You had to have had a better labour relations policy. Not necessarily, with the Unions (they were too politically motivated), but with the employees themselves. If the company made a profit, it was seen as an opportunity to get more money out of the company, rather than any pride in its success.
The Japanese car industry was largely successful because of its use of 'teams' which broke down the demarction lines between the employers and the unions.
The management in 'charge' at BL had a culture handed down from Austin-Morris, in that they would criticise the Rover people, for their pride in quality, rather than go for numbers.
And at the end of the day, it is largely irrelevant what the car looks like, it is quality that counts i.e. 'quality is not a cost'.
Think how small BMW was - but it expanded by going up-market through 'quality'.
Even when BL colapsed and a new brand had to emerge - I think Triumph would have been better rather than Rover. As a name, I think it has better associations e.g. Rover is something you call your dog!
They, needed to sort out the mess that was Longbridge, and to get their cost accounting right - I don't think they ever new how much the Mini cost to make!!
Takeovers - with BL in a much better financial, image, and sales shape, it should have been in position to buy Seat.