Lone Star Chevrolet

1893 - 1907
LITTLE BUICK BECOMES A BIG SUCCESS 

In 1899, Scottish-born David Buick turned from plumbing to making engines and went into business as an automobile manufacturer. By 1903, though, his Buick Motor Company was in financial trouble. In an effort to locate new investors, he dispatched Buick engineer Walter Marr to the little town of Flint, Michigan, to see if he could persuade the partners of a prosperous carriage and wagon maker there to take a stake in the company.

While one of the carriage makers went for a ride with Marr in his car and immediately learned to drive it himself the other partner, Billy Durant, wouldn't so much as look at it. Undaunted, Marr drove the car back and forth in front of Durant's house that evening, and the next morning he returned. Impressed by Marr's persistence, Durant this time agreed to go for a ride. Only then did Durant realize that Marr wasn't trying to sell him the car -he was trying to sell him the company.

Durant was never one to pass up a business opportunity -he collected companies the way somebody's pack-rat uncle might collect broken lawn mowers and obscure gadgets. He borrowed a Buick for three months, tested it exhaustively, and then took over the company and set it back on its feet. Although he had no engineering experience, within three years Durant had raised annual production from 37 cars to 8,000.

Part of the explosion in production came from the McLaughlin Motor Car Company in Ontario, which began designing and building cars with Buick engines in 1907.

 1908
GENESIS OF A GIANT

In the early days of auto manufacturing, car makers were going in and out of business almost as fast as the seasons changed, and Buick's Billy Durant had doubts about the staying power of any manufacturer producing only one model line. All it would take to put such a company under was one year of poor sales. Durant reasoned that a consortium would buffer companies against the vagaries of the market. Also, a consortium's production volume would mean members could manufacture their own parts, ensuring an adequate supply at the right price.

Durant's plan was to exchange stock in a holding company for stock in the three other major manufacturing companies, but he had no luck in selling his idea -Henry Ford and Ransom Olds wanted cash, not stock. Durant, however, soon found that the Olds Motor Company, which had sold up to 6,500 Oldsmobiles a year since 1901, was in trouble.

After buying 75 percent of Olds stock, Durant incorporated the General Motors Company by exchanging GM stock for stock from Olds and Buick.

1909 - 1918
GM'S PARTS IN PLACE

GM founder Billy Durant's prediction that people would someday buy a half-million motor cars a year prompted a famous banker to say "If he has any sense, he'll keep those notions to himself if he ever tries to borrow money". Durant, on the other hand, thought he was playing it safe by bringing the manufacture of every kind of vehicle and automotive product within GM's orbit.

In 1909, Durant brought in the Oakland Motor Car Company. Though the purchase made bankers nervous -its cash price was bigger than the price GM had put out for Buick and Olds combined- it paid off when Oakland production reached 4,500 the next year. Hill-climbing was a sport that attracted a lot of attention then, and one Oakland model, the Pontiac, later became so famous for its climbing ability that the division was renamed for it.

Another company Durant had his eye on was Cadillac. Led by a perfectionist who set a standard for quality for which Cadillacs are still famous, the company was the first car manufacturer to build cars without having to resort to hand work to fit parts together. After several attempts, Durant found a way to finance Cadillac's $4.5 million asking price in 1909.

As car sales fell off in 1910 and 18 established auto makers went out of business, GM had to sell off some of its companies at a loss, and Durant was forced out. He promptly founded another company, with backing from business people anxious to leave the expiring wagon and buggy industry. A former Buick racing driver, Swiss-born Louis Chevrolet, was his designer. By 1916, Durant was able to trade Chevrolet for a majority share of GM stock, putting himself back in the driver's seat at the company he founded.

By its 10^th anniversary, GM had changed from a holding company to an operating company, with all divisions (but Saturn) already in place. In the same year, GM also incorporated General Motors of Canada Limited.

1919
POSTWAR BUYING SPREES

During World War I, the auto industry halved domestic production in favor of an outpouring of weaponry and military vehicles. The new Cadillac V-8 became the standard military vehicle in the U.S. army, and GM delivered 90 percent of its trucks, along with many armoured cars and other specialized military vehicles, for war use.

