Professional Documents
Culture Documents
ACKNOWLEDGEMENT
I express my sincere regards to my parents and friends who have rendered their cooperation
in compiling this project on General Motors Company and conducting research. I would also
like to express my gratitude to the subject Professor, Dr. Navin Punjabi for his guidance and
encouragement in making this project a success.
INDEX
Sr. No.
Title
Page No.
01.
02-05
02.
06-09
03.
10-10
04.
11-15
05.
16-22
06.
23-25
07.
26-28
08.
Conclusion
29-29
09.
References
30-32
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Hard times in America and political change in Europe throughout the 30s brought new
uncertainty, but GMs commitment to innovation continued unabated. The return of peace
following World War II brought a new optimism with consumers eager for goods that had
been out of reach for so long. GM responded with an unprecedented string of milestone
designs that continue to inspire to this day.
In addition to innovations like independent front wheel suspension unibody construction, and
the one-piece steel roof, GM pushed the envelope in design with a succession of vehicles
including the 1949 Buick Roadmaster, the Chevrolet Corvette and BelAir, and the 1959
Cadillac El Dorado. These machines were as much fun to drive as they were to see drive by.
During the war GM supplied the Allies with more goods than any other company. In 1940,
former GM President William Knudsen was chosen by President Roosevelt as Chairman of
the new Wartime Office of Production Management. By 1942, one hundred percent of GMs
production was in support of the Allied war effort. GM delivered more than $12 billion worth
of materials including airplanes, trucks and tanks. (Sloan, 1964)
The 60s and 70s were a time of new challenges and great change. Environmental concerns,
increased as prices and foreign competition led to an unprecedented downsizing of vehicles
across all GM vehicle lines. It was the largest reengineering program ever undertaken in the
industry, ushering in an age of lighter, aerodynamic and more fuel-efficient vehicles.
In 1971, GM pioneered the use of engines that could run on low-lead or unleaded gasoline.
Two years later, General Motors was the first to offer an air bag in a production car. In 1974,
GM introduced the most important step in reducing emissions with the catalytic converter.
This technology, shared by General Motors, is still used by the entire auto industry.
There were storm clouds on the horizon, however. Germany and Japan, now recovered from
the devastation of World War II, began exporting cars to the U.S. in larger numbers, and fuel
price shocks sparked consumer interest in these new, more fuel-efficient vehicles. GM
rushed to develop smaller vehicles as well, but the company had been too large and too
successful for too long to change direction easily, and GMs undisputed dominance of the
U.S. market began to erode.
Although General Motors was always active internationally, the 1980s and 1990s brought a
new urgency for GM to operate as a single global company, to improve the efficiency of its
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operations and better compete with global competitors. GM also began a series of
reorganizations in North America that led to a single business unit there.
In 1982, GM marked its largest single production expansion outside of North America with
the opening of the new complex in Zaragoza, Spain. This facility immediately began building
the fuel-efficient Opel Corsa. With joint ventures in China and India plus the additions of
Saab and HUMMER to the GM family, the company expanded both the reach and variety of
vehicles sold worldwide.
1995 was a big year for GM. Annual vehicle sales outside North America exceeded three
million units for the first time. Five million vehicles were sold in the United States that year
and GM entered into its first joint venture agreement in China. By the end of the 90s, the
foundation for global growth in the new millennium had been set.
During this period, GM also formed NUMMI, a joint-venture with Toyota, and Saturn,
a wholly new company focused on creating a new small car and a new way of doing
business. Lessons from these and other innovations were spread throughout GM, and the
company benefitted from a truck boom that saw millions of Americans adopt SUVs as their
family transportation. However, legacy costs from earlier years continued to weigh on the
company, and Japanese, German, and Korean competitors pushed into the lead in most
passenger car segments. (General Motors, n.d.)
By the start of the new millennium, GM had built a strong presence in emerging markets such
as China and Brazil, and had largely completed its transformation into a single global
company. The creation of GM Daewoo in 2002 gave GM a new organization specializing and
engineering and manufacturing smaller cars, proving an important boost to Chevrolets
growth as a global brand. The design and quality of GMs new cars improved significantly,
but GM found it difficult to regain share from its offshore competitors, and legacy cost from
GMs decades as a larger, less efficient company continued to weigh on financial results.
