News From the Auto Industry

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Over the course of nearly a century, General Motors (GM) has weathered more ups and downs and gone through more fundamental changes than most companies. GM has been the world's largest vehicle manufacturer since 1931, producing such brands as Buick, Cadillac, Chevrolet, GMC, Pontiac, Saab, Saturn, and Oldsmobile. From the 1950s into the 1970s, the automaker led the industry in building millions of low-cost cars, achieving nearly 60 percent of U.S. auto sales. Along the way, its Chevy Corvette convertible sports car became an American icon and a symbol of the laid-back West Coast lifestyle. Today, General Motors has about 30 percent of the auto market and faces new challenges, such as decreased productivity, rising costs of employees health benefits, and the demand for cleaner, safer, and more fuel-efficient vehicles.

Also during this time, the Cadillac Automobile Company was established in Detroit, founded by Henry Leland, who built car engines with experience gained in the Oldsmobile factory, where he worked until 1901. By the end of 1902 the first Cadillac had been produced—a car distinguished by its luxurious finish. In the following year, tiller steering was replaced by the steering wheel, the reduction gearbox was introduced, and some cars were fitted with celluloid windscreens. Oldsmobile also reached its projected target of manufacturing 4,000 cars in one year. A third player, engineer David Buick, founded his own factory in Detroit during this time as well.

General Motors Corporation headquarters, Detroit, Michigan. Reproduced by permission of AP/Wide World Photos.