GM Gets Awkward Over Incentives And Market Share

Edward Niedermeyer
by Edward Niedermeyer

From here on out, GM’s success in the US market comes down to two people: Susan Docherty and Mark Reuss. The two fielded their first joint sales conference call last week, and it was clear that they were still settling into their roles. Listen to the whole hour of awkwardness here, or, for a quick summary check out the final questions of the session (from the WSJ’s John Stoll), and the prickly, defensive answers from Docherty and Reuss. When Stoll asks how Reuss and Docherty expect to change a culture when they’re a product of that culture, the tension is palpable. Then, when Stoll accuses Docherty’s sales organization of buying market share with incentives, the pair’s non-answer is “I guess that’s what you feel.” Meanwhile, Edmunds reports that GM has by far the highest incentives of any automaker, with a True Cost of Incentives of $4,270, over a thousand dollars more than number two Chrysler. Good thing we’re tackling those problems head-on then.

Edward Niedermeyer
Edward Niedermeyer

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  • Mtypex Mtypex on Dec 08, 2009

    I don't know what's wrong with Reuss or Richards. I don't think the Rasputin R-X will work with Susan! Susan! Susan! ... she's so perky and always comes back for more. Wouldn't it be nice if GM doesn't mess up the 2011 Buick Regal and Buick makes a nice comeback as an entry-luxury brand and we don't have to bury like it Oldsmobile and Saturn after their botched revivals?

  • Nevets248 Nevets248 on Dec 09, 2009

    love those little clinched fists, soon she will htting her head with them as she realizes she is in WAY over her head!

  • Asdfghjkl Asdfghjkl on Dec 09, 2009

    I don't think Ford is at a disadvantage. Your forgetting that the money is not a gift from the US government. It's a loan and GM plans to pay it back

    • See 1 previous
    • Texlovera Texlovera on Dec 09, 2009

      "Your forgetting that the money is not a gift from the US government. " Correct - it's a gift from the US taxpayers. "It’s a loan and GM plans to pay it back." Now that's comedy gold.

  • Steven02 Steven02 on Dec 09, 2009

    The true costs of incentives that edmunds puts out needs to have ratios for all of the brands. GM sells more large vehicles than the other manufactures and less cars which will drive the number up. Also, the brands that are leaving have huge incentives. They are selling in smaller numbers, but it is still driving the number up.