Sunday, March 30, 2014
GM Recalls Another 824,000 Cars Over Faulty Ignition Switch
The total amount of vehicles that GM has recalled has now reached 2.6 million. In recent events, GM decided to recall another 824,000 vehicles, which mostly includes the 2008-2010 models of the Cobalt, Saturn Ion and Sky, Pontiac G5, and the Solstice. This also includes 150,000 recalls that are not within the United States. The reason for these recalls has been mostly due to the faulty ignition switch, which has caused the engines of these vehicles to shut down when working. This problem has been linked to twelve people being killed, which has caused a federal investigation into the situation. This problem has not been good for the sales of GM, and this additional recall could persuade consumers to not buy vehicles form GM.
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These recalls come at a very bad time for GM. The company's stock was surging and they had started producing some quality vehicles. A lot of the work they had done to improve their product line may be a waste if their reputation does not improve.
ReplyDeleteI think that GM recalling all the vehicle back for inspection is a right call. Recalling the vehicles back shows that they care about their consumer and want to fix the errors in their vehicles they weren't unaware of.
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ReplyDeleteGM representatives have admitted that , they knew for more than a decade that the cars have defective ignition switches but they never recalled the cars. This has led to governmental investigations.
ReplyDeleteIt cant be predicted whether GM, a company with great brand image will be able to survive through these rough waters or will it lose its ' reliable' image.
The huge focus on pushing out mass amounts of cars to make the most money is hurting GM and the reputation of the cars, I think they need to focus on the quality of the cars to help bring up the reputation first.
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