smk4565

Ford can, GM and Chrysler can't. I'd rather see Chrysler fail, that opens up market space for GM and Ford. Otherwise let Cerebus pump money from something else they own into Chrysler. Cerebus is the one that wanted it, let them pay for it.

The 07 model had average sales, so with the new 08 it surged early and is sucking up STS volume. They have sold 54,000 so far this year, 55-60,000 is about what the original did around 2004-2005.

New E-class coming next year, the current model is dated. Plus it starts at $53,000 and the economy is bad.

The M5's V8 is likely 4.4 liters, possibly 4.8, but not 6.2 or 6.3. Same 500 hp, but torque up to 516. We'll find out on the X6 M next year for sure. What will make or brake the next M5 is weight, which isn't a bad strategy. The E36 M3 was never the horsepower king, but it was lightweight and regarded as one of the best handling cars of all time. They didn't put the E63 in here because it is over $90,000 and because of weight, no faster than a C63.

But the LaCrosse and Lucerne don't have those features. My mom is 54 and thinks Buicks are for old people, and wouldn't be caught dead in one. My Grandmother who is 76 though, enjoys her Buick. I stated in the Buick thread that Buick could platform share with Chevy and do a fancier version of the Cruze, Malibu, Nox and Traverse combined with a Zeta sedan and have a lineup that fills the void nicely between Chevy and Cadillac. The potential is there to make some great products, whether or not people will buy them is the question. The Enclave is 13 inches longer and nearly 1,000 pounds heavier than a Lexus RX350, big difference there, some people like big, most prefer midsize.

Body looks very Malibu like, with 5-series wannabe tail lights. I don't mind that though, because I see Buick's future as making a fancy version of the Cruze, Malibu, with the Enclave and Zeta sedan, and a fancy Vue/Equinox if GMC doesn't get one. This will let Buick operate in the $26-40,000 range offering a step up from Chevy, without investing tremendous amounts in R&D. Then Cadillac is all rear drive on it's own platforms, $35k and up.

27, but I don't see any of that as hard to do. The Genesis has a V8, 17 speaker stereo and sun shade, 5-series has sun shades and the billion way seats. Anything Hyundai has, Cadillac should have. The 2010 A6 is aluminum, 5-series has some aluminum in it. The new Fusion gets 38 mpg and has an 8 inch touch screen. If a $200 phone can have touch screen, why not a $25,000 car. It wouldn't be hard to make the CTS and Malibu better if GM wasn't distracted with Saturn, Saab, Hummer, G5s, G3s, Yukons, etc.

Prius sold 8,660 in November compared to 1,000 G8s, 161,000 Prius year to date compared to 14,000 G8s. If it was simply that people couldn't get financing, how is the CTS selling, or the 3-series or any other $30k or more car selling. The G8 was heavily marketed during the NCAA basketball tournament last year, and financing was available in spring and the car didn't sell back then. The G8, regardless of how fast the V8 version is or how well it handles does not sell. Maybe the badge on the hood is the reason to blame.

CTS is easy, build it out of aluminum (at least parts if not all) to cut weight, carbon fiber panels for the CTS-V. 3.6 DI standard, twin turbo V6 (3.0 or 3.6) optional, diesel V6 and 8-speed automatic options, all new DOHC V8 (with turbos for the V). Inside add optional sun shades, 17 speaker, 500+ watt stereo, replace gray plastic with real brushed aluminum, blue tooth, blind spot and lane departure warning, and head-up display. Base price to $50,000. Generally I like the Malibu, but it needs a touch screen navigation system and hard drive for songs, interior materials could be a little softer to the touch, hybrid version that gets 38 mpg, longer warranty, new DI 4-cylinder, 3.0 DI V6 that makes 250 hp, but with better mileage than the 3.6 liter.

Agreed on point 1, Olds was turning around in the late 90s, but it was too late. Buick faces the same dilemma now, even with new product like the Enclave and 2010 LaCrosse, they are a decade behind and it could be too little too late. They need to right-size in 2009, or there might not be a 2010. GM needs $4 billion in December just to stay alive, they have to make big changes fast.

