Daewoo, one of South Korea’s most famous nameplates, is being retired by parent company General Motors, in favor of Chevrolet. GM is hoping to make Chevrolet a global brand, and the move fits in with their overall strategy.
Daewoo has a deservedly poor reputation in the United States for making and selling cars that were less than stellar, but the firm has made enormous strides, becoming an invaluable engineering arm for GM’s small car division. But despite their laudable work behind the scenes (such as playing a huge role in developing the Cruze, Spark and Sonic small cars), the new company, known as GM Korea Co., will be undergoing a radical transformation this year.
The biggest marker of change will be the launch of the Camaro in Q1 of 2011, along with a refresh of 8 other vehicles. “We have studied the brand issue in depth for a long time and have come to the conclusion that launching a new brand strategy and making Chevrolet our primary brand is good for all stakeholders, including especially Korean consumers,” spokesman Park Haeho said.
Daewoo only has 9 percent market share in South Korea, compared to Hyundai’s 47 percent and Kia’s 33 percent. GM is hoping to increase it to 10 percent, despite Daewoo being a Korean nameplate in a market where domestic cars are heavily favored.
[Source: Automotive News]