The Detroit News reported this morning that GM has decided to kill a $300 million program for a new DOHC V8 to replace the circa-1992 Northstar engine. Rising oil prices and the new CAFE standards were given as reasons. But this will leave GM without a competitive DOHC V8. So are they just successfully reading where things are heading, or over-reacting… More →
Category: OEM Futures
OEM Futures
Yet another “last chance”
The Financial Times is calling the 2008 Chevrolet Malibu GM’s “last-chance saloon.” Where have I seen this headline before? Oh, yeah, pretty much every time one of the domestic automakers has launched a major new sedan in the last quarter-century. But the reality is that no one product is going to make or break the manufacturer. The company’s situation might… More →
My father buys his first GM car in 25 years
Back when I first got into cars, I talked my father into buying a 1983 Pontiac 6000 STE instead of a Saab 900 Turbo. The Saab was neat, and he really wanted it. But Detroit had gotten to me with all its flag waving, and the magazines were talking up the Pontiac as a legitimate alternative to the Audi 5000,… More →
The UAW strikes GM; how GM got the union it asked for
I haven’t been following the GM-UAW negotiations, which might explain why the strike that was just called took me by surprise. This strike will probably end up hurting both parties. Sales will be lost, and the launches of the promising new Cadillac CTS and Chevrolet Malibu could be stunted. Many people blame the “outdated” union. But it’s not that simple.… More →
Ford to finally get decent marketing with Steve Wilhite?
Note: Toyota’s Jim Farley ended up with the Ford job. The Wilhite rumor turned out to be incorrect. Ford has long had some of the worst marketing in the industry. Their brand identity has been broad and vague. Their product lineup has been full of overlaps and gaps. Their targetting has been somewhere between imprecise and non-existent. And their advertising has… More →
Note to Ford: Chrysler hiring Jim Press is what a “Bold Move” looks like
I was just stunned to learn that Jim Press has been lured away from his top position at Toyota of North America to take charge of sales, marketing, and product development at Chrysler. Like Tom LaSorda, who remains in charge of manufacturing and supply, he’ll be a vice-chairman and president. Both will report to recently hired CEO Bob Nardelli. Press played… More →
Detroit: where’s the bottom?
Automotive News reported today that the domestics’ market share could slip below 50 percent for the first time this month. As little as five years ago few analysts thought this would happen. General Motors in particular has been losing market share since hitting a peak back in 1962, and more quickly since 1982 or so. I spent nearly two years… More →
Toyota passes GM for #1 in worldwide sales
It’s been a long time coming, and now it’s here: in the first quarter of 2007 Toyota sold about 90,000 more cars worldwide than GM did. It’s not a happy event for me. A decade ago I spent a year and a half inside GM, observing how they incorporated the voice of the customer into product decisions (executive summary of… More →
Save us the excuses, GM
Speaking with The Independent, a major newspaper in the UK, General Motors CEO complained once again about the company’s healthcare and pensions costs: Mr Wagoner also made clear his frustration that his company, unlike its foreign competitors, has to deal with vast social costs and has had to spend some $70bn (£36bn) “in cash” on healthcare and pensions provisions. He… More →
The fate of Chrysler
Among those who haven’t resorted to rose-colored glasses, I’ve been among the more hopeful people with regard to the future of Detroit. I’m still hopeful about GM, but the other two, not so much. My optimism for Ford was shaken by the obvious cluelessness of Ford’s executives in Chicago. And now we have the sale of Chrysler.