General Motors' 'Secret Project' is the Key Factor in Ongoing Market Share Decline, Former GM Insider Charges in Book

MIAMI, Sept. 25 -- That General Motors lost its spot as the world's perennial number-one carmaker to Japan's Toyota this year, comes as no surprise to Robert Horvath, a former GM dealer/owner-operator.

Horvath, who for 40 years sold GM's once-mighty, but now-defunct Oldsmobile brand, had a front seat to a scheme hatched by GM to consolidate dealerships, which he details in his book "Project 2000: The Rise and Fall of Oldsmobile, a Division of GM," that he says helps put GM's current problems in perspective.

"GM sought to destroy dealers through their so-called secret Project 2000, which GM defined as the systematic elimination of small dealerships by the year 2000, and was designed to consolidate car sales at large auto malls," Horvath says.

But Horvath said Project 2000 contributed not only to the downfall of Oldsmobile, but to GM slashing 34,000 jobs, closing 12 plants, its ongoing market share decline, and losing its #1 spot this year which it had held for 76 years. It led to Toyota becoming the world's #1 Auto Manufacturer through June 2007.

"From 1970 to 1985 the Olds Cutlass was the number-one selling car in the U.S. and Oldsmobile was the most sought-after franchise in the world," Horvath says. "As a result of disastrous business decisions, Oldsmobile went from best to worst in 20 years and became a dinosaur in October 2005."

How does a company that used to make half the world's cars now only command a 13 percent market share and become the number-two car manufacturer behind Toyota?

Horvath offers up an insider's viewpoint, backed up by hundreds of documents which are contained in the book, that spell out an answer he says is rooted in malice and corporate greed.

"The regime which took over GM when the disastrous 'Project 2000' was hatched," Horvath says, "decided to change their corporate policy which only benefited GM's upper management."

"American business is people, the abuse of whom leads to the collapse of business itself," Horvath says.

"Project 2000" is now available for $18.99 at www.project2000.biz and www.amazon.com.