How to save General Motors?

Question

What are the steps to help GM mitigate the cash crunch? Like a rights offering? Selling Hummer and Saab, and shutting Pontiac and Saab? Getting capital injection from sovereign wealth funds?

Please give me your thoughts. Thank you.

Answer 1

They should kill Hummer and sell SAAB, just like Ford sold Aston Martin.  GM doesn't have the first clue about what to do with a ~60 year old enthusiast's marque like SAAB and they've really diluted the appeal of the cars.

I think they should consolodate similar companies into about 4 automakers and strictly limit the number of cars made by each.  If they can make a few well-designed and fuel efficient/safe cars, they could pull it out, I think.  Lots of people are going to lose their jobs, either way.  Perhaps they could look at selling a few of their factories to non-American automakers.  The equipment would be different, of course, but it'd be fantastic goodwill/advertising for a company like Honda or Toyota, who could surely use established facilities strategically.

Answer 2

How bout stopping the production of V8 cars and SUVs and invest in more economical cars.  Look at thier brands and you'll know why they will evetually sink.

Answer 3

Kick out the unions and reduce the number of makes and models. It's rediculous to have so many different models and trim levels and options of Chevrolet, Buick, Pontiac, Hummer, Cadillac, GM, and did I leave out any? They should have taken note of what the Japanese companies were doing long ago. Look at Honda. You can't get an Accord in dozens of different models and options and trim levels. You buy the "packages" they have.

Answer 4

The U.S.A. needs to stop sending $$$$ to Honda and Toyota and invest in USA products.

Answer 5

GM crapped in their punch bowl when they made a deal with the unions back in the '70's -- now they pay out more money in retirement funds and health care than they make, a really, really bad situation to be in today. Saab is for sale, Hummer will probably be next on the block. I think their only prayer is to close ALL of the northern assembly and research facilities and move them to the deep south where honest Americans are willing to work for decent wages and not demand cradle to grave care from their employer, i.e; Honda, Nissan, Hyundai, BMW and Benz.