Quote of the Day: In The Long Run We're All Dead Edition

Robert Farago
by Robert Farago

The internet chatter on GM is growing more intense by the day. We’ve seen this before. For at least a decade, the company and its camp followers have mounted a disinformation campaign ahead of bad news. Only these days, there’s precious little good news with which GM’s spinmeisters can obfuscate. And critics of the nationalized automaker grow more vociferous by the day. Even the normally obsequious automotive press is no longer adverse to a little kicking-a-man-when-he’s-down routine (although any discussion of kicking GM to the curb is still the story’s Voldemort). New GM’s October sales numbers are about to hit the screens, and it ain’t gonna be pretty. GM’s first full financial report will emerge thereafter; the hard numbers on the company’s cash burn will trigger major mainstream media alarms and raise fresh (stale?) questions about GM’s viability. And then what? Will heads finally roll at RenCen? Will America’s automotive English patient continue to receive copious quantities of hospice care? Will the bailout issue bite Barack’s army in the ass come mid-term time? Meanwhile The Detroit News reports that tensions are simmering, . . .

[Rep. Pete] Hoekstra said [in a conference call with GM CEO Fritz Henderson] that while Ford Motor Co.’s quality has improved, GM hasn’t done enough to address quality concerns.

Consumer Reports magazine this week said Ford’s quality was “world class” and that GM had some “bright spots.” [A read-between-the-lines quasi-factoid helpfully added by the Detroit News to contextualize/ameliorate the ass-kicking to come.]

“How long have we been complaining about the quality of American cars?” Hoekstra said. “Ford has closed the gap, but if you haven’t closed the gap, how do you expect to improve market share?”

GM spokesman Greg Martin said it was “strange” that Hoekstra “would want to perpetuate some of the misguided thinking that resides outside of Michigan.”

Whoa! Martin pulls a tow-fer: a delusional charge of perception gap-itis and a condescending FU to the know-nothings living outside of Detroit who pay his salary and keep his employer from facing its inevitable fate.

But the QOTD belongs to Martin’s boss, Fritz “Lifer” Henderson. Or is that Fritz “We Do Cultural Change” Henderson? Let’s go with Fritz “We Don’t Need No Stinking Performance Metrics” Henderson.

Henderson also said GM, which has been losing market share for decades and now holds 19.7 percent of the U.S. auto market, must regain some ground to succeed in the long run. Job and cost cuts aren’t enough to turn the company around, he said.

GM’s new chairman, Ed Whitacre, has made increasing market share a priority, but some analysts have questioned the strategy, given that GM is in the process of eliminating four of its eight brands.

Yeah, how does THAT work? Time for Plan B? Oh wait; isn’t this whole nationalization thing plan B? Come to think of it, do zombies even make plans, and if they do, who takes them seriously?

Robert Farago
Robert Farago

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  • RogerB34 RogerB34 on Nov 01, 2009

    "...there’s precious little good news with which GM’s spinmeisters can obfuscate." Not bright people these spinmeisters. Why don't they get direct advice from Obama?

  • Cpmanx Cpmanx on Nov 02, 2009
    The more I look at it, the more it looks like the Democrats are just buying votes. Are you joking? It's not as if wild deficit spending and costly bailouts started on January 20. You are describing American politics in general--it's a process that knows no party. It just serves different agendas, sometimes even with good intentions. lahru: Even if GM fails the parts will be available for decades. This is not a fringe brand like Peugot. And on the whole, GM is less likely to fade away now than it was a couple years ago, when all-out (ie, not government-mediated) bankruptcy was a real, looming possibility. The real lapse was how few journalists saw that coming and raised the alarm. Henderson also said GM, which has been losing market share for decades and now holds 19.7 percent of the U.S. auto market, must regain some ground to succeed in the long run. That's actually a reasonable statement so long as Fritz really understands the part about "the long run." In the near term, GM needs to figure out how to be seriously profitable at 17-18 percent market share, because that's all they have with the existing brands. Stability and profitability come first. Growth is a nice goal, but not if it requires fire-sale pricing or seesaw sales based on a few models that start fast but then fizzle. (Does anyone think Camaro sales are sustainable?)
  • Redapple2 I gave up on Honda. My 09 Accord Vs my 03. The 09s- V 6 had a slight shudder when deactivating cylinders. And the 09 did not have the 03 's electro luminescent gages. And the 09 had the most uncomfortable seats. My brother bought his 3rd and last Honda CRV. Brutal seats after 25 minutes. NOW, We are forever Toyota, Lexus, Subaru people now despite HAVING ACCESS TO gm EMPLOYEE DISCOUNT. Despite having access to the gm employee discount. Man, that is a massive statement. Wow that s bad - Under no circumstances will I have that govna crap.
  • Redapple2 Front tag obscured. Rear tag - clear and sharp. Huh?
  • Redapple2 I can state what NOT to buy. HK. High theft. Insurance. Unrefined NVH. Rapidly degrading interiors. HK? No way !
  • Luke42 Serious answer:Now that I DD an EV, buying an EV to replace my wife’s Honda Civic is in the queue. My wife likes her Honda, she likes Apple CarPlay, and she can’t stand Elon Musk - so Tesla starts the competition with two demerit-points and Honda starts the competition with one merit-point.The Honda Prologue looked like a great candidate until Honda announced that the partnership with GM was a one-off thing and that their future EVs would be designed in-house.Now I’m more inclined toward the Blazer EV, the vehicle on which the Prologue is based. The Blazer EV and the Ultium platform won’t be orphaned by GM any time soon. But then I have to convince my wife she would like it better than her Honda Civic, and that’s a heavy lift because she doesn’t have any reason to be dissatisfied with her current car (I take care of all of the ICE-hassles for her).Since my wife’s Honda Civic is holding up well, since she likes the car, and since I take care of most of the drawbacks of drawbacks of ICE ownership for her, there’s no urgency to replace this vehicle.Honestly, if a paid-off Honda Civic is my wife’s automotive hill to die on, that’s a pretty good place to be - even though I personally have to continue dealing the hassles and expenses of ICE ownership on her behalf.My plan is simply to wait-and-see what Honda does next. Maybe they’ll introduce the perfect EV for her one day, and I’ll just go buy it.
  • 2ACL I have a soft spot for high-performance, shark-nosed Lancers (I considered the less-potent Ralliart during the period in which I eventually selected my first TL SH-AWD), but it's can be challenging to find a specimen that doesn't exhibit signs of abuse, and while most of the components are sufficiently universal in their function to service without manufacturer support, the SST isn't one of them. The shops that specialize in it are familiar with the failure as described by the seller and thus might be able to fix this one at a substantial savings to replacement. There's only a handful of them in the nation, however. A salvaged unit is another option, but the usual risks are magnified by similar logistical challenges to trying to save the original.I hope this is a case of the seller overvaluing the Evo market rather than still owing or having put the mods on credit. Because the best offer won't be anywhere near the current listing.
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