Auto Manifesto

March 23, 2009

Saturn: A Different Kind Of Company?

Automotive News reports that GM has been approached by competitors about selling their cars under the Saturn brand. At this point, Saturn has no products planned for after 2011.

A possible spin-off (as previously mentioned) could also provide the new buyer/partner with assembly capacity in addition to the dealer distribution network, since there is excess capacity available.

AN is also reporting that the new company could use some light design capability to give the vehicles a family resemblance. Last year Saturn produced somewhere around 250 thousand units, which works out to about 625 units per dealer. A new company would need to be able to obtain a significant amount of volume to make the transition work. It's a tall order but by far the best alternative.

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