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Not sure how it is relevant. At least in the case of Holden it was specifically because the Australian government decided to stop subsidising the companies ope
by threeseed 3y ago
Not sure how it is relevant.
At least in the case of Holden it was specifically because the Australian government decided to stop subsidising the companies operations which was unprofitable otherwise.
And so it was driven from that decision and not a change in strategy from GM.
- simondotau 3y agoIt's entirely relevant. In the case of Holden, the end of domestic subsidies wasn't a factor in GM's decision to exit RHD. With a historical lens it's obvious that GM's decision to exit RHD occurred prior to the moment when the Australian Government announced the end of manufacturer subsidies. What it did is change Holden's fate. With subsidies still in place, GM might have been able to find a buyer for Holden as they did Vauxhall. Without subsidies, all they could do is gut and strip the domestic Holden corporation of any remaining cash and assets.
- MichaelZuo 3y agoThey could still have found a buyer for Holden, without subsidies, for a nominal $1.
- simondotau 3y agoHolden were, post-subsidies, little more than a domestic marque for imported GM vehicles, and GM were no longer making RHD vehicles. They were a car company which didn't make any cars and had nothing to import. The brand assets are all that remains, and they're worth a lot more than $1. Once all of Holden's warranty/consumer law obligations are fully exhausted, it might be of interest to someone like SAIC or Geely who could repeat what was done to famous British marque MG Motor. Perhaps in a decade, a Chinese automaker will try their luck with a Holden Commodore Sandman EV.
- ggm 3y agoThe market for RHD is really large. Deciding not to target it has massive longterm consequences for any company. https://en.m.wikipedia.org/wiki/Left-_and_right-hand_traffic https://en.m.wikipedia.org/wiki/Left-_and_right-hand_traffic Noting it uses LHT and RHT which is inverse to driver side.
- mixdup 3y agoI would say that map indicates dropping LHT is not that big of a deal. The only markets of consequence are the British Isles, Japan, Australia/New Zealand, and India India is large population but if I recall correctly a pretty insular market where it's hard for outside companies to operate as well as fairly low income per capita. And Japan is a big car country, but dominated by their domestic manufacturers
- entropicgravity 3y agoAnd then there's Indonesia which has 200m people. Though to be fair Indonesia is prioritizing scooters more than cars (as is India).