In 1910, according to my friends at Wikipedia, bacteriologist Paul Ehrlich desperately sought to find a drug with no harmful side effects to human tissue that would combat a ravaging disease. He dubbed Salvarsan (arsphenamine) the "Magic Bullet."
Turns out Salvarsan wasn’t the magic bullet due to deleterious side effects.
And syphilis ravaged on …
In 2005, according to the General Motors Fast Lane blog, Vice Chairman Bob Lutz desperately sought to answer criticism on his company’s general underwhelmingness (emphasis added):
The second and more important issue I’ve seen asked repeatedly is, "What is GM’s strategy for fixing its issues?"
A
good and fair question. Let’s start by saying there’s no magic bullet
for our issues, at least none that we’ve uncovered. The truth is we’ve
spelled out in several forums and in several media interviews what we
intend to do to address the challenges we face. What we won’t tell you
is exactly how we intend to do those things.I can tell you this: First and foremost, our recovery is riding
squarely on the back of our new product programs. There has never been
a turnaround in this industry that didn’t happen because of hot-selling
cars and trucks. There never will be, either.
No magic bullet, Mr. Lutz? Just a plain ole’ bullet, then?
After searching their archive for a few minutes I was unable to find any mention of their well-publicized Employee Discount program.
Yesterday, GM decided to extend that program through the end of this month. Ford and Chrysler announced similar programs as well.
My question, and maybe David Lidsky’s question, to the big three would have to be: What happens in, say, September?
What happens when you’ve re-cultured consumers to your replacement drug for zero-percent financing?
What happens when you roll out your 2006 models with few willing to pay a penny more than employee discount prices or family savings plan prices or whatever pretty bow you put on it?
What happens to all the used inventory clogging your dealers’ lots?
What’s the magic bullet come September?
Will you put not one, but two in the chamber and point them squarely at under-performing brands like Pontiac and Buick – brands that have underwhelmed in spite of your pricing program?
Will you figure out what companies like Hyundai are doing right without cutting margins?
Or will you lock some guys and gals in a room and come up with a phrasey new gimmick that feeds the jones in this syphilitic culture of cheapness?
What are the deleterious side effects, Mr. Lutz?
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