[This Commentary originally appeared in the November 15, 1990 issue of The Mendon-Honeoye Falls-Lima Sentinel.]

The American automobile industry, and General Motors in particular, has failed to successfully incorporate consumer behavior into their American marketing efforts. Market share data clearly shows the industry’s poor performance. From 1978 to 1989, the market share of the Big Three (GM, Ford and Chrysler) has fallen from 82% to 67%. (“Detroit Under Siege,” The Economist, April 14, 1990). Furthermore, GM itself saw its market share drop from 46% in 1979 to 35% in 1989. (“Detroit’s Big Three,” The Economist, April 14, 1990). Only in light of overwhelmingly negative market share figures has GM finally begun to realign its organizational structure to address the critical consumer behavior issues.

GM’s Failure

We can see GM failed to recognize or successfully execute upon four basic assumptions of Continue Reading “Consumer-Oriented Cars”