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    « Nerds, Jocks, Preps, Goths and Goofs | Main | GM: Wounded But Still Alive »

    May 02, 2006

    The Long Tail of Reputation

    Today, at the GM FYI blog we have Gustav Hoffman with a familiar lament: why doesn't anyone give GM the respect it deserves today?

    Here's why.

    Reputations have long tails.

    No, not that kind of long tail. The kind of long tail that always trails today's realities.

    Take New York. Ask people this question: which has more crime, San Diego or New York? New York, of course. Right?

    Wrong. San Diego.

    New York used to have more crime, but not anymore. But it still has a bad reputation.

    Which country has the highest per capita income in the world? The US, right?

    Um, no, we're #5 behind Bermuda, Luxembourg, Equitorial Guinea and Norway.

    We used to have the highest per capita income, but not anymore. But we still have that good reputation.

    Point is, GM's not making the crappiest cars in the world anymore. They used to, but now they don't.

    But, they still have that bad reputation.

    And, in making the second biggest purchasing decision in their lives (behind only their homes) most people are going to refer to that reputational slot they have in their heads and think, "Hmm...what kinds of cars does GM build?"

    Today, fairly or not, that slot is still filled with a reputational chip that says, "not so good."

    How long does it take to change a reputation? I don't know, but as a friend of mine once said, "you cant talk yourself out of something you behaved yourself into."

    GM's going to have to behave themselves into a good reputation, which might take a decade. I hope they have that kind of time.

    (Equitorial Guinea?)

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    Comments

    Excuse me if I'm out of place. I found this blog because it was listed as a GMC blog. I just wanted to let the world know that due to reasons beyond my control I am not going to continue developing my GMC related site but I'm puting it up for sale. If anyone is interested you can get more information at http://www.gmcar.com.

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