GM's Bad Moves

[Marc]

In this article, the author states that a lot of money that GM wasted could
have been used to save Oldsmobile.
The paragraph in which he says that..........................


For example, there would have to be a calculation of the "opportunity cost," meaning what all else GM could have done with all that money. Remember, the investment in Isuzu began in 1971, almost 35 years ago. In Suzuki, it started in 1981, in Saab more than a decade ago. That's a lot of opportunity cost, and a lot of money that GM could have used to design and build better vehicles. Or perhaps, to have saved Oldsmobile. Heck, GM would have even been better off just parking its cash in money market funds.

[20inchaurora]

i agree....poor oldsmobile way to treat the division that came up with the first auto trans

[95mushroom]

Well, the Isuzu relationship paid somewhat off, in their light-duty and medium-duty truck motors, and Saab definitely turns a profit.

[95rora]

i agree....poor oldsmobile way to treat the division that came up with the first auto trans

Not to mention the first of the GM vehicles. Olds first began in the late 1800's before the General was even twinkle in someones eye.

[oldsauroraman1]

Not to mention it was the oldest manufacturer of automobiles in the US. Shameful and irresponsible on the part of GM. They have yet to recover from it. Saturns still make me ill when I see them!

[Wacko]

Good article. I'm all for management accountablilty.

[oldsauroraman1]

Yep, that's the big problem, just like in government, too much red tape, AKA "Beaucracy."

[20inchaurora]

i seem to remember reading somewhere that olds had the first prototype air bag as well?

[oldsauroraman1]

Yes, that is correct. The 1975 Olds Ninety-Eights had them as an option in the steering wheel.