Necessary and Unnecessary Risk: An Alternate General Motors Corporate History

1968

kernals12

Banned
I've been a big car enthusiast pretty much since I was born, so I wanted to do a car-centric alternate timeline. Since endless pages have been shed over GM's implosion, I thought I'd prevent that, by stopping all the stupid mistakes that cost them their market share.

1968:
January 10 was a cold day in Detroit. GM Chairman Jim Roche was sitting in yet another board meeting. For 3 years now, he had been the top brass at the world's largest company, employing more people, earning more revenue, and paying more taxes than any other private entity. Some said he was more powerful than any man in America not named Lyndon Johnson. His tenure was a somewhat rocky one. In 1966 he was forced to issue a public apology for attempts to smear activist Ralph Nader, Ford's Mustang was flying out of the showroom and it took GM 3 full years to properly respond with the Camaro/Firebird twins, Washington was breathing down his neck on safety, smog, and antitrust concerns, and the sales of imports kept growing, the unstoppable Beetle being joined by Datsuns and Toyotas from Japan. On the other hand, the company was still going strong and was in no danger of losing its top position, having manufactured its 100 millionth car in 1967. Roche also committed himself to Equal Employment Opportunity initiatives.

This meeting would concern GM's new planned subcompact, smaller than even the Nova, to go on sale in 1970. Executive Vice President Ed Cole had put forward a proposal for a radical design including a die cast aluminum engine block.

Roche stated his opposition to this design strongly:
"I look at this design and I worry this will be the Corvair disaster all over again. Even before Nader came along we learned the problems of a radical new small car design, Falcon outsold us 2-1 and was able to use standard parts. I think a much better proposition would be slapping a Chevy badge on one of our overseas subcompacts such as the upcoming Opel Ascona. The Opel has already sold well through Buick dealers so it's proven to be successful. By sharing resources with the West German division, we can reduce our costs and because it'll offer a sedan model, it'll have a wider appeal. We should not be taking unecessary risks"

So it was decided, GM's new subcompact was to be an Americanized version of the Opel Ascona. The Chevrolet Vega, as it would be called, would use softer suspension and be built in the US but would share much with its West German cousin.

Ed Cole was bitter about this but ultimately did not interfere with the project after becoming Chairman that year.


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Chevrolet's Nova was redesigned with a larger body.

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GM's Intermediates, Chevrolet Chevelle, Pontiac Tempest, Buick Skylark, and Oldsmobile Cutlass were all new for 1968.

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The famous Corvette entered its 3rd Generation with aggressive coke bottle styling.

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Opel got its own miniature version of the Corvette in the form of the GT.
 
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Bravo for the effort.

If you can pull it off...:cool:

One question: why not reuse the Corvair platform? The Vega need not have used an aluminum block, or go without rustproofing; the "build to a price" problem could be ignored, with sufficient reason (or head office clout).

Also, what happens to the Opel GT? Offered as a *Vega? (And Astre, Skyhawk, &/or Starfire...?)

Not doing it that way makes me wonder if Grumpy's Toy X turns out to be a Pinto, instead.:eek:
 

kernals12

Banned
Bravo for the effort.

If you can pull it off...:cool:

One question: why not reuse the Corvair platform? The Vega need not have used an aluminum block, or go without rustproofing; the "build to a price" problem could be ignored, with sufficient reason (or head office clout).

Also, what happens to the Opel GT? Offered as a *Vega? (And Astre, Skyhawk, &/or Starfire...?)

Not doing it that way makes me wonder if Grumpy's Toy X turns out to be a Pinto, instead.:eek:
A. Even before Unsafe at Any Speed people were not fond of the rear engined Corvair, the Ford Falcon easily outsold it, forcing GM to bring out the more conventional Nova
B. The Corvair was a size class above the Vega.

As for the Opel GT, it's sold through Buick dealers as IOTL. It would definitely not be offered as a Chevy, they already had 1 fiberglass 2 seater and didn't need another.
 
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The Corvair was a size class above the Vega.
I saw somewhere the Vega & 'vair were on a common platform...:oops:
Opel GT, it's sold through Buick dealers as IOTL. It would definitely not be offered as a Chevy, they already had 1 fiberglass 2 seater and didn't need another.
I can live with the Buick sales; personally, I'd badge engineer it as a Pontiac, first (instead; maybe an Olds, too).
 

kernals12

Banned
I saw somewhere the Vega & 'vair were on a common platform...:oops:

I can live with the Buick sales; personally, I'd badge engineer it as a Pontiac, first (instead; maybe an Olds, too).
This TL features GM with sensible management. And the sensible thing would not be to have a second fiberglass 2 seater cannibalizing Corvette sales.
 
1969

kernals12

Banned
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1969 was a quiet year for GM, the only new model being the Pontiac Grand Prix. Based on a stretched Le Mans chassis and with a unique beak-like front end, it was very successful and would help define the growing Personal Luxury Car segment.

