Future Glimpses: GM offers an interesting view of its tomorrow in Shanghai.
MANILA, Philippines – The speedometer kept on rising as I shifted to fifth gear. Hitting the long, quarter-mile stretch on General Motors’ proving ground, the digital tachometer climbed steadily. Soon, the diminutive sedan I was driving kicked up to a steady 120 km/h and I had to slow down for the next portion of the test track. An experience such as this is usually savored in Detroit, Michigan – only I wasn’t in Detroit or anywhere else in the continental USA for that matter. I was in the outskirts of Shanghai, home to General Motors’s International Operations or GMIO for short.
At first, it seemed odd that America’s quintessential blue-collared brand headquartered itself in the heart of cosmopolitan China. It seemed like a recipe for culture clash, similar to what Michael Keaton experienced in the 1986 movie, Gung Ho. Still, GM’s move to “build where it sells” paid off. The world’s largest car market certainly loves its Chevrolet, Buick and Cadillac – and they’re building them in huge quantities to boot! In fact, GMIO now accounts for 44 percent of GM’s global sales and in the first four months of 2010; saw a 28 percent increase year-on-year. Chevrolet alone has become the world’s number four vehicle brand worldwide.
In an interview with Ray Young, Vice-President of GMIO, he reiterated that GM’s success in the global automotive market stems from its clear and specific vision: to design, build and sell the world’s best cars. Besides that, it’s because of the company’s clear and concise business strategy in every country it operates in that has contributed to its growth. This strategy encompasses developing the right products, offering the right services and getting the right people. “Our business results need no explanation,” he bluntly offered.
This no-nonsense business approach for GMIO has meant it has the autonomy to develop market-specific products like the popular Chevrolet Sail – a product which Philippine GM distributor, The Covenant Car Company (TCCCI) is keen to bring into the local market. GMIO is envisioning Chevrolet Philippines to become a top three automotive brand in the country while growing its current 150 unit sales per month figure. It believes that products such as the Sail are tailor-fit for the congested roads of Manila while being an excellent compliment to its current portfolio of cars that include the Aveo, Cruze, Suburban and even the Camaro.
The Sail is an important milestone in GM’s China operations since its base model fetches just RMB 60,000 or P410,000 making this small car price competitive against the dominant Chinese brands. Even in its range-topping form, it costs the buyer less than RMB 70,000 or P478,000 – making it half the price of the Aveo! Besides the alluring price tag, Chevrolet concentrated on bringing class-leading technology and safety features into this segment by employing technologies such as a proper crumple-zone around the passenger cabin, a retractable steering column, dual airbags and anti-lock brakes with brakeforce distribution. Additionally, the Sail is focused on bringing environmentally-minded motoring to the masses with the use of its Euro IV (upgradable to Euro V) compliant 1.2 and 1.4-liter engines both of which incorporates Variable Geometry Intake System (VGIS) technology.
While TCCCI says that the Sail is still being extensively studied for its local market viability, this trip to Shanghai wasn’t complete without seeing the World Expo 2010 located on the banks of the Huangpu River. Dubbed as the “Olympics of economics, science and technology”, the world expo has introduced new ideas and reflected emerging trends in the development of humankind. With the theme “Better City, Better Life”, and running until October 31, the World Expo 2010 Shanghai is exploring the full potential of urban life in the twenty-first century. With more than half of the world’s population now living in cities, the future prospects of urban life has become a subject of global interest.
Aside from the 200 different country pavilions, there were a handful of corporate pavilions, but only one was automotive – and it belonged to SAIC-GM. GM’s involvement in the World Expo 2010 Shanghai is a continuation in its long tradition of demonstrating industry leadership through exhibitions such as these. For instance, in the 1933/34 Chicago World’s Fair, GM showed a complete Chevrolet assembly plant where visitors could actually watch cars being built. In 1974, at the Spokane World’s Fair, GM demonstrated many technology concepts, some of which have become industry standards, especially in the realm of safety. This year, the SAIC-GM pavilion carried a theme of “Drive to 2030” – it’s futuristic vision of sustainable mobility free from emissions, accidents, traffic congestions and reliance on fossil fuels. It chose a time frame just 20 years into the future because GM believes that it’s tangible enough but still leaves room to stretch the imagination.
Located on the Puxi side of the Huangpu River, the 6,000 square-meter aluminum-and-glass SAIC-GM pavilion uses a dynamic, 4D theatre experience to convey how lives will be changed for the better through personal urban mobility. At the heart of this vision is GM’s EN-V or Electric Networked-Vehicle concept which dramatically changes the DNA of the automobile. Developed in conjunction with Segway and based off the P.U.M.A. prototype in 2009, the EN-V’s most significant feature is its ability to operate by itself while communicating with other vehicles and with the infrastructure. Also demonstrating the flexibility of this propulsion platform, GM unveiled three EN-V vehicles with the same occupant layout but unique exterior and interior designs: Xiao (Laugh), Miao (Magic) and Jiao (Pride).
Driving to 2030 may still be a faraway dream for most people, but for GM, it represents a true commitment towards a more responsible future. For the here and now, GM’s practice of building cars where it sells them will definitely reduce its carbon footprint while reducing its costs as well. Its focus on developing environmentally-friendly cars such as the Sail is also a step in the right direction. With most of the economic growths taking place in developing cities such as Shanghai, Mumbai and perhaps, Manila, GM has provided me an interesting and plausible future that’s both environmentally-conscious and most definitely cool.
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