general motors co

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General Motors Co. and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands. It is ranked 6 in the list of Fortune 500 companies. Strength 1.Brand name 2.Global Presence 3.Strong presence in US and China 4.International knowledge of markets 5.Robust technological capabilities Weakness 1. High cost structure 2. Low profitability 3. Brand dilution 4. car recalls 5. Bureaucratic culture Opportunity 1.Positive attitude towards “green” vehicles 2.Hybrid and electric car market 3.Changing customer needs 4.Growth through acquisitions 5.Growing Chinese automotive market Threat 1.New emission standards 2.Intense competition and declining market 3.Rising raw material prices 4.Exchange rates 5.Fluctuating fuel prices General Motors Growth Strategies: Their vision is to design, build and sell the world’s best vehicles. The primary elements of our strategy to achieve this vision are to:

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General Motors

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Page 1: General Motors Co

General Motors Co. and its partners produce vehicles in 30 countries, and the company has leadership positions in the world's largest and fastest-growing automotive markets. GM, its subsidiaries and joint venture entities sell vehicles under the Chevrolet, Cadillac, Baojun, Buick, GMC, Holden, Jiefang, Opel, Vauxhall and Wuling brands. It is ranked 6 in the list of Fortune 500 companies.

Strength

1. Brand name2. Global Presence3. Strong presence in US and China4. International knowledge of markets5. Robust technological capabilities

Weakness

1. High cost structure2. Low profitability3. Brand dilution4. car recalls5. Bureaucratic culture

Opportunity

1. Positive attitude towards “green” vehicles2. Hybrid and electric car market3. Changing customer needs4. Growth through acquisitions5. Growing Chinese automotive market

Threat

1. New emission standards2. Intense competition and declining market3. Rising raw material prices4. Exchange rates5. Fluctuating fuel prices

General Motors Growth Strategies:Their vision is to design, build and sell the world’s best vehicles. The primary elements of our strategy to achieve this vision are to:

● Deliver a product portfolio of the world’s best vehicles, allowing them to maximize sales under any market conditions

● Sell their vehicles globally by targeting developed markets, which are projected to have increases in vehicle demand as the global economy recovers, and further strengthening their position in high growth emerging markets

Page 2: General Motors Co

● GM is planning to spend $500 million in Brazil to finance the manufacturing of small cars for that country as well as other countries including Argentina and Paraguay

● The General Motors' strategy to position itself in emerging markets so that the company will grow simultaneously with these economies

● Launching a redesigned Chevrolet Malibu equipped with quality Chevrolet catalytic converter to compete with Toyota's Camry.

Competitive Advantages Achieved/Aim to Achieve:● Sells and services in following brands Chevrolet, Cadillac, Baojun, Buick, GMC, Holden,

Jiefang, Opel, Vauxhall and Wuling● Strong presence in USA and China● Over the next five years, they intend to launch eight new models, several of which will be

new segments for the brand cadillac.● Planning to introduce vehicle-to-vehicle connectivity and Super Cruise by 2017 ● Concentrate on design, engineering and marketing resources on fewer brands and

architectures● Develop products across vehicle segments in global markets● Continued investment in a portfolio of technologies● Broaden GMNA (General Motors North America) product portfolio● Increase sales in GMIO (General Motors International Operations), particularly in China● Increase sales in GMSA (General Motors South America), particularly in Brazil● Ensure competitive financing is available to dealers and customers● Execute on Opel/Vauxhall restructuring plan● Enhance manufacturing flexibility● Continue growing GM financial

References:1. General Motors Annual report 2014.2. http://www.streetdirectory.com/travel_guide/51055/cars/

general_motors_growth_strategy.html