NationStates Jolt Archive

Now I am not one of those scare mongers that argues we are all doomed, but I do start to wonder when this type of thing starts to happen.


GM to top up drivers' fuel bills

GM's previous attempts to lure customers have hurt their profits
Problem-hit carmaker General Motors has offered to subsidise petrol prices for drivers of its vehicles in California and Florida in order to boost sales.

[Snip]

Vehicles that qualify for the deal include the 2006 and 2007 Chevrolet Tahoe and Suburban, the GMC Yukon and Yukon XL and the Hummer H2 and H3.

source (http://news.bbc.co.uk/2/hi/business/5011794.stm)

A nice range of small and fuel economical vehicles are included in this offer, as you can see.

Should offers that encourage excessive fuel usage be prohibited?

It's like syringe manufactueres offering free-heroin

Yet another dumb idea from the king of dumb ideas, General Motors.

What I really don't understand is why they are making this offer on their gas guzzlers. Surely it would make more sense to make the offer applicable to their most economical cars, thus encouraging people to use less gas and, at the same time, making the campaign cheaper.
It would also allow them to present themselves as an ecologically friendly company through their promotion of lower gas usage, a point that has strong marketing potential.

What I really don't understand is why they are making this offer on their gas guzzlers. Surely it would make more sense to make the offer applicable to their most economical cars, thus encouraging people to use less gas and, at the same time, making the campaign cheaper.
It would also allow them to present themselves as an ecologically friendly company through their promotion of lower gas usage, a point that has strong marketing potential.
They're doing it because their gas guzzlers are sitting on the lots longer. They're not having as much trouble selling their efficient cars. Plus, they have more profit built into the SUVs, so they can afford to give more of a discount or an incentive on them.

GM deserves to go bankrupt. They actually are making a 2006 Silverado hybrid that gets WORSE gas mileage than the pure gasoline version.

They're doing it because their gas guzzlers are sitting on the lots longer. They're not having as much trouble selling their efficient cars. Plus, they have more profit built into the SUVs, so they can afford to give more of a discount or an incentive on them.

So shouldn't they just discount them, to unlock the assets frozen into them, and shift their production patterns to match the trend direction. (Maybe that is just too intelligent for them, even though the average 10 year old can work it out.)

So shouldn't they just discount them, to unlock the assets frozen into them, and shift their production patterns to match the trend direction. (Maybe that is just too intelligent for them, even though the average 10 year old can work it out.)
Well, they've been discounting them for the last few years, and yes, your idea makes sense--change with the trends, or even better, anticipate them and get ahead of the curve, but this is GM we're talking about here, and as Psychotic Dan has put it, they may well deserve to go into bankruptcy because of their failure to adapt. Like I said in my first post, another bad idea from the king of bad ideas.

Oh well--at least they decided to discontinue the full size Hummer. They'll only be making the H2 and H3 now.

Oh well--at least they decided to discontinue the full size Hummer. They'll only be making the H2 and H3 now.

That's one bit of good news. I saw one of those Hummers the other day, and I'm sure that it was bigger than my first house! :eek:

Well, they've been discounting them for the last few years, and yes, your idea makes sense--change with the trends, or even better, anticipate them and get ahead of the curve, but this is GM we're talking about here, and as Psychotic Dan has put it, they may well deserve to go into bankruptcy because of their failure to adapt. Like I said in my first post, another bad idea from the king of bad ideas.

Oh well--at least they decided to discontinue the full size Hummer. They'll only be making the H2 and H3 now.
Just look at the opposite direction that Ford and GM are going in and you can make a reasonable deduction about which automaker will survive the next decade.