Did GM offer money to the media for a good word?

[Ravenfreak13]

http://www.autoblog.com/2006/04/23/did-a-g...ge-for-kind-wo/

[CARBIZ]

Okay, maybe I just fell off the turnip truck last night, but is it just me or is this a slow news day and yet another GM-hater has lined up a new TOPIC OF THE WEEK to bash GM with.

What, is it like GM didn't offer to pay ENOUGH money?

I have been following the current events of the day for something like 25 years or so. Never have I ever witnessed such a collective of corporate bashing in my life.

THE BAD NEWS, REAL OR CONTRIVED, NEVER SEEMS TO STOP!

Talk about pack mentality! If any of this is true (and like Nixon, I believe they are all doing it - he just got caught!), then shame on GM (for getting caught in such an amateurish maneuver when Toyota has been so much better at it for decades!)

If this isn't true, then why don't these guys go after someone more deserving, like Enron or something!

Or have they already beaten that horse to death?

[Mr.Krinkle]

hes full of $h!.

[evok]

hes full of $h!.

Yea right! I think the evidence coincides with the GM April sweeps and PR push.

[evok]

Okay, maybe I just fell off the turnip truck last night, but is it just me or is this a slow news day and yet another GM-hater has lined up a new TOPIC OF THE WEEK to bash GM with.

  What, is it like GM didn't offer to pay ENOUGH money?

  I have been following the current events of the day for something like 25 years or so.  Never have I ever witnessed such a collective of corporate bashing in my life. 

THE BAD NEWS, REAL OR CONTRIVED, NEVER SEEMS TO STOP!

Talk about pack mentality!  If any of this is true (and like Nixon, I believe they are all doing it - he just got caught!), then shame on GM (for getting caught in such an amateurish maneuver when Toyota has been so much better at it for decades!)

  If this isn't true, then why don't these guys go after someone more deserving, like Enron or something!

  Or have they already beaten that horse to death?

"an honest misunderstanding".

That says it all.

[enzl]

"an honest misunderstanding".

That says it all.

In the press, the maxim 'if it bleeds, it leads' controls most decisionmaking...another juicy nugget, FYI....

http://money.cnn.com/2006/04/21/news/compa...dex.htm?cnn=yes

GM takes 1 step forward and 2 back with each move. I think the time for more inventive, fresh blood has arrived....

[evok]

Good read. Most important thing I take though is this:

"New car shoppers whose trade-in has a negative value - they owe more money on it than it is worth - are known in the trade as "upside down." They have to come up with more cash to cancel the installment debt on the old car before they can out and buy a new one. At Chevy, Pontiac and Saturn, more than one-third of the buyers are upside down, according to JD Power."

Personally I do not think it is a swipe at those brand but a good, solid indication of a growing problem in the business. I am sure the other OEMs for select brands have similar situation and not a good sign for the greater economy. Also, people can be just stuipid.

Edited April 24, 2006 by evok

[CARBIZ]

This would be more a product of the amazing interest rates and cut rate leases being offered over the past few years.

Zero percent financing created two problems, I believe:

1) why put down any money if you don't have to pay interest?

2) more people with flaky credit are attracted to low interest financing.

People used to put down 2, 3 or 4 thousand dollars when buying a car. My experience of late has been that is no longer true.

If you aren't even paying the taxes (which are a combined 15% in Ontario) then of course you will be "upside down" during the first 30 months or so.

It is interesting, too, what people's memory remembers or forgets, depending on the situation. I have had customers tell me," I paid $40,000 for that" when, in fact, they paid $34,000 but then there were taxes, rust proofing, extended warranty, etc. Or there payment is going up and they forgot that last time around they had a trade or put down $5,000. I don't think people are intentionally dishonest, I just think they forget what the true transaction was 4,5 or 6 years ago. Many times I have pulled out people's original deal from years ago to go over the details and they were surprised.

I wonder how much of this information becomes distorted when all these fancy surveys are being levied.

[ZL-1]

Terminate the PR agency's contract and if anyone at GM is involved in this, they should be fired immediately.

Edited April 24, 2006 by ZL-1

[Guest YellowJacket894]

What's that smell in the air? The smell that stinks like a field full of cow -- Oh! Now I remember! I smell bull$h!!

Sure, GM still has pimples on it's ass -- the G5 being just one of a handful -- but the acne will clear up in time.

I'll never understand just why the media wants GM to go down the bucket so bad. I guess they must not give a $h! about their job or the f@#king economy.

...You know, I'll be going to college shortly to get an Associate's Degree in Journalism. (Plan is to get an Associate's Degree in that and a Bachelor's Degree in Automotive Design, if you were wondering.) Maybe I'll write for an auto mag, go undercover, and find out the reason why auto journalists are pissed as hell at GM (mainly: is it biasment or a legitimate reason). Maybe write a long ass book under a psuedonym and blow off the man hole cover on the sewer that is the automotive media.

