General Motors Corporation (GM) is primarily engaged in the production of vehicles. It designs, manufactures and markets car, trucks, and other automobile parts all over the world. GM has a strong brand portfolio gives it significant competitive advantage. However, sustained decline in light vehicle sales as a result of increasing durability of vehicles and weak economic conditional pressure on the overall performance of the company.
Strengths Weakness
Global presence High cost structure
New vision and strategy Brand dilution
Strong brand portfolio Bureaucratic culture
Strong presence in China Car recall
Knowledge of home market
4 well performing brands
Opportunities Threats
Positive attitude toward “green” vehicles Fluctuating fuel prices
Increasing fuel prices New emission standards
Changing customer needs Rising raw material prices
Growth through acquisition Intense competition Exchange rates
Strengths:
Global presence, GM was the leading auto manufacturer in terms of sales for 77 years until 2007. The business has grown its presence in the world and is now operating in 157 countries, while its Chevrolet brand reached world record sales (4.95 million units).
New vision and strategy, after 2008 bailout, GM has experienced major changes and reorganized the way it does business. New members were appointed to the firm’s management team with Daniel Akerson as the CEO. He shook GM”s bureaucratic organizational culture and introduced new strategy and visions to the business. GM became smaller but leaner and is becoming more.
Strong brand portfolio, GM currently sells 18 automobile brand to satisfy as many customer needs as possible. The most popular brand are Cadillac, Buick GMC, and Chevrolet that sells very well in USA and China. Chevrolet reached global sales record and sold 4.95 million units in 2012.
Strong presence in China, China is the largest