Reply #4: Will the Volt help the brand image [View All]

[hughee99]

if initially, it's priced out of the market? If no one buys a car, the perception will be that it's a failure, no matter how good it actually is. And having your new car perceived to be a dud hurts the brand image.

The difference between Toyota and GM is that while the Prius was initially unprofitable and expensive, Toyota had other successful product lines that were able to make up for the $$ lost on the Prius. I'm not aware that GM has this, and therefore the amount of time they can afford to remain unprofitable with the Volt is much shorter.

Yes, GM makes good cars now, but they've done a poor job of changing the public perception of American cars in general over the last 15 years. They are not disadvantaged in the quality of the product, but they are disadvantaged when it comes to the preconceptions of a significant portion of the buying public.

Don't get me wrong, I'm rooting for a big comeback from the American automakers, but no matter what is done in the next year to help them out, I still think it's an up-hill battle.