No GM minicars in U.S. for the time being

With sales of the smart going well and cars like the MINI flying off the showroom floor, you might expect the big automotive giants to want in on that action too. Perhaps they do, but it doesn't seem likely that General Motors will be entering that particular segment of the market anytime soon. So says Fritz Henderson, who would know as one of the men making decisions at the top of the company's ladder. Despite the recent sales success-stories and the rapidly dwindling market for large vehicles, Henderson suggests that Americans are still more likely to choose a compact over a subcompact. For instance, if GM could get nearly the same mileage from a vehicle the size of the Cobalt, it would sell better than a car the size of the Beat. On the other hand, these types of cars sell very well in Europe, and we'll never know how well they can do in the States (now that Americans have gotten a taste of high gas prices) until an established automaker offers one. It looks like we'll just have to wait for the Ford Ka and Scion iQ to find out.
[Source: Automotive News - sub. req'd]
Reader Comments (Page 1 of 1)
stevefazek 8:31PM (10/14/2008)
GM will offer one of these cars once they get bought up by toyota lol
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TX CHL Instructor 1:53PM (10/15/2008)
You mean, once some of the pieces of the former GM are bought up by Toyota. No way Toyota would be dumb enough to buy GM intact.
why not the LS2LS7? 8:57PM (10/14/2008)
The cars spoken about are city cars. The MINI is not a city car. It's much larger and higher quality. The Smart is a city car, although despite its general nastiness (hello awful gearbox), it is a rather high end city car.
City cars are a section of the market that is relatively untested in the US. Even Toyota and Daihatsu never tried here.
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Atomicbri 7:54AM (10/15/2008)
Toyota is about to test it with the IQ, which may be a Scion.
Dave 3:43AM (10/15/2008)
The US subcompact market is limited and the profit margins are tiny.
However, GM needs to have a solid entry level car that kids take with them to college, so that once they are out of college, they might stick with the brand.
The Beat definitely looks like a more attractive high school graduation present than the Aveo.
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Dan 10:59AM (10/15/2008)
Uhm... yeah, but its too bad the Cobalt is one fugly uther mucker. But they're right... OBVIOUSLY with mini's and smarts flying off the shelves, NO American really wants those small cars.... they're just buying them to feel better about the Hummer in the garage next to it. Plus, who knows better than GM and Ford that truly great vehicles only last 2-3 years anyways... those silly Germans building well-built long-lasting machines with premium interiors... what the hell are they thinking?
Besides, what does GM care about market analytics? They're getting part of a $25 billion bailout from all of us anyway.
Whats the definition of stupid? "Doing the same thing over and over and expecting different results."
I really have no problem with American automakers going belly up. F**k them all.
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dr61 3:14PM (10/15/2008)
The Mini has been a success since it was introduced here in 2003, way before fuel was really expensive. I had to wait almost a year to get my Mini back in 2004-2005, but no Americans want small cars?
Dan 7:12PM (10/15/2008)
I was being sarcastic. Hence why I said I don't care if American car makers go banckrupt. They deserve it for completely ignoring market desires and environmental responsibility.
Why does the Mini sell so well? Cuz it's not designed by completely inept bean-counters (read Ford/GM/Chrysler) who think the small-car market is relegated to people who appreciate fuel economy, crappy styling, crappy interiors, and shoddy construction above all else.
The Mini is too cute for my tastes, but If they would just bring back 80's Japanese dimensions in a modern luxury sporty performer... I'd be all over that in a hot minute.