It was also a period of tremendous innovation at GM. The company continued to push ahead
with electric vehicle technology, developing a series of hydrogen powered fuel-cell concept
and demonstration vehicles. Then, in January 2007, GM shook the industry with the
Chevrolet Volt concept, a vehicle that could drive on battery power for daily commuting,
then continue operating with a range extender when the battery charge was depleted. The first
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GM is proud to have been recognized by J.D. Power and Associates with an industry
leading eight 2013 Initial Quality awards. Chevy, Buick, GMC and Cadillac all took
home awards and honored GMs commitment to quality was recognized.
The J.D. Power Initial Quality award means even more because its based on driver
feedback. After all, the satisfaction of customers is behind everything that GM does.
GM continues to drive a quality focus deeper into the company, across all disciplines
from Design, to Engineering, to Manufacturing and Sales and Marketing. It is an
enterprise-wide approach to quality where every employee plays a role. (General
Motors, n.d.)
2. Create Lifelong Customers: GM leaves no stone unturned to earn the confidence and
loyalty of its customers. Listening to customers to make sure their needs are met, and
are connecting with them on their terms. Throughout the relationship with customers,
GM strives to create passionate brand advocates who love their vehicle and freely tell
others about their experience.
3. Innovate: GM keeps pushing boundaries to be creative and lead in everything that
they undertake. From implementing the smallest improvements to executing big
ideas, GM is constantly increasing its competitive advantage to delight and excite the
customers.
4. Deliver Long-Term Investment Value: By developing the worlds best vehicles,
building upon GMs strong financial foundation, growing the business and operating
with the highest level of integrity, GM swears to continue to deliver positive results
and to retain the confidence of its shareholders in the company.
5. Make a Positive Difference: GM strives to make a difference in its world of
innovation and work. Whether finding new ways to improve business operations,
achieving as part of a team or volunteering in the community, GM ensures that
momentum is tied to positive change.
General Motors Team
The GM team led by CEO Mary Barra, shares a passion for customers and a competitive
spirit that drives towards excellence. Gms culture - one which represents diversity, inclusion,
mutual respect, responsibility and understanding - welcomes fresh perspectives and varied
experiences.
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GM has 212,000 plus employees which work in 396 facilities touching six continents,
speaking more than 50 languages and touching 23 time zones. From designing and
engineering state-of-the-art plants and developing new vehicles and technologies to creating
new marketing programs, the team members are valued for their unique contributions.
Serving as the face of the new GM in communities around the world, 21,000 dealers are also
important members of GMs team, and are integral to its success.
General Motors Brands
From electric and mini-cars to heavy-duty full-size trucks, monocabs and convertibles,
General Motors dynamic brands offer a comprehensive range of vehicles in more than 120
countries around the world.
Along with its strategic partners, GM produces cars and trucks, and sell and service vehicles,
through the following brands: Chevrolet, Buick, GMC, Cadillac, Baojun, Holden, Isuzu,
Jiefang, Opel, Vauxhall and Wuling. GM also has significant equity stakes in major joint
ventures in China including SAIC-GM, SAIC-GM-Wuling, FAW-GM and GM Korea.
Whether in Detroit, Frankfurt, Sao Paulo or Shanghai, GM brands make an emotional
connection with customers from the very first time they get behind the wheel in any corner of
the world.
General Motors Technology
GM is expanding its leadership in vehicle electrification with advancements in batteries,
electric motors and power controls. The GM team is also working on a range of highvolume, fuel-saving technologies including direct injection, variable valve timing, turbocharging, six-speed transmissions, diesel engines, and improved aerodynamic designs.
General Motors has always been driven by bold imagination and focused, disciplined action
to realize the power of those ideas. It is part of its DNA to realize technology's potential for
positive change and to share that vision with the world.
Its engineers, designers, and planners live years in the future, imagining a future where cars
carrying loved ones never crash; where empty cars can be sent to pick up friends; and where
cars dont break down, leaving the customer stranded.
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GM is looking into the future, to a time when vehicles will no longer pollute; when they use
only fuels made from renewable sources or run on electricity. It is building technologies into
vehicles so they never get trapped in a traffic jam, can anticipate and avoid collisions, and
that can safely take over the driving for sleepy, busy or distracted drivers. (General Motors,
n.d.)
General Motors Commitment
GM believes in acting responsibly across the globe and focus efforts in important areas,
including the environment and education. The General Motors Foundation helps achieve this
goal by strengthening communities across the United States through investments in
education, health and human services, environment and energy, community development and
worldwide disaster relief efforts. Over the past ten years, the foundation, fully funded by a
GM endowment in 2000, has donated more than $315 million to send students to colleges,
keep teen drivers safe, educate parents on child passenger safety, promote diversity and
support vital non-profit organizations. The dedication reaches further than compliance with
the law to encompass the integration of sound environmental practices into business
decisions. Guided by environmental principles, GM considers the environment throughout all
aspects of its business, from supply chain, to manufacturing, to the vehicles put on the road.
These are the principles that help frame planning and decision-making for General Motors
future:
1. Committed to restoring and preserving the environment.
2. Committed to reducing waste and pollutants, conserving resources and recycling
materials at every stage of the product life cycle.
3. Actively participate in educating the public about environmental conservation.
4. Vigorously pursue the development and implementation of technologies to minimize
pollutant emissions.
5. Work with all government entities for the development of technically sound and
financially responsible environmental laws and regulations.
6. Continually assess the impact of facilities and products on the environment and
communities and operate with a goal of continuous improvement.
General Motors is committed to continuous improvement and making a difference. (General
Motors, n.d.)
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vehicle units sold. An early entrance into China, well performing partnerships and
local Buick brand are the main reasons why GM has a strong position in Chinas
automotive market.
5. Knowledge of home market GM is the largest car manufacturer in US and currently
holds more than 18% market share. This is mainly due to extensive knowledge of US
market and its consumers.
6. Four well performing brands GMs Cadillac, GMC, Chevrolet and Buick are among
the best-selling brands in US and China and brings in more than 80% of all General
Motors sales. (Times Reporter, 2014)
Weaknesses
1. High cost structure GM has one of the highest cost structures compared to all
automobiles manufacturers. GMs costs are driven by its generous employee
compensation and pension plans. Although GM has reduced its cost after 2008 it still
has a lot to do to become cost competitive.
2. Brand dilution GM controls 18 automobile brands that vary in quality and are sold
in separate markets. With so many brands in sales, customers find it hard to identify
which brand belongs to GM family, as only one of 18 brands carry GM letters. The
result is lower GM brand awareness.
3. Bureaucratic culture Before reorganization in 2008, GM was infamous for its rigid
culture and structure. Since then, the company has made some cultural and structural
changes but should continue improving as it isnt as quick as its competitors in
reacting to constantly changing environment.
4. Car recalls Last year, General Motors recalled 119,000 pickups due to missing hood
latch. The same year it had to recall it Chevrolet Volt and fix battery problems.
Recalls are expensive and damages brand reputation, especially when the company
announces them so often.
5. Diminishing Dealer Network General Motors has compiled a list of more than 1,000
dealerships market for closure. The company has announced that it will not renew its
franchise agreements with nearly one quarter of its U.S. dealerships. As of December
31, 2008, GM had 715 dealerships in Canada, as recent as May of 2009 plans called
for a anywhere from 40 to 200 closures.
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6. Increased Global Truck Market Steady growth rates are projected in the next few
years. The markets volume is expected to rise to 21.5 million units by the end of
2013. The light commercial vehicles segment was the markets largest in 2008,
generating total volumes of 9.8 million units, equivalent to 58.1% of overall value.
7. Rising Demand for Hybrid Vehicles General Motors produces six hybrid models in
the US including the Saturn Vue and Aura Hybrids, Chevrolet Malibu and Tahoe
Hybrids, GMC Yukon Hybrid as well as a Cadillac Escalade Hybrid. The company is
also investing in hybrid and plug-in vehicles, for both cars and trucks. It is anticipated
that GM will produce up to nine hybrid models following the introduction of the
Chevrolet Silverado Hybrid and GMC Sierra Hybrid. International demand for light
hybrid electric vehicles (HEVs) is expected to increase. It is expected to rise to
800,000 units in 2009 and estimated to reach 4.5 million units in 2013. Therefore, a
positive outlook for light hybrid electric vehicles and plug-in vehicles market would
boost the demand for GMs products. (Times Reporter, 2013)
Threats
1. New emission standards A new wave for stricter regulations on vehicle emission
standards may negatively affect GMs finances. The corporate would have to invest
large amount of money to comply with these new standards.
2. Rising raw material prices Rising prices for raw metals will lift the costs for auto
manufacturers and result in squeezed profits for the companies.
3. Exchange rates China is GMs second largest market and the business earns huge
profits there. Exchange rate fluctuations threaten GMs profits if the dollar would
appreciate against Chinese Renminbi.
4. Weakness in Global Automobile Industry Consumer Requirements for commercial
vehicles declined in the NAFTA region, Western Europe and Japan. The Western
European automobile markets suffered as well particularly the volume markets of
Spain down 28.1%, Italy down 13.4% and the UK down 11.3%. Germany declined
1.8%) and France 0.7% also experienced downward trend in the second half of 2008.
In total, 8.4% fewer automobiles were sold in Western Europe. The Japanese car
market also declined, with a drop in sales of nearly 4% in 2008.
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GM is also continuing to expand its presence in the central and western regions of the
country. These areas already represent about 45 percent of GMs domestic sales. GM will add
dealerships and manufacturing facilities in these regions, including plants in Wuhan and
Chongqing by the end of 2015.
GMs Vision for 2020
As GM sees China a market full of growth and opportunity, GMs President and GMs China
Head stated some of the trends shaping Chinas auto industry in the next few years which
includes the following:
1. Luxury vehicles are expected to make up at least 10 percent of auto sales by 2020,
and GM will add one new Cadillac per year through 2016
2. The SUV market will reach 7 million by 2020, or triple what it is today. GM will add
11 new SUVs between now and 2018
3. MPV sales will likely double to 3 million by 2020, from about 1.4 million last year.
GM has demonstrated success in this area, with the Buick GL8 and Wuling
Hongguang series and more entries to come from its other brands
4. In 2020 compact sedans will still be the most popular segment, with about 10M
annual sales. GM offers the Buick Excelle family, Chevrolet Cruze and Baojun 630
and has more new models in the segment under development
5. Within six years, replacement or repeat purchases in China could exceed two-thirds of
industry demand, compared to one-third today. This trend is expected to drive demand
for more diverse offerings
One means for GM and its joint ventures to achieve their ambitious growth plans is by
creating new vehicle technologies locally. The Research and Development team at GMs
Advanced Technical Centers in Shanghai recently developed the worlds first casting
machine for lightweight magnesium parts, which are 30 percent lighter than aluminum parts
and can improve a vehicles fuel economy by as much as 7 percent for every 150-kilogram
reduction in weight.
GM will also continue to strengthen its focus on innovation through its Pan Asia Technical
Center (PATAC) joint venture, which will open a new facility in Shanghai next year, and the
GM China Advanced Technical Center in Shanghai.
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GM will maintain its support of corporate social responsibility initiatives across China such
as the three-year GM Restoring Natures Habitat Project, which is helping protect key
wetlands in eastern China. GM is also supporting the Chevrolet Red Chalk Program to
educate children in rural areas.
The companys Safe Road Project, which is educating drivers and other road users on proper
road safety, will be expanded with the launch of a new project to help increase childrens
safety in and around cars. (General Motors Media, 2014)
In addition, General Motors, undeterred by slowing growth in China, announced plans to
plow $12 billion into the country by 2017 and boost capacity 65 percent by 2020.
GMs aggressive plans come as the growth in China auto sales cools to single digit rates after
years of double-digit expansion. The market for light vehicles grew 15 percent in 2013,
according to IHS Automotive. But growth will inch along below 10 percent in coming years,
slowing to 2.5 percent by 2020, IHS predicts.
Chinas No. 2 manufacturer by sales already has four new plants under construction that will
open by the end of 2015, boosting capacity to 5 million units from around 3 million units.
The product expansion entails the introduction of 60 new or refreshed vehicles in 2014
through 2018. GM will launch 11 new utility vehicles in China over the next five years. SUV
sales alone will account for 7 million units in China by 2020, more than triple the segments
current size, GM predicts. Luxury car sales are also expected to soar, accounting for 10
percent of the China market in 2020. China luxury sales will surpass U.S. demand in the next
couple of years.
Total domestic passenger vehicle capacity stands at 17.6 million in 2014 and should hit 21.7
million by 2018, predicts Yale Zhang, managing director of Automotive Foresight in
Shanghai. GMs plan to reach 5 million by the end of 2015 will likely give it the largest
vehicle manufacturing footprint in China, he said. (Auto News, 2014)
Russia
General Motors Company is reviewing the timing of the expansion of its Russian plant near
St. Petersburg because of a slump in the auto market.
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The company opened the $300 million plant in 2008 and planned to launch the second stage
in 2015. The plant currently makes Chevrolet Cruze, Opel Astra, and Chevrolet Trailblazer
models.
GM was to reduce production at the plant to four days a month in August and September,
extending to eight in October.
Car sales have faltered in Russia this year as economic growth has slowed, causing people to
put off large purchases. Consumer sentiment has come under further pressure because of
Western sanctions over the crisis in Ukraine.
The downturn in Russia's car market gathered pace in July, with sales sliding 23 percent yearon-year after a 17 percent fall in the previous month, according to the Association of
European Businesses (AEB). AEB data showed that sales of GM's Chevrolet cars fell 45
percent in July, year-on-year, while Opel sales tumbled 25 percent. (Reuters, 2014)
India
General Motors India has put in place an integrated export strategy, a first in its 18 years in
India, for Beat, its small car. It plans to kick-start export of Beat small car to Latin America
from the second half of 2014. The company will start the shipment with Chile in October an
approximately 2,000 to 2,500 units of Beat will be exported, before the company adds
Mexico, Peru, CAC (Central American and Caribbean countries in 2015).
Within a couple of years almost 18-20% of total production or 30,000 to 33,000 units at the
GM's Talegaon factory is expected to be used for the exports.
For the first year, the exports volumes will be small at about 2,000, and then the company
intends to export almost 30,000 to 33,000 units of Beat per annum to Latin America in the
next two to three years. Mexico will be its largest contributor at around 12,000 to 24,000
units going ahead.
General Motors follows a policy of 'build where we sell'. It is always exploring new business
opportunities.
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Talking about the company's sales strategy, GM continues to tap the market in this region
with innovative marketing schemes, customer camps, roadshows and various other customercentric initiatives.
GM India is currently present in North-East through 14 showrooms and as many service
centres. GM also plans to expand the network in tandem with the market growth.
GM India has two vehicle manufacturing plants in Gujarat and Maharashtra, besides a
technical centre in Bangalore and the company has invested over a billion dollars to cater to
the requirements of the Indian market. (The Economic Times, 2014)
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In addition, some of the shareholder lawsuits against the company address matters that would
likely be of interest to federal securities regulators.
Some of the lawsuits accuse GM of making material misstatements and omissions in their
financial statements related to the ignition switch problems. (Lynch, 2014)
As GM struggles with pending lawsuits and there is more for the company to take care of. A
problem with parking brakes in 221,000 Cadillac cars has caused the company to recall them.
The flaw can cause brakes to overheat. That, in turn, might cause a fire. So far, no one has
been injured due to the flaw, but GM has one more recall, and Cadillac has one more hurdle
to its struggle to catch luxury car brand leaders.
Nearly everyone in the country knows that GM has recalled more cars than it makes in a year,
so far in 2014. The count has moved above 26 million. Some of the recalls will cost GM as
much as hundreds of millions of dollars in liability suit claims and repairs. The Cadillac recall
does not rise to the level of those challenges, but it will be one more bullet to the way the car
buying public views GM.
More specially, Cadillac is in the midst of a major push to catch Toyota Motor Corp.s Lexus
brand, Audi, BMW and Mercedes at the top of the luxury car ladder. The four have
tenaciously held their lead most years since Lexus was introduced in 1989. Among many
drivers, Cadillac is still considered a car for older buyers. A recent study reported that
Cadillac buyers were among the oldest buyers of all luxury cars.
Whatever the cause, Cadillac sales have stumbled, despite the introduction of new models
like the ATS. In August, Cadillac sales fell 18% compared to the same month a year ago.
Year to date, sales were down 5%. Except for sales of its Escalade SUV, sales of all its other
models dropped in August.
Cadillac hopes it can restart sales with new models. It will launch a top of the line model
soon. However, the top four luxury manufacturers release new and upgraded models every
year, which likely negates any advantage new Cadillacs will have.
GM recently named Johan de Nysschen as head of Cadillac. He was the head of Nissans
troubled Infiniti Luxury division where the company hopes that this odd choice will make a
difference in the brand.
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Recalls may seem benign when no one has been injured. However, Cadillac cannot suffer
new blows to its image, no matter how modest they are. (McIntyre, 2014)
As GM is innovating with its products simultaneously to its other problems, this tech
innovation is not leaving the company to grow in its space either. The Company is in the
process of taking automotive technology to the next level and isnt giving itself a lot of time
to do it.
The automaker is to have cars that can talk to each other and almost drive themselves at
freeway speeds in just two years.
The semi-autonomous system for freeways will be an option on an unidentified new 2017
Cadillac that goes on sale in the summer of 2016. In addition, another 2017 Cadillac, the
CTS, will be equipped with radio transmitters and receivers that will let it communicate with
other cars, sharing data such as location, speed and whether the driver is applying the brakes.
