GM slices warranties, free service on Chevy, GMC

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There are interesting aspects to all of this that many don't consider. For one, no manufacturer is even required by law to offer a written warranty on their product. There is an implied warranty that applies, but that just means that the product will do what it was intended to do when the buyer purchases it. But there is no law that requires a written warranty after the buyer takes possession and drives it off the lot.

Secondly, warranties are not free. The cost to cover warranties is factored into the price of the product. There are no free rides. It can be argued, that it could be actually more cost effective to the consumer to not have a OEM warranty and just use a 3rd party service contract or "warranty". It could be tailored to meet what the user wants, it would be competitively marketed which would make it more cost effective, etc.

But there is a 3rd aspect that could be going on here. GM could just be floating this idea to see what consumer response would be. They could be doing this as a way to getting folks who are on the fence to jump in now and buy existing inventory to make room for 2016 models. Either way, as the deadline looms, they could then restore the 5/100 warranty and bolster their image as being genuinely concerned for their customers. Brilliant manipulation of the public right out of the text books. Pure Machiavellian strategy. They create a issue, and then ride in like some white knight and save the day, creating a self inflated image of themselves in the public mind. With beneficial sales numbers from the effort.
 
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