BioInvestor

GM Slashes Benefits: One Bad Decision After Another

Rocky_08, your first statement doesn't make a lot of sense. Actually, it doesn't make any sense. Cars that are built well don't have component failures.

US consumers make the ultimate vote on cars; at is stands GM isn't doing that well. I don't buy the statement that GM cars are built well.

I agree whole-heartedly that listening to consumers and responding appropriately is the way to sustained profitability. As a company GM has failed. GM has failed because management has failed.

GM does need to change, but I don't believe that it has. I don't have confidence in the current management team--based on performance.

I want to see GM succeed and thrive; I don't believe it's going to happen.



On July 20, Rocky_08 wrote:

And Bio, you are clearly motivated by your personal self-interest as well. If the business had not been allowed to flounder, everyone would be content. The employees, the share holders and most of all... the customers. The object in this business is to sell vehicles. It's nice to make money at it too but you can't make profits first and hope to get repeat buyers if you fail in the customer's demands. Our most recent GM vehicles were built well. GM's manufacturing process is very good. The floor level of GM has made leaps and bounds in improvements but we have had and still have parts and components failures in our GM vehicles. Again, GM made cuts in this area to keep profits up and in so doing frustrated the customers with trips to the dealer where often repairs were only half A## attempted. This has gone on for decades. GM has a poor track record of caring for the customer. Instead they wrapped themselves around short term profits by way internal cuts. You can't cut your business to profitability. You must meet the customer's demands. Having said that, GM would be a full contender here in North America if they had just listened to the cry of the customers and responded to that cry. I only hope they have finally changed their ignorant ways of treating the customer. We have 2 vehicles that need major work right now. One is a 04 and the other is an 03. Both are out of the warranty but still considered with low mileage in comparison to vehicles that have less issues over 100k miles. One has 15k miles on it. GM uses cheap parts. They need to get away from that. Their independant dealers have abused the customers but the GM is taking the heat for all this. We need a new car but we will buy what fits our budget and one that Consumer Reports gives high ratings to. GM has a long way to go to swoon the buyers now. It's easier to keep a customer than to try to win him back after he has been stung.