Saturday, May 2, 2009

Why the car industry is in trouble? It's just a bad story they tell themselves.

Why is the car industry in trouble? It is sort of simple if you think about it. They have made a model of customizing looks, high-end performance, and amenities, but not more important things like fuel economy or even ways to green out the car.

Why? Because for the most part it is easier to tack on a new plastic part or high-end brakes. It is not as easy to swap an engine or drop 3 or 4 thousand pounds off the weight to reduce the need for power.

If automakers would prioritize concepts like swapping engines based on the market of gas rather than the demand of SUV's, we would not be in this mess. If I could buy a wimpy powered SUV today, but swap in a few cylinders when gas is low again, why not?

Here is the problem: Car companies sell cars, not engines. Somebody else sells engines to the car companies. More profit for the bigger item I guess. But this does not imply that it would not work, just a story these folks tell themselves which prevents them from seeing a different truth.

Anything is possible. But people get in the way. Silliest thing I heard at the peak of high gas prices was that Americans would not buy a 50+ mile per gallon diesel because Americans don't like diesel...

Sorry, but that is just plain silly. How are Americans different from the rest of the world? The sillier fact is that this is coming from the same car company. Owned but the same stockholders, with the same management. They just keep telling the same stories to themselves and believing their own fairy tails.

In Seth's book, All Marketers are Liars, he talked a lot about such stories for marketing. It is a good concept, but it works both sides. There are stories that stifle and smother innovation.

We need new stories.

Think of a current story that would create a petrified forest and make one that would create the Amazon. When someone sings the blues, stop it in its tracks. Change the tune, change the story, look for opportunity, not reasons for inaction.

My idea to save the world? An add-on device that would turn off an engine when stopped at a stoplight or in traffic. What about air conditioning? Stop whining. An electric compressor can be added too if you live in the hot west or an electric heater in the chilly places. More important, an override button. When gas is $5 a gallon, you switch that puppy on and save some cash.

How do I know this is a good idea? What do you think a hybrid is? It saves most of the fuel by just being off when you are not moving. It is a good idea. There are a few things to do, like automating the start process, but that too was solved with hybrids.

See how easy that was? It is just an option, but it is an economy option.

What is your idea? What is the new story? What is your comeback line to the doubting Thomas?

FYI this is a version of a blog moved from a limited membership blog site at http://www.triiibes.com/. I am moving many of those blog entries here for your entertainment and enlightenment.

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