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1969 was also the end for the Chevrolet Corvair. Launched in 1960, it was part of the first wave of new compacts meant to beat back the VW Beetle. The car sold poorly as buyers were scared off by its rear engine layout and things got a lot worse in 1965 when an attorney named Ralph Nader released his book Unsafe at Any Speed, which claimed the Corvair was unsafe due to GM's cost cutting. The company infamously tried to have prostitutes seduce Mr. Nader in an attempt at blackmail. This, along with the introduction of the Ford Mustang, doomed the Corvair from being in any way successful. Ironically, an NHTSA study in 1972 would find the Corvair to be no more dangerous than other compact cars of the period.

Meanwhile, the new Vega and its twin the Pontiac Astre was undergoing extensive development in anticipation for the launch next year. In addition, GM's Lordstown Assembly in Ohio had a new highly automated line added to produce the new subcompact.
 
1970

kernals12

Banned
As America turned to a new decade, they were introduced to a new field: the subcompact car.
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The first entry into this field, and the only one available in Model Year 1970 was American Motors with the Gremlin. Essentially a Hornet with the back chopped off, it sold fairly well but was criticized for its odd proportions.

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In September, Ford unveiled their Pinto. Offered with 2 doors only and with rack and pinion steering, it was a modern and state of the art offering.

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GM unveiled their offering that would tower above all the rest, the Vega. It offered a 4 door model and a spacious cabin. It was essentially a mini-Impala. Automotive journalists could not stop gushing over it, and it looked like it would be a huge hit.

But then, disaster, in September the United Autoworkers went on strike. The 2 month walk out brought General Motors to a halt and was only ended in with an agreement for a nearly 20% wage increase.
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The 1970 model year brought out 2 notable new cars for GM. First was a redesign of the Camaro/Firebird, the new European bodylines were an instant success and helped take the fight to the Mustang juggernaut.

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Also new was Chevrolet's Monte Carlo, a stylish rebody of the intermediate Chevelle, it brought personal luxury to the blue collar level and was a massive hit.

Legislation pertaining to GM's future was passed. California Governor Ronald Reagan signed the Environmental Quality Act, imposing the nation's strictest environmental protection laws. In Washington, the Environmental Protection Agency was created. Controlling smog emissions would be a key issue for GM through the decade.
 
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kernals12

Banned
Isn’t Chrysler creating the prototype for the Dodge Dart?
Dart was a class size above. Chrysler didn't design its own subcompact, they imported the Hillman Avenger from Britain as the Plymouth Cricket and the Mitsubishi Colt as the Dodge Colt.
 

marathag

Banned
This TL features GM with sensible management. And the sensible thing would not be to have a second fiberglass 2 seater cannibalizing Corvette sales.

Different market segment. Corvettes stopped being a sportscar once big block with a three speed automatic were offered.

Corvette 3rd Generation were 1500 pounds heavier than the four cylinder Opel. and as far as sales went, the Corvette was only selling 20-30,000 a year in any case

A rebadged Opel would cut into Sunbeam Alpine and MG import sales, a market that GM wasn't in, at all--'Real' sportscars
 

marathag

Banned
GM's Lordstown Assembly in Ohio had a new highly automated line added to produce the new subcompact.

Is the Ohio complex going to stay a Chevrolet Assembly Plant with attached Fisher Body or will it get sucked into the new General Motors Assembly Division, and speed up the assembly line and other things that led to all the OTL poor quality, sabotage and eventual Strike?
 
1971

kernals12

Banned
For 1971, all eyes were on GM's new subcompact. There was great anxiety about whether this new tiny car would be a success. Once sales figures came in, all fears were allayed. 400,000 Vegas were sold, to Pinto's 220,000. And thanks to low development costs, the car was profitable. Reviews of the car were universally positive. The car was praised for the spaciousness and European handling crispness while the Pinto was panned for being cramped and impractical for families. GM had correctly deduced that Americans wanted a big car in a small package. Ford was left scrambling.

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While GM had brought out its smallest car, it redesigned its bread and butter big cars. From Chevrolet, Pontiac, Oldsmobile, Buick, and Cadillac, the new cars were bigger than ever and used the distinctive "fuselage" shape.


In an attempt to overtake Ford in the full sized wagon market, GM introduced the disappearing clamshell tailgate which disappeared under the cargo floor. The problem was that people's hands could get caught.




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GM's front drive full sized coupes, the Cadillac Eldorado and Oldsmobile Toronado were also redesigned and got larger, gaining 6 inches in wheel base. The Cadillac offered a mammoth 500 cubic inch (8.2 liters) V8, their biggest ever.

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The Buick Riviera got redesigned with the famous "boattail" look.
Also for 1971, all engine compression ratios were lowered to allow for the use of unleaded gasoline.
 
