GM marketing boss Mark LaNeve apparently unaware that diesel is now cheaper than gas
Over the last several years, we've heard a lot of excuses from many auto executives as to why their companies aren't offering diesel engines in their American market cars. Yesterday, General Motors' Mark LaNeve, the company's vice president of sales and marketing, made an appearance on C-SPAN's Washington Journal. The final question of the segment came from a viewer wondering why GM has failed to offer U.S. consumers the chance to buy some of the high-mileage diesel cars it offers in Europe.It would appear that LaNeve might have done better to take a pass on the question. Instead of talking about the cost of making those diesels meet U.S. emissions regulations or the difficulty in helping Americans overcome the misconceptions about the fuel, he claimed that no one has successfully cracked the diesel passenger nut in the U.S. (which based on VW's May sales appears to be wrong). More startlingly, LaNeve went on to claim that diesel is $1.25 a gallon more expensive than gasoline. According to the Energy Information Agency, the national average for diesel this week is $2.35 / gallon while regular gas is $2.52 or $0.17 more than diesel. Admittedly, the fact that diesel is now cheaper than 87 octane gas is a recent development (a trend that nobody is sure how long it will last), but – going on national television and quoting outdated fuel prices as a reason for your bankrupt company's business decisions... well, that doesn't strike us as a terribly hot idea.
You can hear the question and response at 20:30 into the video replay over at C-SPAN.
[Source: C-SPAN]
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Reader Comments (Page 1 of 5)
waiownsyou 11:02AM (6/05/2009)
That guy looks PISSED
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Protzenegger 11:03AM (6/05/2009)
Damn, beat me to it.
lowmilelude 11:06AM (6/05/2009)
Wai -
That's actually his 'happy' face. The Lizardoid races have different facial muscles than the humanoid races.
SSS 12:19PM (6/05/2009)
ignorance like this is just one of numerous reasons why GM failed as a corporation...too bad socialist obama felt the need to make all Americans pay for the ignorance of GM staff
JF 12:26PM (6/05/2009)
SSS,
Americans would pay either way if GM went under. It's called welfare.
Judy Zik 12:36PM (6/05/2009)
Hahaa. This guy is in charge of Marketing? Is this a joke. If he smiled his face would crack. This is not the kind of person I would want talking to the media on my behalf of my company.
I love it when he says the American Consumer is smart. I couldn`t help but think a hell of a lot smarter than you folks gave them credit for being. Instead of spinning bad decisions they need to start paying attention to customers.
Noidor 1:02PM (6/05/2009)
Making excuses is what GM has always done and continues on doing so. Always promising a brighter tomorrow...thanks comrades!
But there is no excuse for not knowing the diesel statistic, although my suspicion is GM has abandoned any kind of a plan for diesel engines in passenger cars and decided to stay on the stupid ethanol mirage highway, hybrid and that crap...
Mr. LaNeve is about as "warm" looking as Jacques Nasser...
tankd0g 2:15PM (6/05/2009)
He doesn't even look human.
The Other Bob 12:46PM (6/05/2009)
That dude looks like one of the zombies in the movie Legend.
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Gardiner Westbound 11:05AM (6/05/2009)
LaNeve's hair plugs might have been put in too deep. Hit the grey matter.
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Farmboy 1:14PM (6/05/2009)
I think he's been in that corporate jet too long.
Steve Lopez 11:06AM (6/05/2009)
Wasn't he in charge of Cadillac's big come back?
I think so. He should be the head of GM and all of its products.
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Aprime 9:46PM (6/19/2009)
Big come back?
LOL
Yeah, no.
John Johnson 11:07AM (6/05/2009)
I would have asked him if he was mentally handicapped.
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zamafir 12:06PM (6/05/2009)
and then drive off in a TDI :). I love it when big companies just keep making bs excuses. Of course it's more expensive to federalize diesels for market in north america, that's why a TDI jetta costs 22k, it doesn't mean it's impossible to market or sell the cars. Keep making excuses and keep digging the hole deeper GM, even post bankruptcy.
Who 'Dis? Who 'Dat? 11:15AM (6/05/2009)
In all fairness to Mark LaNeve's comments about the price of diesel fuel, to a certain point he is correct. Where I live I have seen the price of regular gasoline and diesel running about neck-and-neck.
So in some parts of the country the price of diesel may indeed outpace the price of regular fuel. But I don't think by as much as LaNeve stated.
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j 11:16AM (6/05/2009)
With guys as clueless as this is there really any wonder why GM is in the position its in?
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dukeisduke 12:40PM (6/05/2009)
I'm stunned. Doesn't LaNeve ever buy his own gas? Every time I buy gas, I scan all the prices, including diesel.I
think the main hurdle is overcoming Americans' perceptions about diesels. They still think of the horrid GM (Oldsmobile) 5.7l converted gas engines and the slow, smelly, smoky M-B 240D. Folks, that was 30 years ago!
mdmadph 1:52PM (6/05/2009)
@dukeisduke "I'm stunned. Doesn't LaNeve ever buy his own gas? Every time I buy gas, I scan all the prices, including diesel.I"
No, he does not. When he's not flying in a corporate jet, he's having someone drive him around in a limo.
No, he does not buy his own gas.
phoenix 11:16AM (6/05/2009)
LaNeve is no fool. While *nationwide* the price of diesel has fallen relative to gasoline, it's a regional thing -- it's still more expensive in some places, though less pricey in others.
The REAL reason the US market hasn't gone to diesel the way Europe has? Taxes. Europe taxes the crap outta' petrol, and gives a slight break to diesel. We do the EXACT opposite.
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