QOTD: Most Common Automotive Misconceptions and Myths?

In various places on the automobile Internets, one will often see the same misconceptions and myths repeated over and over, presented as strong opinion or perhaps even disguised as fact. There are an awful lot of car fans who are dead wrong about a lot of things on the Internet. Let’s talk about it.

Today’s question was inspired very directly by some comments on yesterday’s Junkyard Finds post on the Saab 900. So let’s have a little chat about Saab today.

Here’s the myth:

“Saab was in a perfectly fine financial position and made excellent cars before stupid GM got involved and ruined the whole thing. They killed the Saab brand because GM is bad and Saab was an innocent profitable angel.”

Now, I’ve omitted the typographical errors which usually accompany such text to make it easier for you to read. This persistent myth about Saab’s ruination by General Motors is simply not true.

The company was a niche player, and a struggling brand. Though it was true it had its die-hard fans (and still have some today, hello!), the company was in an untenable position. GM first bought into the Saab brand in 1989 when it invested $600 million for a 50 percent stake in the firm, the other half owned by giant Swedish holding company Investor AB. Saab split and became an independent car interest from Scania, the successful and profitable truck manufacturer. It’s the sort of thing businesses do when they need to raise capital, while simultaneously amputating a loser entity from the larger brand portfolio.

Speaking of portfolios, it’s worth noting that in 1989, as Lexus and other Japanese luxury brands approached, the near-lux Saab offered two products: the 900, which was from 1978, and the 9000, which hailed from 1984. While the 900 was all Saab, the 9000 was a money-saving collaboration with Italy that also spawned such unreliables as the Alfa Romeo 164, Fiat Croma, and Lancia Thema. The 900 and 9000 were quite a full product offering for a modern automaker, eh? They weren’t too luxurious, but they were very expensive. Especially the 9000, which asked a full $35,000 in 1991 ($66,600 adjusted).

Consider the consolidation and aggressive competition which occurred in the luxury and near-luxury space in the Nineties. Then think about the shift to SUVs. Saab had no money, no product, and could not afford to compete in any of these segments if left to its own devices. The only way it stayed alive as long as it did was with GM money, and eventually GM parts bin assets (and then Subaru). It’s simply a rose-tinted myth that quirky Saab would have endured as an independent — or found some capital savior willing to dump funds into the money pit with no return on investment. But it persists online that GM did a bad and killed off beloved Saab, when in reality the company extended the company’s life considerably.

One rant complete, one automotive myth busted. Have you any others on your mind?

[Image: Saab]