Archive for December 12, 2007

How GM Can Save Itself

December 12, 2007 by ignatiof.

Get rid of the Chevrolet brand.

Yes, you read that right. If GM wants to survive it needs to do something drastic - get rid of that bloated symbol of American mediocrity, Chevrolet. I also recommended euthanizing Buick, a division with no clear market and little remaining cachet.

I know what you’re thinking. How can GM get rid of Chevrolet, their main brand and I expect, their largest volume seller? It’s because no matter how good the Malibu gets, it’s still a Chevy, and people will never perceive it as a competitor to Accord or Camry. The Aura is the only real midsize non-luxury car that GM has a chance with.

Here’s what to do with each of the cars Chevy makes. You can safely kill most of them because they either suck, or have equivalents at Saturn or Pontiac, or both.

  • Aveo - kill it
  • Cobalt - kill it
  • Camaro - turn it into a Firebird and give it to Pontiac
  • Corvette - This is the tough one. It’s Chevy’s best asset in terms of quality and image. The best choice is giving it to Pontiac, but that’s not a perfect option.
  • HHR - give it to Pontiac
  • Impala - kill it
  • Malibu - kill it
  • Express - kill it
  • Uplander - kill it
  • Equinox - kill it
  • Tahoe - kill it
  • TrailBlazer - kill it
  • Suburban - give to GMC
  • Avalanche - People like the look of this impractical hunk of junk, so why not give it to GMC.
  • Colorado - kill it
  • Silverado - although GMC has an equivalent, the Silverado name might be worth keeping, either by replacing Sierra or turning this one into a Saturn or Pontiac. Saturn Silverado? Maybe not.

See, it’s not such a big sacrifice after all. The new GM: Cadillac, Saab, Saturn, Hummer, GMC, Pontiac. That’s more than enough brands. This is not a long term nor fully realized plan of course. GM may be well advised to bring back Chevrolet in ten or twenty years if market conditions demand it, and they may need to get rid of other brands as well. Saab’s place is questionable, and they may be able to merge Saturn and Pontiac.

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