Daewoo Returns GM To Forward Gear

[JoeT]

Daewoo Returns GM To Forward Gear

Ian Porter
29 May 2007
www.drive.com.au

Could Korean carmaker Daewoo be the saviour GM is desperately seeking?

The shocking decline in the fortunes of General Motors, the world's biggest car maker, appears to have ended thanks, in part, to its acquisition of Daewoo.

The acquisition was starting to look like "the buy of the century", a senior GM executive said.

"A key element in the turnaround, we believe, is that at long last we are operating as a global company," GM vice-president of communications Steve Harris said in Melbourne yesterday.

He said GM had been an international company since the 1920s but was made up of a group of independently operating companies.

GM had never leveraged the capabilities it had around the world, he said.

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[redimpss5]

I applied for a car loan 2 years ago, and one of the rules was no Daewoo. They even know about them!

[ZvetteGuy]

Some times you win.... sometimes you lose...

I am glad that GM won with the purchase of Daewoo...

(we are the proud owners of a Daewoo microwave--I wonder if we get the 5 yr 100,000 mi warrantee with it?!)...

[Butz]

Originally Posted by ZvetteGuy

Some times you win.... sometimes you lose...

I am glad that GM won with the purchase of Daewoo...

(we are the proud owners of a Daewoo microwave--I wonder if we get the 5 yr 100,000 mi warrantee with it?!)...

GM only bought the Auto division of Daewoo, they didn't buy the other divisions.

[tom3]

I have a friend who runs a body shop. Had a two year old Daewoo with front end crash damage, sat on lot there for a couple months. Insurance co. wouldn't pay to fix it, owner wouldn't accept a lowball totalled payout. My friend was actually pretty happy with the whole deal, storage fees with no work, good payday. I don't think I want a car that depreciates that fast.

[JazzyChef]

It only depreciated that fast because Daewoo did go bankrupt not too long ago. They pulled out of the US market, therefore there is no demand and the resale value drops crazy fast. It's the same thing that happens when GM drops a nameplate like the Blazer, and Cavalier

[SUPERBADD75]

who would have thought that GM buying Daewoo would work out for them. i thought for sure it was another nail in their coffin, and yet it's working quite well. good on GM for that! they found a diamond in the poop.

[tgagneguam]

Originally Posted by ZvetteGuy

...(we are the proud owners of a Daewoo microwave--I wonder if we get the 5 yr 100,000 mi warrantee with it?!)...

Originally Posted by SUPERBADD75

they found a diamond in the poop.

It only takes but a minute to find some pretty funny stuff on this site...

[Psionic Wibbly]

Its a little bit frightening to hear such things:

1) that a giant corporation with a farflung empire spanning continents has to ultimately rely on a tiny obscure asian division to save its bacon

2) the message one gets is that asian engineering is better than american

3) if this is true then one can hardly blame customers for choosing asian brands over american

any comments?

[Butz]

Originally Posted by Psionic Wibbly

Its a little bit frightening to hear such things:

1) that a giant corporation with a farflung empire spanning continents has to ultimately rely on a tiny obscure asian division to save its bacon

2) the message one gets is that asian engineering is better than american

3) if this is true then one can hardly blame customers for choosing asian brands over american

any comments?

Unfortunately I'll have to agree with you

[Elk]

This is a false success. They are selling good now, but in a few years the Chevy brand name will have the reputation as Daewoo and sales will drop like a rock.

Years from now we will look back on this and see it as just another case of GM thinking short term and handing market share to Toyota buy selling low-cost crap.

[Elk]

Originally Posted by Psionic Wibbly

Its a little bit frightening to hear such things:

1) that a giant corporation with a farflung empire spanning continents has to ultimately rely on a tiny obscure asian division to save its bacon

2) the message one gets is that asian engineering is better than american

3) if this is true then one can hardly blame customers for choosing asian brands over american

any comments?

This isn’t about engineering, it’s about marketing. GM has manage to tick a lot of people into thinking they are getting a good car by putting Chevy and Holden badges on POS Daewoos.

[Psionic Wibbly]

Originally Posted by Elk

This isn’t about engineering, it’s about marketing. GM has manage to tick a lot of people into thinking they are getting a good car by putting Chevy and Holden badges on POS Daewoos.

what makes you think that chevy badges are considered superior to daewoo?

in many parts of the world esp for computer savvy people a korean badge is a mark of excellence.

[Butz]

Originally Posted by Psionic Wibbly

what makes you think that chevy badges are considered superior to daewoo?

in many parts of the world esp for computer savvy people a korean badge is a mark of excellence.

You gotta be kidding

[Elk]

Originally Posted by Psionic Wibbly

what makes you think that chevy badges are considered superior to daewoo?

#1 thanks to American TV the Chevy badge is positively recognizes around the world.
#2 basically any badge is better then Daewoo.

I know a lot of people will say “everybody knows Chevy’s are actually Daewoo’s” and to them I say: your out of your mind.

Automotive enthusiasts made up a vary, vary, vary small part of the market. If you think some dude in Slovakia knows his Chevy Aveo is actually a Daewoo your nuts.

Originally Posted by Psionic Wibbly

in many parts of the world esp for computer savvy people a korean badge is a mark of excellence.

If they are “computer savvy” they will do some online research and realize they are better off buying Toyota then Daewoo even if the Daewoo is cheaper.