[Swahili]

Thanks, But No Thanks.
Editorial by Swahili
www.gminsidenews.com


“GM’s going under!” they told me.

“Nissan’s going to buy GM, that’s huge!” they said.

Over the last couple years, friends of mine realized the affinity I have for General Motors and often ask what I think about their situation, given the news about Toyota fighting to take over number one spot in the world as the largest auto manufacturer.

“Give them a year or two.” I told them.

Since then, GM has rolled out products like the Pontiac Solstice, Saturn Sky (recently named the most searched car on the net), Chevy HHR, the GMT900 SUVs (and soon to follow pickup trucks). GM is making massive steps to improve their products and getting back to basics: building vehicles that people want to buy. Though lower volume production cars, the Solstice and Sky roadsters spend much less time on dealer lots than the industry average. Heck, dealer mark up of almost 20% proves that each are in high demand and if you didn't put your name on the waiting list, chances are you’re waiting until next year to get your own.

Recently, here at GMI we’ve all seen the flood of news articles about the proposed ‘alliance’ between Nissan-Renault and General Motors, largely influenced by billionaire investor Kerkorian. Carlos Ghosn is said to be interested in buying a large stake of General Motors shares. I for one, am not happy with this proposition.

Given GM’s record over the last couple years, they’ve proven that with the right focus and allocation of resources in styling and engineering, they can produce some of the hottest, most unique vehicles on the market. To GM’s fault, they’ve also shown that they’re not 100% consistent in terms of spreading this creativity out over the entire span of the company in all divisions. This means there is still a lot of work to be done. But make no mistake, GM is not resting on its laurels, they can’t afford to and they know it.

I truly believe the powers that be are working aggressively to bring out the best products they can, and thus, I really feel that the General is perfectly capable of pulling out of the financial tailspin and moving forward to profitability on their own two feet. Let’s be honest, is an alliance with Nissan going to solve all of the problems for General Motors? Not likely. GM has the platforms and engines, or close to finishing up most recent developments. GM is lacking in 5 and 6 speed transmissions in their mainstream passenger cars but are Nissan units in GM vehicles going to make mass numbers of the public flock to GM’s dealerships? Not necessarily. I stand thinking that Nissan has more to benefit from the proposed alliance than the other way around.

GM can make it through on their own, it’s a question of time. Well General Motors, the time is now. And to be blunt, I leave you with this: I would rather see General Motors stand alone and make a gargantuan effort to reclaim it’s undisputed title as number one in the world and fail, than to ally with Nissan-Renault and get sucked dry by arrogant investors with too much time and money on their hands trying to make a buck.