GM's problem

According to Evelyn Y. Davis, probably the world's most vocal shareholder, GM's problem is that it does not produce a car as spiffy as the Russian Volga. We are not sure GM should make anything like the Volga. This lead to a comment from Bob Lutz that needs to be quoted, "We see a huge opportunity here for us to capture the essence of the American automobile in its glory days. The Japanese can't follow us there any more than they could follow Harley-Davidson. We believe there is a lot of gold in those hills and we intend to mine it."


It sounds a lot like a push for more retro models. Part of me says this plan will work. The other part says this plan will fail. On the one hand, Americans are very image driven. Driving a retro Mustang is more attractive to many than driving a more capable sports car that isn?t retro. The other part wonders how long the public will accept the retro style. Or you always have the press factor too. The press does have some influence on how cars are received, so being retro should not mean ignoring the quality concerns of today. I also don?t think that Harley-Davidson is a good lead to follow. Motorcycles are a different breed entirely, and Harley is one brand where GM is many. So this plan does not really apply to Saab or even Cadillac.


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