GM: The Road Ahead

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Pictured above: the great tower of Sau- General Motors.

Remarkably, we got a significant amount of muscle car folks that eagerly keep on visiting our blog and Facebook page; this post is dedicated to them. The impact of American cars on the history books and hearts & minds of many car lovers around the world is priceless. I am no business or automotive world analyst but seeing the horrible situation that Detroit’s big three, specifically GM, is mind boggling.

Times are tough for GM, scenarios of bankruptcy are being tossed around and there.

The US government is working on doing what it takes to drag GM out of its nightmare via tax payer money (imagine how many people would wound up jobless if GM goes bust). China’s elites got their sights on GM and the possibility of consuming the brand which could mean saving GM but perhaps condemning it to losing its identity and essence. Just like the other brands that China already assimilated.

General Motors will need to be saved by Americans and must maintain its last origins. Though that is merely one side of the issue; GM’s management does require a serious overhaul. The leadership at GM holds a history of poor decisions and plans leading to where we are today.

They might manage to bail them out but GM’s leaders better learn how to run the show from now on; constant bean counting, cross bred makes, rushed products (like the Volt), the meaningless Hummer (which came after the death of the too good EV), Saab’s demise (take over issues with Spyker), the mess at Opel and the massive debts, to name a few. It is time for these to stop happening or else we will not get anywhere.

This whole situation comes in light of the challenge most carmakers are distressing about: the loss of interest in cars. Young consumers in major yet mature markets like the US & Japan, are no longer looking at a driving license or the automotive as a vital necessity. Toyota attempted to lure future generations into cars with the Camatte.

GM’s fall might pave the way for a potentially darker future for cars and the world.

Finally, communist China with its arrival as a player, willing to acquire valuable automotive names, will indefinitely pave the road ahead and perhaps, in my opinion, to the worst. If they ever acquire GM, they probably will run it better than the Americans did but could it potentially kill GM’s soul? as their lust of growth by acquisition is not comforting.

sources: snarksmith.com, thetruthaboutcars.com

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