
GM’s newly-permanent Chairman/CEO Ed Whitacre balked visibly when asked following his self-coronation if the dealer cull arbitration process would hurt GM’s chances of success this year. “I’m not sure it will weaken us,” was his half-hearted response. Whitacre’s hesitation was a bit of a surprise, considering that GM is taking a far more tolerant attitude to the arbitration process than Chrysler. But, as Automotive News [sub] reveals, GM’s downsizing was highly focused on its Cadillac brand, and if arbitration results in widespread reinstatement, Cadillac could find itself stuck with a number of small-town dealers it doesn’t want.
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