General Motors Vice Chairman Steve Girsky has been caught by a German newspaper saying the strategy for turning round its Opel brand has been a failure. Girsky said "Unfortunately, our plan for making Opel profitable this year did not work".

General Motors Vice Chairman Steve Girsky has been caught by a German newspaper saying the strategy for turning around its Opel brand has been a failure. Girsky said "Unfortunately, our plan for making Opel profitable this year did not work".

GM has already lowered its 2011 break-even target after the automotive giant's European operations posted a $300 million third quarter loss. This has resulted in a $1.6 billion loss over the past 12 months. In sharp contrast, their rival Volkswagen continues to post large profit margins due to their high pricing structure, effective cost management and success in varied markets.

GM has tried to use the Chevrolet brand to boost their European operations, however some may argue they conflict with the Opel revival, however Girsky does not see it this way. "Other companies sell more than one brand in Europe," referring to VW, Seat and Skoda brands. He comments, 'If we could achieve this as well as they do, then we could also prosper.''

There are always going to be differences of opinion on how to revive Opel, perhaps you have ideas of your own? Let us know in the comments below.

 

Opel strategy a failure says GM Vice Chairman