There are a couple businesses in the news today which have an interesting connection: GM and tr.im. One that is closing its doors because it couldn’t make money; one still exists even though it couldn’t make money but it making thoughtful use of its second chance.
General/Government Motors was in a similar predicament – offering a product that others could produce cheaper and losing money – but one government bailout and structured bankruptcy later, and GM is announcing a new way to sell cars: eBay. Prospective car buyers will be able to drive prices down – no pun intended – from “buy it now” prices by underbidding.
Sure, it sounds like GM got the idea from a Video Professor infomercial, but it’s a good shot in the dark to increase car sales and build a stronger business. More important than another venue to sell cars, eBay gives GM a way to determine the worth of their cars to consumers – important data that can help set prices in the future.