Occam& s Razor General Motors

4 мая 2014 | Author: | Комментарии к записи Occam& s Razor General Motors отключены
Chevrolet Electric Cars

Asleep at the wheel

Based on news reports yesterday, it the SUV s days may be numbered. Yesterday, Motors announced plans to four truck and SUV plants by as a result of shrinking sales for vehicles. Ford Motor has also cut production of trucks and Sales of large and midsize utility vehicles are down 30 compared with the May 2007. To try to get rid of Ford is offering substantial

Good luck with With gas prices in my neighborhood now at per gallon and with the summer season just starting, a SUV or any vehicle with low miles per looks very stupid.

their popularity, the SUV epitomizes at its worst. SUVs were expensive. Double the cost of and it is like adding an extra dollars a month or more to car payment.

Unless your SUV is paid this either makes SUV unaffordable or moves it into the category. Moreover, the more you an SUV the more unaffordable it becomes. the automobile manufacturers attempt to put on a pig by making hybrid SUVs has not

GMC has sold only 1,100 of its Tahoe hybrids. That s total nationwide.

Unsurprisingly, small cars are now hot. hybrid cars are even The Washington Post reports owners of the Toyota Prius against each other to they are the more fuel-efficient

Also rising in popularity is transportation. Overall ridership was up 3% in the quarter of the year compared a year ago. In Baltimore, rail usage is up 17 percent in a The Metrorail system here in D.C. is running more and eight-car trains, and most hour trains are still room only.

While only 5% of Americans use transit regularly, you can bet many wish it were an option and use it if available. They have unwisely chosen to live in an that is not accessible to mass More businesses and governments are employees to work four days so they can save on costs.

General Motors to have figured out that gas will not return to nostalgic gas levels again. In one of the least news stories of recent Rick Wagoner, the current GM and chief executive said, We at GM don t this is a spike or temporary we believe that it is, by and large, Which is why it is closing plants and off employees. GM has shrunk to half the it was in its heyday and will now shrink further.

Thousands of American are among victims of their leadership. Our friends in the North Free Trade Agreement are feeling GM s pains. A plant in and another in Mexico are among that GM plans to close.

While GM s sales plunged 28 and Ford s dropped 16% compared to a ago, some automakers are pretty. Honda Motors, has engineered fuel efficiency its cars for more than two reports its auto sales 18% in May. Both our cars are I have been driving a efficient 2004 Honda Hybrid for three and a half and routinely average 37 to 40 miles per We will likely add a third to our family shortly.

Our daughter a car for college, which begins in While we looked at used we found we could purchase a efficient Honda Fit for the same as a used car that is three or years old.

America s love affair the automobile is destined to downsize in the century, but it will not go away Clearly, we are now in the transition phase we have to live within our in an increasingly expensive world. the oil shocks of the 1970s, this one is not to go away. It may moderate from to time.

When even Motors acknowledges the long-term is real, you know the gig is up.

American manufacturers should have from the oil shocks of the 1970s. they chose complacency. Why shareholder profits by making investments in fuel-efficient vehicles? executives can get big bonuses for short-term

Inertia pays because s brand of capitalism rewards profit makers. The formula of course until market change the dynamic. Then get the shaft for their obsession short term profits. manufacturers like GM are caught

This is a company that is so that it killed its own experimental car. the EV1.

Honda is laughing all the way to the bank. Americans still need cars, but will need reliable cars. The company showed the vision that positioned well for any change in market which will translate greater market share and profits.

GM and Ford were asleep at the wheel, belatedly to market forces rather positioning their companies to from them. As a result GM and are shrinking.

GM plans to either change or sell its Hummer Once the world s largest company, it now looks in real of going out of business. It may join a list of failed automobile

If I were a GM stockholder, I would be to fire its whole management It needs new leadership with a on how to anticipate market dynamics. way stockholders always win. It a consistent long-term vision. likely though GM will the fate of companies like Stearns, and be sold off in pieces for change to some much companies.


If that happens, let us hope it is Motors.

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