This post is one in a series on prominent company nicknames. See all 25, and share your thoughts and memories about The General below in the comments.
"The General" does not deserve its nickname any longer. Founded in 1908, General Motors (NYSE: GM) was the largest car company in the world for almost seven decades. It lost that distinction to Toyota (NYSE: TM) during the last year.
GM has 50% of the U.S. car market at one point. That is now down to 20%.
"The General" still maintains a number of the most successful brands in the world: Cadillac, Buick, Chevy, and Pontiac. Years of neglect have pushed the company into a position where it does not make competitive cars in its home market. It greatest current sales successes are in the Chinese market and Latin America.
In 1955, "The General" was the No.1 company in the Fortune 500. It held that position until 2000.
Alongside General Electric (NYSE: GE), GM is probably the most important American corporation of the last 100 years. That won't be true going forward.
Douglas A. McIntyre is an editor at 247wallst.com.
Reader Comments (Page 1 of 1)
8-08-2008 @ 11:03AM
Bob said...
I guess no one thought to ask a GM employee what they called GM. "Generous Motors"
8-08-2008 @ 2:08PM
Eric said...
I agree with Bob...Growing up in Central Michigan, and not a GM employee or relative, I never heard of it as "General Mother Motors" or "The General" it was always "Generous Motors" ! And that they were!
8-09-2008 @ 1:23PM
Tom Ficca said...
They sould be called THE RIP OFF GENERAL I hope they go out of buissness.They cost me ALOT of money because they DO NOT care about the people buying there product. Thay call all go to HELL!
8-11-2008 @ 8:24AM
Darlene said...
I worked for GENEROUS MOTORS until AC Spark Plug in Flint spun off to Delco then Delphi. I made way more money than I would have anywhere else. I had great benefits (health care, dental, vision, etc.). I have a good retirement, too. I just wish that I could be confident that the benefits and pension will last throughout my retirement since I was able to retire at the ripe old age of 50.
8-14-2008 @ 4:13AM
parodymaster said...
"Garbage Motors"! American cars suck balls! European ones are too bloody expensive, which leaves the Japanese models (Honda and Toyota)...
Reliable, affordable, and perfectly safe... just don't get into an accident in them (if you value your life).
8-14-2008 @ 2:33PM
Dan Flores said...
I don't mean to sound like my wise, old grandma, but in this case I think I will. Guys - you should not live in the past! GM's 50% marketshare in the 1950s is but a small speck in our rearview mirror. At GM, we're learning from our past mistakes, but we're focused on transforming GM for long-term, sustainable success. We are building a company that can compete successfully, globally.
While we are struggling in the U.S., we've make significant progress in our turnaround and transformation of our North American business, at a time when we have record sales in our three regions outside of North American. We know there's more work to do to making North America more competitive and profitable, on a long-term, sustainable basis.
On a global basis, GM recorded its second best ever global sales in 2007. GM finished ahead of Toyota in 9 of the top 10 global markets, while Toyota led in Japan.
Due to the rapid rise in fuel prices, customers have rapidly shifted from trucks to car and crossovers, for greater fuel efficiency. This shift has undoubtedly affected our bottom line, but we began shifting our product lineup as well. We began moving earlier this decade from trucks to cars. Eleven of the last 13 major U.S. vehicle launches have been cars or crossovers, and 18 of the next 19 major U.S. launches will be cars and crossovers. For our current lineup, GM still has more vehicles (17) with an EPA highway fuel economy rating of 30 mpg or more, better than any competitor.
I definitely have to disagree with the assertion that we do not make competitive vehicles in our home market, the U.S. Lets look at the facts surrounding a few of our models. First, let's take the all-new Chevy Malibu.
The all-new Malibu offers customers great looks and functionality, outstanding fuel economy, with bullet-proof quality. In this years J.D. Power Initial Quality Study, the Malibu was the best in the midsize car segments, beating the Toyota Camry and the Honda Accord. Also, the Malibu finished fourth out of all models in the marketplace.
Take a look at the Cadillac CTS. The CTS was Motor Trend's 2008 Car of the Year! Great styling and design and world-class performance!
And while sales of our full-size pickups and SUVs have significantly softened due to fuel prices, GM is largely known as having the best full-size trucks in the marketplace.
This product excellent is not happening by accident.
We are relevant and will continue to be in the near and long-term.
Dan Flores
GENERAL Motors