I pulled the prices from chevrolet.com and gmc.com and took the base prices. GMC is going to hang around because they can't kill every brand at once, but they do build redundant product and the Acadia competes with the Enclave and Traverse more than it does the Pilot or Flex. They should keep it, but get rid of the Yukon, and focus on work trucks, maybe make the Acadia a Ridgeline like product as earlier suggested. Buick has an old fogey image, dated platforms and drivetrains, no touch screen nav or blue tooth or technology that younger buyers are interested in. Plus they are all large, the LaCrosse is 1 inch shy of the Aurora. Oldsmobile buyers weren't interested in that type of product, that is why Olds people went to the imports. GM needs massive cost cuts so at least 3 brands have to go, I'd argue 4. Then they need product overhauls, the only way to survive is to build exceptional product. GM has to go beyond what everyone else is doing to restore the shattered image they currently have.

GMCs aren't more money, Sierra is $19,020 base, Silverado is $19,550, Silverado LTZ is $42k, Sierra SLT is $41k. Canyon is $16,905, Colorado is $18,555. The Yukon is $10 less than a Tahoe. The Acadia is more than a Traverse because of more standard equipment. GMC is competition for Chevy, and therefor has to offer products unlike Chevy, or be gone. Buick and Olds did not make identical vehicles like GMC and Chevy do. Olds had more refined DOHC engines, sportier suspensions and more technology than Buick. LaCrosse/Lucerne don't handle as well as Intrigue/Aurora and if you had the DOHC 3.5 or 4.0 you won't want a 3800. If Buick's current lineup was similar to Lincoln or Acura, they may have captured more Olds buyers.

Fuel isn't expensive now and the G8 is not selling. Others cars that get similar mileage sell much better than the G8 (Lucerne, CTS, 5-series, E-class, 300, Charger, DTS, etc). The problem is people that want a sport sedan, don't want a large, heavy car, and the G8 inside and out is designed for Australia, not the USA. The GTO failed because of styling, G8 is a repeated mistake. Despite the positive reviews, no one wants the car. Pontiac can't support a $30k car it seems, brand image is now rebadged rental car. Olds outsold Saturn and Buick, yet they killed Oldsmobile which was over 100 years old, so nothing is untouchable when it comes to killing brands. Saturn has fewer dealers, so it is easier to close them down.

Extra marketing costs money, GM doesn't have money. GMC could do the business to business sales, with very little advertising. People only pick GMC now because they have a choice and can price shop Chevy against GMC. If GMC didn't exist, those buyers would go to Chevy (or other GM brand), because Chevy makes the same vehicle. The alternative is Ford or Toyota, which is rather different from GMC. I just worry that if GMC stays, it will be a brand a of badge jobs and that is what got GM into this mess in the first place. Likewise with Pontiac.

I always hear "GMC makes money" but GM has lost $70 billion over the last 4 years, none of these brands are making money. To me GMC is just competition for Chevy, and if GMC is going to make SUVs one step up from Chevy, isn't that what Buick is for with the Enclave. If GMC stays, it should be medium duty trucks, and commercial/fleet pickups and vans.

GM needed to face disaster to force a change. I knew 2 years ago they needed to shed brands fast, and that the Lambdas were too big, G8 would tank (285 days worth of inventory), and that the Malibu, CTS, Lambdas, etc though improved still had to be better. The Enclave was down over 40% this month, sold only 2,000, CTS was down 48%, sold under 3,000 units. GM once bragged about these being hot models, a year on the market and they are duds. This is the wake up call GM needed, and they'll be better off in the long term because of it. GM is going to go through hell for another year, but they'll be back lean and strong, and can focus on quality, not quantity. If they only have 25-30 models to worry about, they can build the best cars in the world. If they do this right, (basically blow it up and start over) GM will be great again.

They have a 285 day supply of G8s and Holden may end the export program all together. The G8 flopped like I predicted, because it is too heavy, and not tailored to the American market. Plus Pontiac's brand image is dead. Enclave down over 40% to 2,000 sales, GM bragged about how the Enclave was such a strong seller, it is a dud now, so I question if Buick has any life left in it. CTS was down 48% as well. GM's recent products, though improved still aren't enough. And the bad models are ruining the reputation of the good ones. They need products that blow the CTS and Malibu out of the water. GM had to suffer massive failure like they are in now to change. I knew this day was coming years ago and they had to shed brands and build quality not quantity. Now GM is forced to make radical change to stay alive, and they will be better for it. When GM gets lean and focused, in 5 years they may be making the best cars in the world.

