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LaNeve: GM is willing to boost 2008 incentives

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Jamie LaReau

Automotive News

January 13, 2008 - 1:45 pm ET

UPDATED: 1/13/08 3:17 p.m.

DETROIT -- General Motors is willing to boost incentive spending in 2008, says Mark LaNeve, vice president of North American vehicle sales, service and marketing.

He says he believes that U.S. vehicle sales in 2008 will be flat because manufacturers will likely spend more on incentives to keep it around 16 million.

GM in the past has been known to spend more on incentives than some of its competitors.

"We've broken that cycle of incentive spending," LaNeve said, noting that buyers' reasons for choosing GM have evolved from a great deal to a great product.

"But you still have to be competitive," he said today at the Detroit auto show.

LaNeve said GM's daily rental fleet business in 2008 will be flat to down slightly, as much as 15 percent, from 2007. GM cut 108,000 units from daily rental fleet sales in 2007.

GM President of North America Troy Clarke says he GM full-size trucks and SUVs were down 5 percent in 2007. He said because of that, this year's mix will likely include fewer trucks.

gee, i think i said this in 'incentives in high gear' thread.

no whining about this people, the economy is in the toilet, another 'bush' cycle. incentives are needed to stay in the game this year.

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