GM Brands Are Likely To Change Soon
General Motors has been hinting about the possibility of dropping a number of brands within its broad lineup. Ford has also removed several brands from its lineup, and General Motors may be next to remove brands that simply aren’t yielding results. Another factor the General Motors has to deal with is jobs. Ford, again, has already announced that it will be laying-off white-collar workers, and GM must now face the same difficult task of tightening up its operations.
Recent shifts in consumer buying habits have already caused sales to dramatically slip, especially as consumers no longer want gas-guzzling trucks and SUVs, but instead want fuel efficient cars, crossovers, and green vehicles such hybrids. While the Saturn Vue Hybrid at Saturn Boulder is a popular vehicle with eco-conscious consumers, buyers are still weary of domestic brands and their SUV- and truck-heavy lineups.
As the current automotive climate continues to suffer, especially in North America, GM will have to make further changes to offset its troubles. Production has already been cut, with some assembly plants being shut down entirely, to help align supply with the dwindling demand at dealers. GM has had more luck abroad in emerging markets which has helped marginally to offset the losses experienced in North American. In addition to cutting production, GM made jobs cuts last year as well, but Lubbock Chevrolet admits that the efforst the efforts may be just the beginning.
Some of the brands that may be at stake at GM are Buick, Saab, and Saturn, which may face either being sold or dissolved entirely much like Oldsmobile in 2004, which Detroit Chevrolet dealers certainly hope will not be the case. Another brand that that may face being sold in the short term is Hummer which currently only has large trucks and SUVs - the exact vehicles that most consumers don’t want to buy at the average price of gas is priced well above $4 per gallon. While the overall picture looks grim, Yakima Pontiac is remaining optimistic as they've already seen progress from GM in terms of new models, improved quality, and promise of innovation.
General Motors is facing significant problems with its lineup and brands, and manufacturers such as Toyota, while also suffering a sales slump, is now able to chisel away at GM’s once unstoppable market share.
* * *
The every changing developments of the Detroit automakers can be found here.
Comments