GERMANY: Opel CEO says will not follow Marchionne's cuts strategy
Opel CEO Karl-Friedrich Stracke
Karl-Friedrich Stracke, the chief executive of Opel and Vauxhall, says his company will continue to invest heavily in new vehicle programmes, noting that this contrasts with the strategy adopted by Sergio Marchionne, the CEO of Fiat SpA.
"We will make a significant investment in Opel's product portfolio," Karl-Friedrich Stracke is quoted as stating at an automotive industry event earlier on 21 June.
"I noticed with interest that some of our key competitors have announced plans to cut product investment spending," he added.
Fiat, which has seen its sales fall drastically in some European markets, notably Germany, continues to suffer due to the average age of its models and its absence from several key segments. The firm's outspoken CEO recently told analysts that he was cutting euro 500m from Fiat's R&D investment programme.
To read an interview with Opel's Karl Stracke, in which he tells just-auto of the company's plans for a return to profit, click here.
Author: Glenn Brooks