GM to reinstate 600 dealerships slated to be cut - Yahoo! News Talk about yo yo and reactionary management. They wanted to cut a bunch of dealers, now they change their mind. They keep shuffling around and booting execs after not very long. They were going to shutdown Saab but finally found a buyer. They were going to shutdown Hummer after the Chinese deal fell through now they're leaving it on the table longer. Lutz has gone back and forth between retiring and not retiring. Hopefully Whitacre and the other management know what they're doing...
uh-oh....GM must have something up their sleeve....maybe they will hire gilbert to design self accelerating Hummers, load them up with bombs and use them as weapons in Iran
Let's pretend that we have an employer who gives us a two-week notice that we're going to be laid off. After one week, they send another note telling us to disregard the previous notice. During the same time, and for the year leading up, there are management and leadership changes. At what point do you really start to question your corporate loyalty?
if reinstating them as independents licensed to market other vehicles, but still act as an official service center, etc. ya good. i know a few people who were in areas where all GM dealers for over 100 miles were slated to close. granted, rural areas where driving 100 miles out in the wide open is easier than driving 25 miles across a big city. so it that sense, its a good thing, but i still think that GM is also taking advantage of the bailout as well and maybe Uncle Sam needs to tighten up the reins. has GM made any measurable progress towards providing a vehicle closer to consumer wants?
GM didn't want to reinstate 600 dealers. When GM cut dealers last year, the effected dealers went to their Congressional representatives and complained. Some of these members of Congress attached an amendment to the budget bill that requires binding arbitration before GM can drop a dealer. GM has decided that it costs less to reinstate some dealers than to fight through arbitration to drop them.
And the irony is that with more dealers, they will have to undercut the other GM dealer ... due to more competition ... thus lessening the GM image, and making it tougher for the manufacturer's bottom line, who has to support the extra dealers. That's a hard pill for the manufacturer . . . oh wait, that's us ... the taxpayers. Just lovely. .
hill, maybe they think they'll need all of those dealers for the huge success that the GM Volt is sure to become (trying to contain myself here)