Fresh out of grad school when I joined the HQ Finance Staff at Ford forty years ago there was GM and Ford. We were well down in market share but solid in second place.
We were the two largest companies in the world.
We didn't think about Japan. It never occurred to us we'd lose to them.
We didn't care about consumers. We didn't even think about them. We didn't know we were selling #$%$. It never occurred to us that our manufacturing flex policy of marketing 3 different 351 engines was conning buyers. Nor that substituting a horrid English Six for the beautiful Cologne Six was disrespecting our product and loyal customers.
Oddly, we were blind to things happening right in front of us. The three-year-old cars we passed on the Detroit freeways were already rusting out. A Vega couldn't go 20K without the wheels falling off. The Gremlin weight distribution problem was so bad when it iced up people on the roadway shoulders pushing them. We paid no attention.
GM and Ford couldn't collude to fight the UAW. They could under Taft-Hartley. But since we all paid the same crazy wages there was no competitive disadvantage. We owned the market.
How things have changed on this celebration of GM's lowest market share since Sloan.
What irony that Obama goes to Michigan decrying 'prevailing wage' which might help restore Detroit. A black guy sounding like an old labor hack.
1972 was probably the beginning of the detroit brainfade. They didn't put out many good cars since then. Ford still made great trucks from 1973 through 1979. i bought another 79 the other day for under 3k, with a beautiful, original two-tone green paint job, a mint interior with a sweet running 460/Auto with 78k original miles. It's a little funny to see the newer Toyo tires on there, but quality products are always welcome....
what is the purpose of having 3 starbucks on one street corner in nyc, chicago or vancouver? once a company becomes publicly traded, rational behavior takes a back seat. lawyers and accountants drive decisions and alpha a's jump in the c-ring.
we have not mastered BIG. big company, big government, big church, big university...
look at apple. i believe this will be our next gm...
I guess market share no longer matters,especially when you start losing market share. Same people here will be the first ones to jump up and down when they surpass Toyota sales.
If market share matters to Porsche, Ferrari, Rolls Royce, Bentley I thik it should matter to the lowly GM.
Without market share (sales) profits also erode away unless they found a new way to make double the profits on a car by car basis.
Efficiency is good. Cost control, labor checked are all good. At the end of the day, you best be selling cars and trucks rather than settling for a smaller and smaller piece of the pie.. You will get eaten away doing that!