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kernals12

Banned
Different market segment. Corvettes stopped being a sportscar once big block with a three speed automatic were offered.

Corvette 3rd Generation were 1500 pounds heavier than the four cylinder Opel. and as far as sales went, the Corvette was only selling 20-30,000 a year in any case

A rebadged Opel would cut into Sunbeam Alpine and MG import sales, a market that GM wasn't in, at all--'Real' sportscars
Might hurt Camaro sales.
 
I've been a big car enthusiast pretty much since I was born, so I wanted to do a car-centric alternate timeline. Since endless pages have been shed over GM's implosion, I thought I'd prevent that, by stopping all the stupid mistakes that cost them their market share.

1968:
January 10 was a cold day in Detroit. GM Chairman Jim Roche was sitting in yet another board meeting. For 3 years now, he had been the top brass at the world's largest company, employing more people, earning more revenue, and paying more taxes than any other private entity. Some said he was more powerful than man in America not named Lyndon Johnson. His tenure was a somewhat rocky one. In 1966 he was forced to issue a public apology for attempts to smear activist Ralph Nader, Ford's Mustang was flying out of the showroom and it took GM 3 full years to properly respond with the Camaro/Firebird twins, Washington was breathing down his neck on safety, smog, and antitrust concerns, and the sales of imports kept growing, the unstoppable Beetle being joined by Datsuns and Toyotas from Japan.

This meeting would concern GM's new planned subcompact, smaller than even the Nova, to go on sale in 1970. GM Executive Vice President Ed Cole had put forward a proposal for a radical design including a die cast aluminum engine block.

Roche stated his opposition to this design strongly:
"I look at this design and I worry this will be the Corvair disaster all over again. Even before Nader came along we learned the problems of a radical new small car design, Falcon outsold us 2-1 and was able to use standard parts. I think a much better proposition would be slapping a Chevy badge on one of our overseas subcompacts such as the upcoming Opel Ascona. The Opel has already sold well through Buick dealers so it's proven to be successful. By sharing resources with the West German division, we can reduce our costs and because it'll offer a sedan model, it'll have a wider appeal. We should not be taking unecessary risks"

So it was decided, GM's new subcompact was to be an Americanized version of the Opel Ascona. The Chevrolet Vega, as it would be called, would use softer suspension and be built in the US but would share much with its West German cousin.

Ed Cole was bitter about this but ultimately did not interfere with the project after becoming Chairman that year.
before they brought the Vega out before they brought the Vega out there was a lot of speculation that a majority of the Vega was and the Vega was to be the next generation of the Corvair which never went anywhere
 
But yet, Ford could fight back against the Vega that was based on an Opel model. The answer: a US version of the Ford Cortina sedan already popular in Europe.
 

kernals12

Banned
Is the Ohio complex going to stay a Chevrolet Assembly Plant with attached Fisher Body or will it get sucked into the new General Motors Assembly Division, and speed up the assembly line and other things that led to all the OTL poor quality, sabotage and eventual Strike?
It'll be fine, since it won't have that diabolical aluminum engine.
 

kernals12

Banned
But yet, Ford could fight back against the Vega that was based on an Opel model. The answer: a US version of the Ford Cortina sedan already popular in Europe.
I was planning on doing just that. But because of the depreciation of the US dollar after 1971, it'll be quite expensive and retooling assembly US assembly lines will take too long so there's no way Ford can possibly match GM on sales.
 

kernals12

Banned
It's a cliche that GM's problem was they ignored the imports, it was sort of the opposite. They spent huge money on brand new cars to beat back the imports (Corvair, Vega, W-Body, Citation, Saturn etc.) and once the vast number of problems came along, they couldn't afford to fix them and instead let them wither on the vine, damaging their reputation.
 
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marathag

Banned
It'll be fine, since it won't have that diabolical aluminum engine.

Need to checkout the background on why Lordstown became such a hellpit.

GM knew the Vega would be a big seller, so planned on getting the most output possible with a very new workforce
http://reuther.wayne.edu/node/10756

The engine was a problem after the car left the dealership, not during assembly. The Strike cost GM $150M in lost sales, and gained much bad PR

Having a better car design will not change a thing, the Workers will have the exact same grievances
 

kernals12

Banned
Need to checkout the background on why Lordstown became such a hellpit.

GM knew the Vega would be a big seller, so planned on getting the most output possible with a very new workforce
http://reuther.wayne.edu/node/10756

The engine was a problem after the car left the dealership, not during assembly. The Strike cost GM $150M in lost sales, and gained much bad PR

Having a better car design will not change a thing, the Workers will have the exact same grievances
Okay, that seems like a problem, but not a permanent one. And since tooling costs are much lower by copying a German design, there may not be a need to speed up the line.
 
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