• Jul 2nd 2010 at 9:22AM
  • 31
Citing "three people who know about the discussions," BusinessWeek reports that General Motors is ruminating whether or not to build a high-zoot showroom in Manhattan to gain favor among "high-fashion New Yorkers, tourists and high-rolling investors." The stated aim would be to raise awareness and cachet of the company's four brands as the IPO machine moves to the next gear. And who knows, it might also increase the 9.6% market share that The General commands in the NY metro area.

The possible perception of such a move is said to give GM pause – if one Corvette can get the wolves a-howling, how much much more so a big-money show-off space in a big-money city? With an IPO planned by Q1 of 2011, GM could hardly get any bump from a Manhattan location even if it opened tomorrow. Hence, a more important consideration might be whether GM is ready to spend the long-term time and money to make such a showroom pay off, should it decide to build one. That would most certainly take years of New York minutes and Manhattan rents, and until GM was fully private again it would certainly take a beating on it.

[Source: BusinessWeek via GM Inside News]

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    • 1 Second Ago
      • 5 Years Ago
      What the hell is wrong with today's leaders of government and industry? It's as if EVRERYTHING hinges on appearances with these people!!

      I'm a common and lowly investor. If I decide to get in on the future GM IPO stock train it will be due to a solid business plan, promising product development, and responsible management- not because of some damned scheme to look 'good' in some fancy Wall Street neighborhood. If anything, confirmation of this story will encourage me to put my money somewhere else...

      It never ceases to amaze me how stupid the elites think we all are right now.

      • 5 Years Ago
      the more things change...

      GM had a show room on 5th Ave in NYC in the lobby of the GM Building which they sold to Trump 10-15 years ago.
        • 5 Years Ago
        Bingo. I remember that building, and back when I was a car-crazy teenager, it was always on my itinerary when I took the train into Manhattan. Exciting to see the newest and most interesting models.

        For those who don't remember, the former GM building stands right behind where the flagship Apple store is now. Plenty of foot traffic and window shoppers. Too bad, GM.
        • 5 Years Ago
        FYI, BMW, Audi and Mercedes all have 'boutiques' in mid-town Manhattan and NYC is the financial capitol of the world, so why not give it a go.

      • 5 Years Ago
      All four brands under one roof?
      • 5 Years Ago
      I think autoblog like to leave typo's so "THE GRAMMAR PATROL POLICE" will always pay visits to this site. A heavy travel site is a good thing , right ?

      I don't think this GM flagship dealer thing will work with Chevrolet/GMC being apart of it, maybe if it was just Cadillac and Buick with just corvettes from Chevy, then it could stand out as a high end flagship dealership but then that would defeat GM goal to show these people"investors stock holders" their new cars and truck lines, So they need Chevrolet/GMC in the show room which will keep those same people out who they want to come in...Maybe GM should call it a GM Dealership that can trade IPO and has all information on GM's latests offerings, always give that dealer these new autos a month ahead of the rest of GM dealers. maybe have just the top models trims for chevy/GMC in the dealer, then make it feel like the rich are home, have servents who kis your feet then wish you wre dead, Have sales desk all with laptops, have a door guy to open the door for them and comment on how nice they look today even though they look like death. oh and of cause how do you keep out the riff raft like me who is poor out and will certainly bring down the dealers image, lol....

      GM between a rock and a hard place ! lol
      • 5 Years Ago
      "Rumormill: GM considering flagship dealer in Manhattan to bolster IPO cause"

      • 5 Years Ago
      General Motors is ruminating whether or not to build a high-zoot showroom in Manhattan to gain favor among "high-fashion New Yorkers, tourists and high-rolling investors."

      I have a couple thoughts on this one:

      1) Unless it becomes politically fashionable to do so, high-fashion New Yorkers and high-rolling investors aren't going to want anything to do with GM automobiles. I mean, c'mon! With few exceptions, GM isn't high-fashion and New York. It's Wal-Mart and Oklahoma. Oh, and tourism? Really? Have GM dealerships become that rare across the country?

      2) How much is THIS going to cost the taxpayers? Is anyone floating this idea even remotely aware of the cost of retail space in Manhattan? And despite the fact that it'd essentially be government property, anyone want to bet against the notion that local labor unions will be given zero-bid construction contracts?

      • 5 Years Ago
      To put this mildly, there is no way in h3ll I'm ever going to invest in GM when the company is being run [into the ground] by Ed Whitacre, being [life] supported by 60% government ownership, and making [false] claims of paying on bailout monies when they used other government monies to do so.

      GM is the horse that bites its owners and if I'm near it with a gun, I'm shooting the sh!t out of it.
        • 5 Years Ago
        barkingghos ..let me ask you this..if you borrow $20 dollars from me and I dont need it and I give it back do I owe you anything? Because what you are saying is that if I borrowed $20 from you and paid you back $20 that I just payed you from other stack of money to pay you back...what difference does it really make as long as you are getting the money back that you paid out in the first place. Maybe economics isn't one of your strong points.
      • 5 Years Ago
      Bad idea if you mix Cadillacs with Chevrolets. If they want to do a stand alone Cadillac or Buick dealer as a flagship store then Ok, but don't mix customers for Cadillacs with Chevrolet.
      • 5 Years Ago
      Maybe as a rental car shop, it would work. But they'd have to undercut the hipper Zipcar, with their Mini Coopers, Fits, and 328s.
      • 5 Years Ago
      Ok, again AB strays a bit from the actual news story.
      If you actually read the original story, GM is NOT looking to build a "flagship dealer" in Manhattan. They are simply looking to rent some space where they can basically place some of their best product that will get it the best exposure in that area. Really nothing more than something like a long-term car show booth.
      • 5 Years Ago
      You see, New-Yorkers, like Toronto citizens or Montreal`s, Vancouver, LA etc have one thing in common: more fashion oriented and also the sweet city woman has a main influence on the purchasing decision. If you think for a minute that the high-heel snazzy young female executive want to be seen in a Malibu, you are dreaming.

      This in my view was really a good observation which Micheline Maynard wrote in her book, The End of Detroit. In essence you can really see the influence of this crowd. For ex, this is why Toyota did not succeed when they launched their larger Tundra; the female crowd doesn,t care about pickups, one of the last manhood bastion.

      I do not think that Mercedes make a better small suv than Ford or GM. The fact that it is fashionable for woman because it is from Europe does it. Fashion is something difficult to rationalize. Why woman wear shoes that will eventually cause problems in their feet or backbone has all to do with looks. Who needs a SUV in New-York?

      The mid 30 golden boys in NY like to be seen in an Audi, BMW or leased Mercedes. Appearance is more important than substance. Same with Wall Street. We all saw where this illusion generation drove the USA .

      I think that GM can manage some gains, but in the long run, they would be better off putting their efforts where they will have more bang for the bucks, which is not in Manhattan, I think.
      • 5 Years Ago
      Typo in the title ? C'mon guys.

      "Rumormill: GM considering flagship dealer in Mahattan to bolster IPO cause"

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