Since GM Chairman/CEO Ed Whitacre began firing holdover executives, starting with former CEO Fritz Henderson, TTAC has argued that VP for Marketing Susan Docherty is a prime example of a GM lifer who “owes her career to GM’s timid and inept culture.” Having already lost the Sales VP position to GM’s rising star Mark Reuss, “leaving Docherty time to focus on the marketing side and polish up her resumé,” we figured she was on her way out. And sure enough, severalembarrassmentslater, the announcement came today. What we didn’t expect: that former Hyundai “Marketer of the year” Joel Ewanick would replace her.
The Competitive Enterprise Institute, a public interest group dedicated to free enterprise and limited government, has filed a complaint with the Federal Trade Commission, alleging that a recent advertisement from GM claiming to have “paid back government loans in full” is deceptive [full complaint in PDF here]. You might be able to guess why the CEI finds the GM ad so misleading, but if not, their explanation is after the jump. Read More >
Nissan does not condone the comments made by this particular employee. While seemingly well-intentioned, many of the remarks are regrettable and do not represent the company’s views. Nissan’s policy regarding internet commentary is that an employee’s personal opinion must be preceded by a disclaimer that identifies their remarks as such and not necessarily the views of the company.
Personally, the lack of a blue “Mark of Excellence” was the last thing I noticed about GM’s latest advertisement. Over at GMInsidenews.com, however, they picked up on it a little quicker. GM’s trademark “chiclet” has already been removed from all of its future vehicles, and Cadillac has publicly announced that it’s distancing itself from the GM name. In fact, post-bankruptcy, everyone at GM has said that the “GM brand” should take a backseat to Chevrolet, Buick, Cadillac and GMC. But will The General go as far as get rid of its little blue box altogether?
Let’s face it: Chrysler needs buzz, hype, awareness, some kind of excitement surrounding its future generally and its forthcoming products in specific (if only in the irritating “teaser” format) almost as much as it needs anything else. Because as things stand right now,the baseline perception of Chrysler is of a dying company with nothing to offer. In this light, Chrysler’s principled rejection of hype is far more likely to be interpreted as keeping rushed semi-refreshes under wraps so they won’t be mocked to death by the time they go on sale. If that’s not the case, Chrysler has nothing to lose and everything to gain by building consumer awareness of new products. If it is, well, the truth will out sooner or later.
And apparently we’re not the only ones who think so. In fact, if the Detroit News is to be believed, literally everyone seems to think that Chrysler needs to start being more open, not only about its forthcoming products, but at every level of its business. Read More >
GM’s decision to pay off the loan signaled the automaker did not face “extraordinary expenses,” and that Treasury approved the loan payoff.
“The fact that GM made the determination and repaid the remaining $4.7 billion to the U.S. government now is good news for the company, our investment and the American people,” said Herbert Allison, assistant Treasury secretary for financial stability.
Strictly speaking, GM’s claim to have paid back all US Government loans is correct. The only issue is that GM’s ad touting the payback makes no reference to the fact that it still owes the Treasury upwards of $40b. If that misleads folks, well, apparently the Treasury Department isn’t going to do anything about it. Read More >
Former EV-1 driver and “science guy” Bill Nye hams it up while promoting GM’s Volt Extended Range Electric Vehicle. And actually, according to a recent gm-volt.com interview with Bob Lutz, GM now prefers that you refer to the Volt as “an electric vehicle with range extension.” Huh? Sounds like they’re gonna need a science guy to break this one down…
Fleet sales were up 47 percent in the first quarter of this year, driving sales at a number of automakers. Ford, in particular, is targeting fleet sales unapologetically by touting a recovery in resale values for the Blue Oval Brand. Ford’s Mark Fields tells the Freep:
We love fleets at Ford…Ford remains focused on our disciplined approach to daily rental, making sure we help keep growing residual values
At Chrysler, which suffers from some of the lowest resale values in the business thanks in part to a longtime addiction to fleet sales, the response seems a bit more… conflicted.