Cadillac's should be built to last, so a 10 year warranty shouldn't be that big a deal. Engineer it better than Mercedes, build with higher quality than Lexus. And no more rebates on Cadillacs, ever. Low interest rate financing is the only incentive they should offer, along with the a bumper to bumper warranty double the competition. If Cadillac gets the reputation of the best built, longest lasting car, resale value will go up and people won't be afraid to buy one without $5,000 cash back + invoice price. The Buicks sold in China share nothing in common with the Buicks sold here. They are like 2 separate divisions both using the same badge. If they can make the same basic car to sell around the globe, with modifications made to fit specific regions, then they have a viable business plan for Buick.

BMW outsells Cadillac, Buick, Pontiac, or Saturn, and operates at a higher price point. Their sales are down, but not as bad as most, and they have Mini to help stop the bleeding. The STS-V has the blind spot warning, lane departure warning, 4 color head up display and better stereo, although both lack sun shades and heated steering wheel. STS has blue tooth which the 08 CTS didn't, but I think the CTS is getting it. The XF-R will be awesome, because the XF has won every comparison test it has been in and with another 100 hp it is going to be as fast as what anyone else has. None of these cars can touch the XF's interior. The M5 is going to change the segment because Audi, Cadillac, and Mercedes all use huge turbo or super charged engines in heavy cars. CTS and E63 are 4300 pounds, the RS6 with the V10 is near 4500 pounds. The new M5 is 500 hp, 516 lb-ft but with aluminum and carbon fiber and a smaller engine, it is going to drop in weight. It will be hard for Mercedes, Cadillac and Audi to shed weight and match the M5 in handling, braking, steering or fuel economy (even though no one buying these cars cares about that).

I like this plan, dump the dead weight. Buick only sells 7,000 vehicles a month, so I don't see how that is really a "core brand" and GMC is all rebadges so they could kill GMC too. Buick is the natural fit for a line between Chevy and Cadillac, but it may be too late to restore brand image, that really needed to be done years ago. Buick needs to get like Lincoln fast and modernize with technology in their cars. GM's reputation is shot right now, unless they hit home runs on every product launch they are in trouble. They should extend warranties too, at least 6/72,000 bumper to bumper on the lower brands and 10/100,000 bumper to bumper on Cadillac.

But will anyone pay $87,000 for a CTS-V? GM could use the profit if people would. I have never aspired to own an M5, but I recognize it as the car that started this segment and has forever been the standard. The CTS-V has great performance for value, but doesn't have all the luxury features that the STS-V has. The XF-R will crush all these cars anyway. The new M5 is going to change the direction of the segment because they are going back to a V8, and making the car lighter. They could beat the V, AMG and RS6 by 300-500 pounds, which is going to make M5 the steering, handling, braking king. My original criticism of the CTS being not quite good enough still stands. CTS sales were down 48% in November, to only 3,000 cars. 1 car doesn't make a brand, Cadillac needs a lot more than the CTS, and the CTS is going to have to get better too to keep up with the competition. New E-class, 5-series and A6 next year, and I know the geriatric duo of STS/DTS won't compete with them.

Amen

They need Chevy, Cadillac and one brand in between. They need profit margin, not volume or anything else at this point.

The Asian companies are making profit (mitsubishi may not be, they seem to be dying), the American ones aren't. If you aren't making money, you go out of business or slim down. Same reason Circuit City is closing 150 stores, while Best Buy isn't or why Linens N Things is closing all stores, but Bed, Bath and Beyond isn't.

I have said for years they need to cut brands, I love this idea. Hummer has to go fast, it is a politically incorrect vehicle and image killer at this point. Saab is next out the door, if they could get even $10 million for either brand they should take it. Otherwise just close them down and eat the cost. Step 2 is hard, because Saturn with 5 relatively new models is still a sales dud, and has it's own dealerships, making it easy to kill. I would lean toward closing down Saturn. Although Pontiac's and Buick's brand images are dead and their product lineups uncompetitive. GMC is totally redundant. GMC could become a fleet sale outlet for both work trucks, vans etc, but rental cars as well. I think GM should have one brand that all fleet sales go through so the resale values of the other brands aren't hurt. I would only keep 2 of the B-P-G group to fill the space between Chevy and Cadillac. If GMC is all fleet and covers rental cars, I'd keep Buick for crossovers and cars based off Chevy but nicer. I would lean toward getting rid of Pontiac in that case. The other option is get rid of B-P-G and keep Saturn, but people still think of Saturn as entry level, positioning them above Chevy is unlikely to work. If they had Oldsmobile, Chevy-Olds-Cadillac would be an epic lineup.