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Originally Posted by BigAls87Z28
All of GM's new cars are selling well, and at high transaction prices and with no rebates.
Now Im not blaming the Japanese or the Europeans for GM's financial demise. GM made mistakes years ago, and it finally came back to haunt them at the worst moment possible.
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GM makes a set profit off of each car sold. GM sells them to a distributor who then sells them to the stealerships. High transaction prices only puts more money in the stealership's pockets, not GM's.
GM has only itself to blame for it's financial demise. It was responsible for staying current with the changing demands not only in the domestic market, but in the dominating global market, and GM failed. GM should really take a look at Mercedes. Mercedes looks at markets in various sectors in the world and develops and markets to that sector. You will find MBs all over the place. GM on the other hand develops for bizarre small niche sectors and invests ludicrous dollars into a venture that will maybe break even. Like the CTS-V. LOVE the car, but a TV show paid for by GM on the SPEED Channel about how cool the CTS-V is? How many of them will they have to sell to cover the costs to promote a niche car? Why not promote something with a much larger market interest like oh say the Camaro? Maybe make commercials about diesel trucks?
We now live in a global marketplace and GM needs to adapt, or they won't survive.