GM is not looking for the easy sell
DETROIT — General Motors will continue to emphasize the profitability of each vehicle sold in the U.S. even if doing so results in declining sales and a lower overall market share, CEO Mary Barra said Tuesday before meeting with shareholders.
This year, GM has worked to reduce sales to daily rental companies because such sales aren’t as profitable as retail sales directly to consumers at dealerships. That strategy, however, has resulted in several consecutive months of sales declines.
Through May, GM’s share of the U.S. new vehicle market had dropped from 17.7 percent to 16.6 percent, the lowest it has been since World War II.
GM is about halfway through a $9 billion stock repurchase plan, remains on track to make its first profit in Europe since 1999 and is reporting increased sales in China after a period of uncertainty there.
