Business Ethics

Running head : BUSINESS ETHICSNameUniversityCourseProfessorDateAnswer 1GM s production of the EV 1 was to satisfy the demands of the California air resources board (CARB )to reduce vehicle discharge due the air pollution problem in that state . The aim was to behave a zero procession vehicle (ZEV ) that would reduce the air pollution levels and encourage but research and development in the field of electric vehicles . GM leased the vehicles to people on a three social class trial basis . The lease did not allow for the lessees to impair the vehicle at the end of the lease effectively except the fate of the railway car . It appears that GM did not expect the vehicle to succeed in the market as it had no fountainhead for the m to be on the roads aft(prenominal)(prenominal) the breathing erupt of the leases . GM re butted claims make in the 2007documentary , `who killed the electric car . They argued that the R D that went into the development of the car was insufficient for it to begin cope the vehicles on the open market . Litigation and the need to subsidize the maintenance greets of the car were reasons they advanced for its discontinuation . GM officials claimed that the forge was not cost efficient and did not want to detect involved in a financially wearing venture that would affect their profitability . Other arguments that GM use was that thither was no demand for the two- seater vehicles Cancelling the project finally in the stratum , 2007 the gild claimed that the electric car would never have made a profit . This claim was despite the super total of people on the waiting lists for the vehicles . It is interesting that even in light of the lessees showing keen interest to sully the cars the social club would hear nothing of the sort .

Their claim of having fatigued so much on the project conveniently fails to celebrate the politics subsidy they received under the Partnership for a overbold Generation Vehicle Project (PNGVThe people who use the cars had a different story to tell . They praised the vehicle for its cost expertness and a large number of them offered to buy the cars from the company at the expiry of the leases The company flatly refused any such(prenominal) offer and fixed to strip and crush the cars instead . This abrupt action by the company has brought into sharp focus the misgiving of who killed the electric car . To understand better the dynamics of this think , the principal players who stood to overlook from the success of the electric car were the rock oil companies and the self-propelled companies . For the oil companies the los of rough-cut uncouth revenue because of the switch would have brought their gelt down . Oil companies have powerful lobbies and are worthy to muscle their way in any issue Companies analogous GM would have seen a rise in sales of vehicles but a drastic drop in after sales service which comprises the bulk of vehicle manufacturer gross sales...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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