I understand complaining about a sub-par product, but this $h! is just a step too far over the line.

Edited April 24, 2006 by YellowJacket894

[ZL-1]

and give even a remote chance of looking guilty? 

whether you take this guy at his word or not itd reflect even worse on gm if they cleaned house over it.

besides, this guy sells his liberal media website because of "stories" like this one.

fight the power and such.

im willing to bet this is an exaggeration in the least...a full blown lie at best.  hope he gets to sell hos time for some interviews, too.

Would you prefer GM to quietly sweep things under the rug if the story is true? I wouldn't, but maybe my sense of business ethics is a little exagerated...

[Newbiewar]

Who on the market place has the most underrated & underrespected products?... and your asking if the media gets paid off to say a good word...?

if anyone is paying anyone its toyota...

[sciguy_0504]

"New car shoppers whose trade-in has a negative value - they owe more money on it than it is worth - are known in the trade as "upside down." They have to come up with more cash to cancel the installment debt on the old car before they can out and buy a new one. At Chevy, Pontiac and Saturn, more than one-third of the buyers are upside down, according to JD Power."

That is much more important than some slug that is hopefully making up stories, though the old adage "desperate times call for desperate measures" comes into mind.

[AmericanMuscle]

Some of these authors, or bloggers in this case I guess, just have too much time on their hands to come up with this bull$h! and actually have the nerve to publish it. I think they need to focus more of their energy on finding some new criteria rather than plotting schemes against GM's well being. Morons

[The O.C.]

This would be more a product of the amazing interest rates and cut rate leases being offered over the past few years.

  Zero percent financing created two problems, I believe:

  1) why put down any money if you don't have to pay interest?

  2) more people with flaky credit are attracted to low interest financing.

  People used to put down 2, 3 or 4 thousand dollars when buying a car.  My experience of late has been that is no longer true.

  If you aren't even paying the taxes (which are a combined 15% in Ontario) then of course you will be "upside down" during the first 30 months or so.

  It is interesting, too, what people's memory remembers or forgets, depending on the situation.  I have had customers tell me," I paid $40,000 for that" when, in fact, they paid $34,000 but then there were taxes, rust proofing, extended warranty, etc.  Or there payment is going up and they forgot that last time around they had a trade or put down $5,000.  I don't think people are intentionally dishonest, I just think they forget what the true transaction was 4,5 or 6 years ago.  Many times I have pulled out people's original deal from years ago to go over the details and they were surprised.

  I wonder how much of this information becomes distorted when all these fancy surveys are being levied.

Also.....a car's resale value (or lack thereof) directly affects whether or how much a customer is "upside down" or not.

And unfortunately, GM's car divisions are not known for healthy resale values....which only compounds the problem.

[Petra]

Oh, don't all looked so shocked. Put yourself in GM's shoes... what would you do for a little good press right now?

[AmericanMuscle]

Oh, don't all looked so shocked. Put yourself in GM's shoes... what would you do for a little good press right now?

So you're saying you think this is true?

[FUTURE_OF_GM]

LOL... WOW! Just WOW!!!

This is the NEW level that the anti-Detroiters are willing to take it to to prevent the impending GM renaissance... This'll make HUGE news and make all the liberal yuppies snub GM vehicles that much more.

And, I love how all of the insiders here are SO ANXIOUS to say that GM IS pushing bribs, yet when Toyota gets their asses licked over a barely adequate product, then it's all 'honesty and professionalism'.

What about all of the HUGE Honda hype in the media that "JUST HAPPENS" to coincide with 2 major new vehicle launches and a MASSIVE advertising push?!?!?! Complete honesty??? I think not.

WHY would GM try to bribe the press???? ESPECIALLY given that the company is cash strapped, HAS NO FRIENDS in the press and KNOWS that it would be made public because so many people are out to see the company die??? (Just look at AutoBlog or HERE for examples--Die hard fans are even caving to the "EVERYTHING IMPORTED IS BETTER AND WE NEED TO ELIMINATE DETROIT" mindset that has pre-occupied the media and insiders minds for close to 5 years now.) These people WANT GM dead for whatever reason. (READ: No particular reason what-so-ever) WHY in the HELL would GM give them AMMO???)

***If GM is offering the press bribes, then Honda and Toyota must give AWEFULLY good head given some of the articles spat out for them in comparison to the 'gems' for GM.***

[FUTURE_OF_GM]

Personally, I think GM should sue this bastard for slander and make an EXAMPLE out of him of how the media CONSTANTLY FALSIFIES information to the detrement of the company.