In 1919, in response to pent-up postwar demand, GM set up a financing arm that would help buyers purchase cars in installments. By 1920, the General Motors Acceptance Corporation's installment plan helped two million people buy new vehicles. The question was no longer whether motor cars would catch on but what kinds of cars people would buy.

The same year, GM acquired dozens of automobile and supplier companies now lost in the past. However, most of GM's many acquisitions have successful lives within the company, and 1919 saw some that turned out to be crucial investments -such as the Delco Light Company, the Fisher Body Company, Dayton Metal Products, the Dayton-Wright Airplane Company, and the T.W.Warner Company (a gear manufacturer). In 1919 GM also set up its export division and turned out its first Chevrolet trucks.

1920
SAY GOODBYE, BILLY

Thanks largely to Durant, GM had grown to eight times its 1916 size in just four years. Durant's accomplishments included one of the most spectacular successes in business history, and his charisma and ideas attracted an intensely loyal following. Still, he had his critics.

After losing control of GM to bankers in 1910 and then regaining the upper hand in 1916 through his success with Chevrolet, Durant had again lost financial control in 1917. It was others on the board who led the company-buying spree of 1919, but when the value of GM shares slid from $400 to $12 in a postwar recession, GM's financial backers forced Durant out for good.

1921 - 1929
BOOMING MARKET PROPELS GM TO NEW HEIGHTS

Alfred Sloan, who had come to GM with the Hyatt Roller Bearing Company, took the raw material that Durant had assembled and made it run. Clearing the way for a decade of expansion and technical innovation, Sloan replaced Durant's erratic, one-man leadership with clearly formulated policy and talented executives. Some GM cars had competed for the same markets; to prevent that, Sloan gave each car division its own price and style categories. He also introduced annual model changes, creating a market for used cars. Sloan took over from Pierre Dupont in 1923 and led the company for 23 years, until 1946.

GM began planned research, development, and testing of products in the 1920s, and reached a number of technical milestones: the 1923 Buick's four-wheel brakes, the 1926 Cadillac's shatter-resistant safety glass, chromium plating, automatic engine temperature control, hydraulic shock absorbers, automatic choking, adjustable front seats, and numerous advances in performance, dependability, and manufacturing technology. Costs fell as volume increased.

GM engineer Charles Kettering developed Duco lacquer, an exterior body paint that not only gave richer, longer-lasting colors but reduced drying time -erasing a huge limitation on production capacity. Before Duco lacquer an auto maker producing 1,000 car per day needed 21 acres of covered space to hold 18,000 cars while they were undergoing drying and finishing, which took three weeks. Duco reduced drying time from 336 hours to 13 ½ hours (and eventually to minutes).

Purchases and investments in new plants in Europe, Australia, New Zealand, and South America made GM a prominent international company. New plants included Vauxhall in England, Opel in Germany, and Holden in Australia.

Until the late 1920s, car design had been fairly well dictated by function, but GM's Harley Earl turned it from an engineering feat into an art. GM President Sloan, impressed with Earl's streamlined clay model of the 1927 Cadillac LaSalle, hired him as the industry's first designer. Earl reasoned that since cars were motion machines, their styling should suggest their speed and power.

But styling didn't mean GM abandoned practicality. Its trucks and buses were popular, and the K Series trucks of the 1920s gave GM its lasting reputation in the heavy-duty truck field.

The 1 millionth Buick was built in 1923; the 5 millionth GM car was a 1926 Pontiac. In 1927, GM vehicles outsold Fords for the first time.

1930 - 1939
PITFALLS AND PROGRESS

By 1931, Oldsmobile's new 85-acre complex in Lansing, Michigan, could send a new car off the line every 41 seconds, shipping 800 cars a day. When the Depression put the brakes on car sales in the early 1930s, many car makers went under. GM, though, not only survived -it continued making progress in design and manufacturing, giving buyers sleeker-looking, better running, more convenient cars .

