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6. Supplier Recommendation Considering the factors discussed, Elroy International could be the best option for GM. Elroy’s willingness to share IP is

September 11, 2024

6. Supplier Recommendation

Considering the factors discussed, Elroy International could be the best option for GM. Elroy’s willingness to share IP is a significant advantage for GM’s long-term strategy of maintaining control over its autonomous vehicle technology. Although Elroy is relatively untested in brake systems, its recent acquisition of Cogswell Braking Systems boosts its credibility. Furthermore, Elroy’s proximity to GM facilities in Mexico reduces transportation costs. While some risks are associated with its lack of experience in brake systems, the strategic value of IP sharing and lower costs make it a strong candidate.

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