ANN ARBOR—University of Michigan faculty can share their views on the ongoing developments in General Motors' recall involving 29 million vehicles worldwide so far this year. They include:
Gordon said: "GM is recalling more cars this year than in nearly a decade because it failed to recall cars it should have during those years. And it also wants to flush out as many of its mistakes as it can so its story of 'a new GM' doesn't get shot to pieces by recalls next year."
Belzowski said: "This is indeed an historic time in terms of safety recalls and they aren't limited to GM. Chrysler is recalling vehicles for ignition issues and Nissan, Honda, and Toyota are recalling millions of vehicles globally for an airbag issue. The challenge for companies is not reputation, but the cost of all of these recalls. One can't help but think that somewhere along the way companies will have to set aside more money for recalls, and pass some of these costs on to customers in the form of vehicle price increases."
Meyers said: "The mystery is why GM sales are doing very well in spite of all of the bad news surrounding the giant recall. It really is no mystery at all. The vehicles are almost all of prior vintage. This is a marvelous opportunity for GM to contact these former, and mostly loyal, customers reminding them that there is a new and better product available today. The quality ratings lately are among the best in the industry. A great reason to buy now. This is apparently why sales are showing continuing improvement in spite of the recall."