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Special Report

GM's Accelerating Death Spiral

More bad news for General Motors -- but its real problem is that it makes too many different cars.

(Page 2 of 2)

A truly radical restructuring is probably the automaker's only hope. That means the wholesale elimination of entire brands -- or at the very least, the consolidation of GM's currently unsustainable menagerie of makes and models into a more sensible lineup of "GM" brand vehicles -- with everything subsumed under that nameplate except, perhaps, a separate luxury line (Cadillac).

But the necessary changes won't come willingly because no one voluntarily puts his head (or his fiefdom) on the chopping block. Let someone else feel the pain; let someone else update his resume. Not me. But there's a weird unreality about it all -- sort of like the Titanic passenger who locks himself in his stateroom, climbs under the covers and pretends not to notice the growing list, the water rushing under the door.

But in the end, everyone goes down with the ship anyhow.

Page:   12

topics:
Business, Unions

About the Author

Eric Peters is an automotive columnist and author of Automotive Atrocities: The Cars You Love to Hate (Motor Books International) and a new book, Road Hogs.

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