Jump to content
Sign in to follow this  
dan45mcc

Ethanol should buy GM's Saturn division

Recommended Posts

I still don't understand dropping Saturn...but since they are wouldn't that something if the Ethanol Industry as a group purchased Saturn and made Real E85 engines ....that would be very cool

 

Share this post


Link to post
Share on other sites

Heck don't be shy, offer to buy it with a grant from the administration to develop an E85 optimized FFV.

 

You never know they might throw 5 billion dollars at you.

 

Larry

Share this post


Link to post
Share on other sites

The reason they are dropping Saturn is simple the division has never made a profit. The unique Saturn only vehicle lost tons of money, they never paid the development and tooling costs off. The Saturn as a 100% unique vehicle was a failed experiment. That is why they became re-badged versions of standard GM platforms. Even then the low volume didn't justify the added expense, of tooling up for the Saturn unique parts, advertising, and the network of Saturn only dealerships, and most importantly division overhead.

 

 

 

Share this post


Link to post
Share on other sites

Saturn sold over 4 million vehicles ..how is that a "failed experiment"  made them for almsot 20 years .. so they failed for 20 years?  :P

 

The problem wasn't the vehicle but cost management ...

 

 

The reason they are dropping Saturn is simple the division has never made a profit. The unique Saturn only vehicle lost tons of money, they never paid the development and tooling costs off. The Saturn as a 100% unique vehicle was a failed experiment. That is why they became re-badged versions of standard GM platforms. Even then the low volume didn't justify the added expense, of tooling up for the Saturn unique parts, advertising, and the network of Saturn only dealerships, and most importantly division overhead.

 

 

 

Share this post


Link to post
Share on other sites

Saturn sold over 4 million vehicles ..how is that a "failed experiment"  made them for almsot 20 years .. so they failed for 20 years?  :P

 

The problem wasn't the vehicle but cost management ...

 

 

The Saturn as a 100% unique vehicle was a failed experiment.

 

 

I didn't say that Saturn as a whole was a failed experiment, though since they are planned to be dropped....

 

What I said was Saturn as a 100% unique vehicle with every nut and bolt being a "Saturn" part was a failed experiment. They threw out the parts that GM did know how to make well, which added greatly to their development costs. For example they used Saturn only AC equipment yet their other AC equipment was state of the art, being sold to many other MFGs including Mercedes, Volvo (pre Ford), Porsche, Toyota, BUT the Saturn had to have its own stuff, and in the case of the AC system it was crap.

 

They built a new plant spending millions while they had idle property elsewhere that could have been retooled, even to build the goofy plastic design. The every part a Saturn only part meant that the original cars never paid off their development costs. Which is why GM admitted it was a failed experiment, was unsustainable on it's own, and brought them onto their other platforms and assembly lines, in an attempt to make the division profitable.

 

Certainly at the time it was conceived GM had taken its badge engineering way to far stripping the uniqueness and soul from the brands, but the Saturn experiment took things way too far.

 

Another thing to consider is the fact that GM desperately needs to trim it's dealer network considerably, so Saturn is a good choice, one of their worst performers, and since Saturn dealerships had to be Saturn only it makes a simple way to trim the dealer network. http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9NDExMnxDaGlsZElEPS0xfFR5cGU9Mw==&t=1

 

The only GM brand performing worse in today's economy is Hummer.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

×
×
  • Create New...