Case – General Motors: Cutting Costs, not Quality
Questions-
1. Evaluate Lope’s earlier strategy of demanding lower prices from the materials suppliers. Which is more important from GM’s perspective as a business buyer, costs or quality?
2. What, if any, are the ethical issues that might arise?
3. Propose a specific strategy that would allow GM to maintain its high quality at reduced cost. Be specific in your recommendation and its implementation.
4. What strategy should business marketers use in trying to get or maintain GM’s business? That is, how should suppliers of equipment used in automobile manufacturing market products to GM?
