Sunday, April 20, 2008

GM brings a hybrid car to China: Read this!


GM is building a joint venture hybrid in china, I mean the whole thing, parts, manufacturing, from the ground up. They are already marketing a hybrid SUV in china. the thing is, these cars really dont get good gas mileage, because they are huge vehicles. And they are very heavy. My corolla gets 33 mpg city, 40 highway, and that is driving carefully. The mpg on a hybrid Buick Lacrosse, which is what they are building, is probably high 20's maybe 28 at the most. All the big automakers are marketing in China, they see that as a new market. But GM assumes the chinese want to seat 4 overweight adults, plus lots of luggage and coolers and "stuff" in the car for long trips. Thats what they market to the US market, and that is why they don't "get" it. Toyota sells more Prius's than they can produce in the US. I think GM is going down - I don't think they understand the market place, despite all their research. I think the Buick Lacrosse is an ugly car, too heavy, at 28 mpg it is not efficient, it drives like a bus, and I don't believe americans much less chinese will buy it. The Honda Accord hybrid has not sold - it gets slighter better mpg than a gas Accord, but costs alot more. GM has lost billions of $, will continue to loose money, do not buy their stock. My inside trading knowledge is that airline stock is considered worthless by stock brokers, and I think GM stock will soon be worth as much as American Airlines stock (they not only cannot make money flying, they cannot manage their company properly and skipped maintenance on its planes).

No comments: