Kudos to eBay For Helping Out General Motors
[UAW chieftan, Ron Gettelfinger shakes hands with GM CEO, Rick Wagoner, Image Source: Jalopnik]
From the mountainous areas of the Upper Peninsula to the Metro Detroit area, the glove-shaped state heavily depends on the successes of the Big 3 automotive companies.Â And as a keen observer of the economical affairs that takes place in Michigan, I must say I was curious about an article I read about on MSNBC.
General Motors Corporation (NYSE:GM) is taking an unorthodox approach to seeing an increase in company revenues: having 3,900 of their auto dealers that sell GM Certified Used Cars list their inventory on eBay (NASDAQ:EBAY).Â There are pros and cons for this situation.Â The con is that GM car salesmen may be looked upon as being unable to meet certain levels of service, thus causing the company to find out sources for sales.Â The pro of this situation is that it shows that the company wants to stay with the times and find ways to cut costs wherever possible.Â
Fortunately, eBay is willing to provide this service to GM without collecting any commission or listing fees.Â GM brands are Buick, Cadillac, Hummer, Saab, Saturn, and Chevrolet.Â eBay Motors has about 11 million unique users buying and selling automobiles.
I think this is a win-win for GM and eBay.Â eBay is seen as the philanthropic auction company from the West helping out the struggling automotive industry in the Midwest.Â
“The eBay Motors agreement means that GM Certified dealers will have millions more eyeballs looking at their inventory, and more traffic drives sales,” stated Mark Mathews, director ofÂ GM Used Vehicle Activities. “Teaming with eBay Motors provides shoppers with convenient access to all GM Certified inventory and continues GM Certified’s commitment to interactive marketing. We now offer our dealers the most comprehensive program in the industry, listing their inventory on more than 300 websites.”
Perspective from a Michigan resident:
While some companies are debating how to spend their billions of dollars on acquiring a struggling search engine and advertisement deals on social networks, other companies are wanting to find ways to help the economy for other states.Â
C’mon Microsoft, didn’t Detroit Country Day High School help Steve Ballmer get into Harvard?Â Didn’t that lead him toÂ meeting Bill Gates and becoming the CEO of Microsoft?Â Slide some more of that money over to companies that make the products that we ACTUALLY NEED!Â Google is definetely doing their part by having an office in Ann Arbor and hiring 1,000 in the state.
The above picture symbolizes the strides that GM is making to resolve differences that they are having with the UAW.Â It’s a constant debate and many will be laid off, but I think the Big 3 automotive companies will eventually pull throughÂ when the economy begins to restabilize and we start seeing a shift in power in the White House.ÂThis article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry