Woes at GM - Opinion - "GM's CEO blew his big chance...

[blackSRi]

If you are looking at Opel/GM and it's current position, it's worth reading about the latest happenings, 'cause we all know that GM Holden Australia is just a small part of the whole (US/Europe):
http://moneycentral.msn.com/content/P118010.asp

[Namus]

Gm currently have no direction watsoever; just stumbling around

[rjastra]

Actually, the biggest problem GM has is a HUGE (and I mean HUGE) medical insurance bill for its employees in the USA.

[blackSRi]

Shame really, but as long as they continue to haemorrhage funds, it's not good for the long term and for small markets like Australia. I mean take for example (forced induction) 4cycl imports - like the Astra Turbo or OPC or potentially say VRX Vauxhalls.

Exporting such Opels from Europe to Australia has to be profitable for those lines to continue in Oz, and if the Euro-AUS$ rate worsens, then we will see GM solutions like ressurecting Daewoos as Barinas, and potentially more Opels from Sth Africa etc.

If push comes to shove, GMH may have to make hard-line decisions and focus on turning around large markets like US and Europe at the possible expense of little ones like Oz (it's all about economic rationalism).
I mean, who in the US cares really if all Australians have to look forward to driving from Holden is an Oz-produced Commodore, or a cheapy-import Daewoo? Let's hope we can see GM's position improve so we can have a choice and continue to see great Euro Opels like the Astra OPC and turbo's, they are great, quality cars.

[180HOA]

GM is just suffering from years of bad management, or lack of management. Sure, they have huge medical insurance/pension bills for employees, but the same probelm hasn't stopped Chrysler's resurrection. All it took was a kick in the pants and the balls to spend some money from Daimler...

GM are now stuck with about 8 different brands, and only one that's got any cars with a hope in hell of cutting it in a market outside the US (Cadillac). The rest are low-tech American crap with too much focus on SUV's and a heavy reliance on nostalgia/patriotism to generate sales.

Now that even Americans are scared of fuel prices, GM's woes are worse.

But the medical insurance/pension bills and rising fuel prices haven't appeared from nowhere. Management of a global company with any iota of foresight would have seen these coming, and taken steps to fortify the company against them. Instead, GM put all its eggs in one basket.

I'm sorry to say, but if GM goes down it's really just befitting of the way the place has been run.

Having said that, I think the US would be crazy to 'sacrifice' Holden as part of its attempts tos get things back on track. Its one of the strongest performing brands they have, and one of the most efficient...

But I'm not really sure that Holden is at too much risk; in the scheme of things they build a few cars, and import a few from Europe and Asia. It's not really of much consequence to the US side of things. Even if GM went under, Holden would go on.

You never know, that might even be part of the reason they're establishing a product lineup that is relatively independant of the rest of the GM world... If they can build their own large cars and own the controlling stake in the company that builds their small and medium cars, they're going to be pretty well insulated from Daddy GM.

[JasonGilholme]

Sounds to me like GM are going down hill. They're stumbling around doing what ever they can to find a profit but it's not working.

And as for the kalos takin the corsa's place.... don't get me started. When people ask me what kind of car i've got I'm gonna tell them that it's a european import called a corsa, theres no way i'm sayin the work barina. It won't do it justice.

Shame, real shame.