GENERAL MOTORS

General Motors

[Name of the Institute]Table of Contents

Introduction3

Strategic Approach Used by General Motors3

Product Development5

Problems being addressed6

The Issue of Ongoing Crisis Currently Faced by GM7

Identification of new changes to be implemented8

General Motor's Market Position and Market Share9

The Prospects for Future Performance10

Conclusion10

References12

General Motors

Introduction

The business environment can be described by a number of variables such as dynamism, change, turbulence and complexity. Every organization must possess the ability to continuously improve itself. These improvements include optimal effectiveness, re-engineering the major processes and functions that can be the source of competitive advantage for the organization. The purpose of the organization is to regenerate, adapt and survive in the business environment. General Motors (GM) is one of the largest automobile organizations that have an existence in more than seventy countries around the world. General Motors is a leading global automotive group, and historically is among the top U.S. companies by revenue. General Motors Company born as a group of companies in the year 1908 through the initiatives of C. Williams Durant. General Motors (GM) primarily engaged in the design, development, manufacturing, and marketing of automotive products worldwide. In FY2010, GM produced 8,714,000 vehicles under the brands, including Buick, Cadillac, Chevrolet, GMC, Daewoo, Holden, Isuzu, Jiefang, Opel, Vauxhall and Wuling. GM's operates in more than 120 countries worldwide (Fetzer, 2010).

Strategic Approach Used by General Motors

GM is looking to its smaller and more fuel-efficient future products, with a US$163mn investment at three plants that be involved in the production of a 1.4-litre engine for its Chevrolet Cruse compact sedan, Volt plug-in hybrid and a new small car yet to be identified. The funds be directed to the company's engine plant in Flint, Michigan, a components plant in Bay City, Michigan and a casting plant in Defiance, Ohio. GM says the investment will expand its total daily engine production from 400 engines in early 2011 to 1,200 by late 2012, and save 184 jobs over the three facilities (Dobosz, Jankowicz, 2006). GM will also make its communications service On Star available to drivers of non-GM vehicles. The service offers accident alerts, has navigational abilities and is available from US$299 plus installation. GM hopes to add to the 6mn subscribers the service already has and is looking at making On Star available internationally, with additional features, such as a voice to SMS message capability. The carmaker is also developing its new monetary unit. CEO Daniel Akerson expects GM Financial, its financial services arm, to offer credit to 25% of its dealers in an attempt to boost sales. The automaker expects GM Financials' loan portfolio to reach around US$8-10bn following its entry into wholesale dealer operations (Dobosz, Jankowicz, 2006). The monetary unit also expected to take the initiative during any crisis in the dealer credit segment (Hayes, 2010).

The Changes Suggested in the Company's Strategy

The company should go for aggressive marketing campaigns in order to attract the large market share of the untapped market segments. General Motors is offering its products to distinct regions of the world; however, the advertisements of General Motors ...