<VV> Interesting GM cars

[Bill Elliott]

Car companies typically go bankrupt because they cannot mae a car the public wants to buy at a price point that is reasonable. Due to the labor costs that 
GM has to endure, it's a wonder that it's lasted as long as it has.

As much as it pains me to admit it, GM kept the Corvair alive at least two years too long for the maket. BUT they failed to make good use of the Corvair 
experience when the market DID call for a smaller, fuel efficient car. And the "beancounter" mentality? You don't offer a bottom end car that costs more to 
make than your mid-range cars... 

That's a lesson they also didn't learn when the released the Fiero. They actually tried to market this as a commuter/shopping car when it was ill-suited to 
either duty. Toyota took the same idea and made it successful with the MR2 as a sports car. GM spent all that extra money on the Fiero (and put up with 
the extra weight) to make it easily restyled... then offered only one alternative bodystyle and only one additional engine... as ill-suited to the Fiero as the 
base engine. Ever drive a Quad 4 Fiero? Or a V8 Fiero? Both engines fit the car and mission better than anything GM ever offered... even though the 
engines were sitting there on the shelf.

The Reatta? Neat car without a market at its price point. Drop the stupid electronics and price it 15-20% over a Miata and you've got a car.

The Allante? (I daily drive one and love it) Another car without a market at its price point...YET GM lost money on every single car becuase of the crazy 
construction costs. What the market really wanted was a simple 4 seat Cadillac convertible... which Caddy refused to offer... then or now. The XLR? I'd 
rather have a Corvette or an old Allante... and I WANTED to like the car.

The Solstice will sell well because Lutz held the line on price and power... a low price and high power have been the hallmark of every "great" car... 
Corvette (at one time), XKE, Cobra, Mustang, GTO, etc... why is every car company that ignorant of history? 

Besides the Corvette (too much money and too much power to be a huge seller, but a great buy for the performance level), the only other car that GM is 
selling that is AT ALL interesting is the Cadillac CTS-V... and it's as ugly as they come. (The Allante ushered in a generation of very attactive Cadillacs... but 
whoever is doing the styling now is doing to Cadillac what Chris Bangle has done to BMW).

The Soltice will sell well (but as noted not like the Mustang), Lutz will retire a hero (again), and GM will go under. But not because they don't deserve 
to...but because they have made even worse decisions than the British car industry... and, yes, I lay most of that blame at the beancounters.

Bill

On Fri, 9 Sep 2005 20:57:02 -0400, N. Joseph Potts wrote:

>A bean counter AND ivory-tower academician (accounting professor) I know is
>of the opinion that GM will soon go bankrupt. When that happens, will you
>blame the bean counters for THAT, too? Would it be because they stopped the
>Corvair, Fiero, Allante, Reatta, etc. too soon, or too late? Bankrupt
>companies make no cars at all, interesting or otherwise.

>Joe Potts, CPA
>Miami, Florida USA
>1966 Corsa coupe 140hp 4-speed with A/C