A few weeks ago a public-relations firm working for General Motors phoned to ask if I’d say on the media that the buy-back GM was offering its employees was a good deal for them. GM’s public-relations firm said they’d offer me money if I did this, as a show of respect. I told them I’d look at the deal and make up my own mind, and I told them to keep their money.

Where's the proof?!?!?!

But I’ve got to tell you, I did not appreciate getting that call from GM’s public-relations firm. I don’t want to sound prissy or self-righteous.

You're liberal media, so you automatically are IMO (And save the complaints, because I'm to the point that I don't care if I piss people off.)

But it just seems wrong for a company (or its representative) to offer money to someone like me to express a view the company wants expressed in the media. It’s one thing to offer an employee buy-out. It’s quite another thing to offer an integrity buy-out.

Give me a F*ckin' break....

Why do you think Companies have expense accounts and BUY reviewers hotel rooms and wine and dine analysts?!?!?! To make them FEEL obligated to return the favor (It's simple Psychology, and one of the reasons why TESTIMONIALS like CR are not CREDIBLE) It's even used as a SALES TACTIC.

Companies have been BRIBING analysts/media for YEARS in round about ways and MOST of the time these yuppies are happy to partake. And IMO< the only reason you WEREN'T is because **IF IT DID HAPPEN** you wanted to have ammo against GM.

The White House goes around paying columnists like Armstrong Williams for favorable coverage.

NOBODY CARES!!!!!!! You lost the election!!!!! Must liberals ALWAYS find some way to WEASEL politics into the discussion?!?!?!?! LIKE IT or NOT "W" is the president... LIVE WITH IT!!!!!

That’s bad enough. But if we’ve got to the point in this country when big corporations feel free to offer what are essentially bribes to columnists and commentators, we’re really in trouble.

You've been BLIND to this for the last 10-20 years?!?!?!? NO ONE plays to morals anymore!

We no longer have a free press, we no longer have experts you can trust,

Never could TRUST them in the first place...

and the opinions you read or hear every day are worth absolutely zilch.

WELCOME to the 21st century!!!! My SPIT has more integrity than 90% of the media in this god forsaken country.

Almost every big American corporation hires fleets of public-relations and public-affairs professionals

Funny that it only mentions AMERICAN corporations doing this..... Self LOathing at it's BEST! Destroy AMERICAN corporations because WE are the devil! Doesn't matter that NO ONE else plays by the rules, we'll just kiss their asses.

who scour academe and the media, looking for people who will use their academic or media credentials to make the corporation’s case in public. Some of these people take the money and do the corporate bidding, and they never disclose the fact they’ve been paid off. Even if they happen to agree with the corporate position on the particular issue they’re pontificating about, that’s just plain wrong.

Not really. If they agree with it, then how is it wrong?!?!

I can’t tell you exactly how many experts or pundits get paid off.

Because, just like MOST media, you write based on HERESY and NOT FACT.

There’s no accurate survey of this sort of payola. But I’ve heard a lot of whispering about it, and a few colleagues of mine in academe and in the media confess privately to having succumbed, at least a few occasions. But public trust in the neutrality of experts and commentators is too important to play with.

WHAT PUBLIC TRUST?!?!?!? Sure, there are the FEW naive sheep but by in large media/analysts have LOST thier end all/be all punch.

If everything is for sale in America, then nothing is valuable any more.

Everything IS for sale in america... It's about the almighty dollar. It's NOT, you say?!?!? Then why is Wall Street trying to DISOWN GM and Ford, who employee THE MAJORITY of american auto workers AND support our economy the most; and then ADOPT TOYOTA as an american company?!?!?!

You guessed it::::::: $$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$

****A few years ago, Josh BLATANTLY witnessed a bribe take place for positive PR on a Honda vehicle, yet he was laughed off this board. Now GM is accused by a LEFT WING wacko with NO PROOF and the insiders CONFIRM it's probability.****

[FUTURE_OF_GM]

Since 2001, GM had been bribing customers to buy its cars with ever-increasing market incentives. Now it is trying to kick the habit by cutting sticker prices with everyday low prices.

HERE WE GO AGAIN!!!!!!!!!!

It's funny that when incentives are mentioned with an import firm that the word BRIBE never comes into context.... I find it hard to BRIBE someone into the second biggest purchase of thier LIFE. GM offered GOOD deals and was AGGRESSIVE in gaining share, yet it is spun as a monumental FAILURE by the anti-Detroit.

Trouble is, companies like Chrysler (Research) are still in the incentive game and customers still prefer to shop the deal rather than the car. To jump-start sales, GM will have to cut prices even further -- or go back to incentives.

Ummm.... Seems like RETAIL sales have been doing JUST FINE to me. Of course, the 'journalist' who doesn't know the facts (GO FIGURE) paints a different story.