… you’ll get covered in red food coloring? Or is this ad by Mudra Group for the Bangalore Traffic Police [from Copyranter via Daily Dish] trying to say something else? Meanwhile, when do we get an Oprah Winfrey version of this spot?
Unlike long-wheelbase luxury, the other major theme emerging from coverage of the Beijing Auto Show was hardly unique to the Chinese market. Electric vehicles and talk of automotive electrification have become a highlight of every auto show, with politicians joining executives to push EVs whether the show is in Detroit, Paris or Beijing. And yet, with a power grid that is said to be upwards of 80 percent coal-powered, China isn’t exactly the ideal candidate for an electric car offensive. China’s BYD F3DM was arguably the world’s first plug-in “on the market,” and yet the Shenzhen-based automaker only found 48 fleet sales last year, and still has yet to report a private sale. Conventional wisdom suggests that most Chinese buy at the lowest end of the market (if they’re lucky enough to afford it), while the “coastal elites” tend to spend their hard-earned profits on vehicles that convey prestige rather than eco-optimism. This is a model the global carmakers know how to work with… so why all the talk of EVs in China?
Last week’s announcement that had Chrysler turned a Q1 profit and GM had “repaid” taxpayer loans brought a flurry of political posturing about the success or lack thereof of the auto bailout. With Republicans laying into the auto bailout from several angles, President Obama dedicated his weekly address to a defense of industry assistance. Obama still frames the bailout as an unpleasant necessity, but argues that last week’s news means the chances that taxpayers will recoup their “investment” are improving. And apparently the Treasury agrees. According to the Detroit News, Treasury has revised its estimate of auto bailout losses (not counting GMAC) downwards, from $30.6b to $28b. Progress, sure, but hardly a sign that taxpayers can expect full payback from its state-owned automakers.
Yes, Ferrari recorded the fastest “production-based, non-street-legal” lap of the Nürburgring today, breaking the hallowed 7-minute mark with a 6:48:16 time in its 599XX. The only question I have is why did they bother? Is it possible that Ferrari is having trouble selling enough copies of the $2m+, track-only version of the 599 GTB? Not likely, considering the Scuderia won’t sell you one (regardless of how much you’re willing to pay for it), unless you’re on an exclusive invite list for the Enzo-powered track toy. So why trumpet a non-production record at all? Isn’t the very significance of a Ring rooted in the idea that it’s the ultimate test of a road car, packing nearly every imaginable on-road condition into each wrenching lap? Shouldn’t Ferrari have at least tried for lap time in its new fastest road-legal car, the 599 GTO? Especially considering it’s debuting today, at the Beijing Auto Show? Oh well, at least the 599XX makes some serious earcandy noises… if only for six minutes, 48 seconds and change.
With Senator Chuck Grassley (R-IA) already taking the White House and Treasury to task for possibly helping GM avoid paying the “TARP Tax,” Republican representatives Darrell Issa (R-CA) and Lamar Smith (R-TX) are attacking the auto bailout from another angle, writing a letter to nine automaker CEOs requesting clarification of the negotiating process that led to recently-passed final rules on a ramp-up of greenhouse gas (GHG) emissions standards. In their press release on the issue, Issa and Smith note:
It is unclear whether the Administration used leverage created by the possibility of a taxpayer bailout of GM and Chrysler to secure their cooperation and support for new fuel economy standards. Moreover, there is reason to believe Administration officials used inappropriate tactics to ensure broad based support across the industry. Given the clear conflict-of-interest issues at play, which naturally arise when the government is in a position to pick winners and losers and impact the future viability of private entities, it was imperative that the Administration act with the utmost transparency. Instead, the White House imposed an unprecedented level of secrecy.
Are Issa and Smith on to something, or is this simply a partisan dogpile on an unpopular policy? Hey, this is politics… does it even matter?
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