With the slump in car sales, GM turned its attention to other ventures, including radio and aircraft. In 1935, GM created its Electro-Motive division, which converted North America's railroads from steam to diesel power. The most popular exhibit of the Chicago World's Fair was GM's Science and Technology display: it gave Depression-weary audiences a bright look into the future. After the fair GM's Parade of Progress took the show on the road. People in hundreds of small towns in the United States, Canada, Mexico, and Cuba experienced "marvels" including a Ping-Pong game in stereophonic sound and a microwave oven that could fry an egg but did not burn a newspaper. Eventually, in 1956, the parade was replaced by the future it foretold -as television brought shows right into people's living rooms.

All through the 1930s, GM engineers and designers made continual improvements in car frames, bodies, engines, and transmissions. In 1933, GM added no-draft ventilation to all its cars and developed independent front-wheel suspension. In 1936, Knee-Action suspension made Chevrolets an even smoother ride. All 1937 GM makes featured an all-steel body and optional windshield defrosters. In 1938, a car radio was introduced as an option on Buicks, and GM's Harley Earl designed a historic one-off: the Buick Y-Job. The world's first "concept car" prefaced a generation of dream cars and anticipated the styling of the 1940s. Featuring a revolutionary flowing look, it had power windows, a power convertible top, power door locks, and power steering. In the late 1930s GM changed the economy of trucks and trains by perfecting the 2-cycle diesel engine, and in 1939 the first standard turn signals blinked on GM cars.

1940 - 1949
FROM PHAETONS TO FIGHTER PLANES

Early 1940s Cadillacs -including the last of the V-16s- were some of the most beautiful models ever built, and they inspired "torpedo" styling throughout GM's model lines. Headlights merged into fenders, and running boards and hinges disappeared. Improvements didn't stop with looks, either. The 1940 Oldsmobile's new Hydra-Matic was the first fully automatic transmission. Cadillacs had air conditioning and automatic heating, and all GM makes were getting the turn signals that Buick had introduced to car design in 1939. Convertibles were popular.

GM's 25 millionth car -a silver Chevrolet- left the assembly line on January 11, 1940. But just as people were adjusting to prosperity after the Depression, auto production hit another roadblock. Early in 1942, a few weeks after the United States entered World War II, the U.S. government halted civilian car production. (The last cars produced before production stopped included chromeless "blackout" models). GM turned all its operations, from Canada or Australia, into a vast international network of military plants, suppliers and subcontractors. For a few years, GM was no longer the world's largest maker of cars but the foremost producer of all kinds of Allied war supplies, from airplanes to tanks to ball bearings.

In 1948, GM rebuilt from rubble the German Opel operation it had been forced to abandon in 1940, and it finally caught up with a postwar surge in demand after 1945-46 strikes that blunted production.

1950 - 1959
AN AUTOMOBILE EXTRAVAGANZA

Cadillac produced its one millionth car in 1949; just three years later, by its 50^th birthday, it had doubled that total. The 1955 Chevrolet-designed by GM's chief World War II tank engineer- changed Chevrolet's image overnight, and by the end of the year Chevrolets made up nearly a quarter of the cars sold in the United States. For GM the 1950s were a series of celebrations, sales records, anniversaries, and styling and engineering innovations.

Decades of engineering and styling improvements crescendoed in flashy gas guzzlers. Flamboyant fins and high-compression V-8 engines were the order of the day. Interest in road racing went into high gear. People got serious about collecting and restoring automobiles. Cars acquired an entirely new look through advances in glass manufacturing, which made features like wraparound windows possible.The car world's original designer, GM's Harley Earl, had drawn his inspiration for tailfins from World War II fighter planes; in the 1959 Cadillac Eldorado Seville, fins reached their controversial peak. Earl also designed a concept car which attracted so much attention that is was put into production. The Corvette remained America's premier sports car for decades. In 1957 Chevrolet gave some of its V-8s fuel injection and enlarged their engines to a 283-cubic-inch displacement. At 283 horsepower, with its long, smooth-sided look, the '57 Chevrolet was a dream come true.