GM's been promising to kick the fleet habit for years, but sold a stunning (!!!) 30 percent of its production to corporate and commercial customers in the first quarter. LaNeve claims GM's non-fleet or retail sales are going up but nobody is going to believe him until automakers start separating wholesale from retail results when they report sales. That will happen about the same time the Detroit Tigers win the pennant.

It's STUNNING!!!!! Oh GOD!!!!!!!!

They WON'T seperate them because it would be a free-for-all in the media with negative ANTI-DETROIT articles springing up in everything from the WSJ to 3rd grades classrooms.

LaNeve talks a good game, but he might as well write this year off. GM is getting what it deserves. It has been gaming the market for years with fleet sales and incentive gimmicks, all the while contending that there would be no long-term ill-effects.

Well, we see what side of the fence THIS journalist is on.... (enzl, is that you?!?!?!)

Pretty sad that sentiment is so bad that he can get away with a &#036;h&#33;ty statement like this...

GM PRACTICES COMPETITVE BUSINESS TACTICS, YET, it GETS what IT deserves.... BULL&#036;h&#33;!!!! Had this been Toyota, then we would be seeing ass kissing sympathy articles.

[deftonesfan867]

This article is nothing more than pushing his beliefs on others. People like that are pathetic.

[Mr.Krinkle]

Yea right!  I think the evidence coincides with the GM April sweeps and PR push.

this can be seen both ways.

a simple "honest misundderstanding" isnt going to take back what he said.

and if it was as he later said a misunderstanding that alone qualifies as libel and should be dealt with as such.

you cant unring that bell

[Petra]

So you're saying you think this is true?

I'm not saying its true or it isn't. I'm saying it's plausible.

[DetroitNut90]

Wow...

I don't understand his logic at all. What really got under my skin is how he says GM bribed people to buy its cars with incentives. Lies. When my mom bought her Venture back in March of 2003, she didn't go for it because GM was offering 0% interest for 72 months, or a large cash-back (or as this loon calls it "bribes"), she bought it because she likes the styling, and she flat-out said "I do NOT want a Japanese car." True, GM has offered larger rebates than Toyota or Honda, especially the employee-discount of 2005, but I can only tell you how many Japanese dealers followed suit. Were they guilty of bribery then, too? Its amazing how American incentives are called bribes, but Japanese incentives are called just that-incentives. Only makes me want to see GM rebound even more.

[evok]

this can be seen both ways.

  a simple "honest misundderstanding"  isnt going to take back what he said.

and if it was as he later said a misunderstanding that alone qualifies as libel and should be dealt with as such.

you cant unring that bell

And Cadillac did not fudge sales figures back in 99. Come on. GM's PR people pushed for something or that somthing would have never made the news. This was published way before that autoblog wrote their piece.

This had a lot to do with an editorial Reich wrote in the Washington Post about 8 months ago where he stated if memory serves me, that the unions are attributing to the competitive disadvatage in this country because the Unions are not represented in all the US manufacturing operations. He used the example of the UAW in the US Big operations and all the none union transplants. It was not an anti union piece but an objective article that hmm coincides with the Big 3s situation and the GM buy out. Find the article for specifics but that is a very brief gist.

[Mr.Krinkle]

And Cadillac did not fudge sales figures back in 99.  Come on.  GM's PR people pushed for something or that somthing would have never made the news.  This was published way before that autoblog wrote their piece. 

This had a lot to do with an editorial Reich wrote in the Washington Post about 8 months ago where he stated if memory serves me, that the unions are attributing to the competitive disadvatage in this country because the Unions are not represented in all the US manufacturing operations.  He used the example of the UAW in the US Big operations and all the none union transplants.  It was not an anti union piece but an objective article that hmm coincides with the Big 3s situation and the GM buy out.  Find the article for specifics but that is a very brief gist.

this is guilt from a guy who supported NAFTA and CAFTA to the bitter end and never quite sold it to the american worker or public for that matter.

i think hes full of crap and looking to get good press for him with the union workers as unwilling pawns. its nice to play a good guy, but really whats his bitch about?

most expert opinions are compensated for in some way. whether trial witnesses, news reports, or seminars. people get paid to express their opinion. now he sounds even more righteous while trying to tell us hes not so--if you believe him.

--and really what does cadillacs sales have to do with this? let me tell you.

nothing. dont waste my time with that nonsense.

[evok]

http://www.detnews.com/apps/pbcs.dll/artic...0374/1148/rss25

As for Cadillac padding the sales in 1999. GM is a big company and some people do bold things.

Plausible Deniablity!

[Mr.Krinkle]

good enough. i still think the reid would have been the last person theyd even consider approaching about this considering his past writing and/or philosphies...but either way i still think he jumped all over this one and blew it out of proportion to what actually might have happened--face it well never ever know.

there must be dozens of he said/she said crappola stories out there. heres one more.