain terms state "GM will not cut any brand, but will reduce the number of models each brand offers and build from there". GM MUST get consumers thinking it will be around tommorrow - not which brand won't.

Would you buy a high price product from a company that all you hear from them is cut, cut, cut? Are you next? Do they really care about you? Do they make a quality product or one "good enough".

No.

You buy high price products from companies that present themselves as strong and thriving and one that focuses on you the customer.

Think about the slogan "Moving Forward".

People want to be a part of an exciting future and a company that states it, even if customers know nothing about this company or the industry at large, THIS is the company they are drawn to.

It speaks of strength and vison, any wonder it draws customers?

GM needs a vision and one that includes all GM brands as it desparately needs every customer it has to build on and be advocates for GM not sources of criticism, something the media thrives on and loves to present at any moment - any wonder people don't trust GM or it's products?

Besides cutting brands reminds me of the old practice of blood letting, sounded like a good idea at the time - get enough of the bad stuff out and you will be fine (or not).

GM can continue the doom and gloom of cutting (blood letting) to oblivion or present a vision and rally its customers behind it.
YES! Well said!
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