GM showed off its accomplishments to millions at its Motoramas. These were elaborate car shows, enhanced with music and dance troupes, that traveled to cities around the United States. Some of the novelties showcased at the Motoramas, such as cruise control, eventually became everyday features. Others -like a rear-mounted TV camera in place of a rearview mirror- have yet to find their way into production cars.

At the same time that automobile design was coming to embody extravagance, cars like the Chevrolet and the Pontiac were also making performance affordable. The wide availability of cars with powerful, reliable engines set a high standard for the next generation of cars.

1960 - 1979
CAR DESIGN GETS A WORKOUT

Drivers followed the exuberance of the 1950s by demanding trimmer, leaner cars. The Chevrolet Corvair, GM's first compact, satisfied people looking for a sturdy, practical car. (The Corvair's sports car cousin, the Corvair Monza, was the basis of a series of exalted prototypes).

Other buyers found their appetites whetted for muscle cars like the Chevrolet Camaro and the Pontiac GTO. Combining lightweight bodies with powerful engines, muscle cars made speed and power available for a modest price. The Camaro -brought out in 1967- was partly computer designed.

The 1963 Buick Riviera, the first personal luxury car, was a styling inspiration to the entire industry throughout the 1960s. Opel, Holden and Vauxhall experimented with sports cars and luxury sports cars. GM built its 100 millionth automobile in 1967. Meanwhile, GM was developing guidance and navigation systems that would take the Apollo II astronauts to the moon and back in 1969, the year the company celebrated its 50^th anniversary.

Midsize cars with big engines gathered momentum until, in 1970, every GM division but Cadillac offered them. But by 1971, public and government concern about exhaust emissions cast a shadow over the demand for high performance. New regulations, which required cars to run on unleaded gasoline, flattened compression ratios. Horsepower began to drop. The number of foreign imports began to rise, reaching 2 million in 1977. (In 1950 imports had barely 21,000) The 1970s also saw a new concern over safety features. GM pioneered advances in crash testing, and it was the first auto maker to offer factory-installed airbags.

The oils embargo of 1974 accelerated the demand for fuel efficiency, and the results at GM spanned everything from the new, fuel-efficient Chevrolet Chevette to Cadillac's first "small" car, the 1975 Seville. Carefree cars like the 1976 Cadillac Eldorado -the last convertible for a decade -didn't seem to have a place anymore in a market with its mind set on practicality.

1980 - 1989
NEW DESIGNS FOR A NEW KIND OF MARKET

Trimming over 900 pounds from its full-size 1977 car line wasn't enough to match foreign competition or turn the tables on North America's economic downturn. In 1980 GM embarked on a multimillion-dollar revamping to design new, more competitive cars from the ground up. By 1982, a third of GM's models were brand new. They combined compact exterior dimensions and clean, aerodynamic lines with spacious interiors. The company's overhaul included an ambitious, multimillion-dollar expansion program that outstripped even the exploits of GM founder Billy Durant. Acquisitions, joint ventures, and new ventures included Saab, Geo, Volvo, GM Heavy Truck, and Saturn (the first GM division to be started from scratch), as well as Electronic Data Systems and Hughes Aircraft.

In the 1970s, the Chevrolet Vega had been the first American car to be manufactured using robots. Now computer technology began to make more of an impact on car design. GM tested computer models of cars to see what areas of the body were under stress, and adjusted the type of body material accordingly. Its Computer Command Control system went standard on all gasoline-powered models. The system's heart was an on-board computer that continuously monitored and adjusted the air-to-fuel ratio and spark timing, controlling exhaust emissions and improving fuel economy.

In the mid `80s, the North American economy made a comeback, and so did convertibles. As gasoline prices stabilized and fuel supplies seemed assured, consumers put performance and luxury back on their shopping lists -though without scratching off fuel efficiency.

1990 AND BEYOND

At GM, the car of the future isn't science fiction.We've always been a leader in state-of-the-art technology. GM design engineers use the world's most advanced computers, and assembly plants operate on the latest robotics technology. We've put many of our advanced technologies into use in GM cars and trucks.

Lone Star Chevrolet wins GM Dealer of the Year!
Houston Chevrolet Dealer wins for the 7th time and counting!