GM Downsizing! Which Cars Should Go?

Sometimes downsizing is the most responsible way to rein in spending and guarantee a future of financial well-being.

Getting a smaller house, selling those extra cars, and starting to spend a little bit less every month can have lasting positive effects on your life.

Don’t worry, this hasn’t become a self-help or financial advice blog. Downsizing is just a natural part of modern life, and sometimes even the biggest companies in the auto industry have to pare down their possessions to stay viable and relevant.

General Motors is in the midst of a downsize after selling off its European unit. It might just be getting started, too, with reduced investments potentially affecting North American vehicles.

GM recently sold its Opel and Vauxhall brands and appears to be looking at more ways to downsize so it can focus on its core areas including Cadillac, vehicles for the Chinese market, and SUVs and pickups for Americans.

MotorTrend said,

On our shores, GM will likely make cutbacks to its lineup of passenger cars. As consumers are demanding more and more SUVs, cars accounted for just 25.3 percent of GM’s sales in the U.S. during the first two months of the year, down from 38.3 percent in 2013. Meanwhile, GM had almost double the desired amount of new-car inventory on its lots as of the beginning of this month.

GM could continue to get rid of its slow-selling cars, like it did by axing the Chevrolet SS. As a less extreme option, the automaker may simply decide to update many of its products less frequently.

It seems GM may follow FCA’s lead in ditching cars for more trucks, which makes sense from a purely financial standpoint. We know that GM isn’t interested in selling too many sedans, because profit margins on those are nowhere near that of larger SUVs and trucks. We also know that consumer demand is squarely in the crossover camp.

Which GM cars could be the first to go? That’s anyone’s guess, but we will say this: The Impala and Sonic routinely show up on lists of the slowest selling vehicles.

Which of its cars should General Motors stop building?

-tgriffith

Find Certified Pre-Owned Cars and Used Cars in your area at CarGurus.

Used Chevrolet Impala
Used Chevrolet Sonic

1 Comment

  1. All sedans must go.

    They are pure rubbish.

    GM lost its way many decades ago. The last decent sedans were made by Opel. Without its European technology source, everything is going to get from bad to worse.

    GM had the dismal reputation of turning decent German platforms like the Delta, Gamma or Epsilon into rubbish.

    And btw everyhing designed by GM Korea should follow Daewoo into oblivion.

Leave a Reply

Your email address will not be published. Required fields are marked *

*
*
Website