GM Product Development Chief Mark Reuss had stated in an interview that the automaker
looked for help in all kinds of places. We went to the Navy, we went to the nuclear part of
the Navy, he said.
With this, when the question about hackers was raised, this is what he had to say, As we put
semi-autonomous and autonomous systems into vehicles, we have to be able to look at this as
a very, very critical systems level and do it defect-free for the customer. Auto analyst David
Cole said GM is entering a whole new level of technical sophistication. Theres a risk when
youre communicating with the outside world. Its a huge issue for the military. Its a huge
issue in all aspects of our society today, Cole said. The one thing you have to do inside the
auto industry is make the technology as bullet-proof as possible.
GM has hired a new cyber security officer to tackle the potential problem. Its a far cry from
the companys ignition switch troubles, yet the hire was made with that disaster in mind. It
cant happen again and theres no room for error. (Click on Detroit, 2014)
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The president of Cadillac brand, Johan de Nysschen disclosed this in recent news. In
addition, GM President Dan Ammann stated that with Cadillacs upward repositioning, the
next logical step is to provide Cadillac more freedom to cultivate the brand in pursuit of
further global growth. Also, Cadillacs mission is to reinstate the brand to a preeminent
position among global luxury brands, a bold challenge requiring a distinct and focused new
organization.
Cadillacs new headquarters will be located in the Soho area of Manhattan with offices and
event spaces. Set to open sometime in 2015, Nysschen and GM still have to determine what
personnel will make the move, and which will stay with Cadillacs technical operations in
Detroit. (McNabb, 2014)
As the company tries to ride out of the trouble in its home country, some relief is expected
from overseas. Though Chinese demand for the companys core Chevrolet and Buick
business is cooling as consumers move toward competing Ford Motor Co. and Volkswagen
AG brands; GM is riding on the success of the Chevrolet Cruze and the recently
introduced Cadillac brand in China, it expects to deliver more than the 3.16 million cars it
sold in the worlds largest auto market last year through its local joint ventures. This means
GM won't regain its position as Chinas largest foreign automaker that it lost to Volkswagen
in 2013, ending its nine-year reign.
The head of GMs China operations, Matt Tsien, stated as per The Wall Street Journals
report that the second-generation midsize Cruze is key to achieving the company's sales goals
in China. The automaker is definitely in need of the Cruze to be successful.
GM, which is facing a costly recall fiasco in the U.S., is counting on China sales to help
offset some of those problems. The Detroit automaker is also facing increasing competition
from crosstown rival Ford and the enduring challenge from Germany's Volkswagen, the
carmaker with the longest history in China. Luxury cars produced by Volkswagen's Audi
division are popular among affluent Chinese.
GM is hoping its decades-old luxury Cadillac brand, first introduced in China in 2013, will
help North Americas biggest car company gain market share in the important luxury
segment.
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Cadillac sales, which have been flagging in the U.S., are expected to be up this year by 40
percent, to 70,000 cars. GM expects China could surpass the U.S. to become the biggest
luxury car market in 2016.
GM has several joint ventures in China, which require foreign automakers to form
partnerships with domestic companies as part of the countrys efforts to improve its domestic
auto manufacturing through these cooperative agreements. Foreign automakers, in turn, gain
access to the burgeoning domestic car market, where consumers prefer foreign brands if they
can afford them.
GM makes Buicks, Cadillacs and Chevrolets through Shanghai GM, a joint venture between
the U.S. automaker and Shangahi-based SAIC Motor Corporation, Chinas biggest
automaker. SAIC General Motors Wuling Automobile produces Wuling and Baojun
branded commercial and passenger vehicles, while FAW GM makes commercial pickups,
vans and heavy-duty trucks. (Young, 2014)
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Conclusion
General Motors continues to change its business as it looks to entice companies and
consumers with its new and improved vehicles. The companys Chief Executive Officer
Mary Barra had stated in one of her interviews that she fired 15 people as soon as she took
charge of the company. It was done on the grounds of eliminating resources which are no
longer helping the company to grow. The stock has struggled to make positive progress in the
past several years, but is currently surging higher. Over the last four quarters, earnings have
been decreasing while revenues have been increasing, which has produced mixed feelings
among investors. Relative to its peers and sector, General Motors has been a poor year-todate performer.
As the company is struggling to cover for its recalls in the U.S. it also has plans to grow and
bring more innovative and customer friendly products in the market. With the automakers
first lady Chief Executive Officer, taking the reins in her hands and aiming to march the
company forward, the world awaits to see what this multi-national automaker giant is capable
of doing.
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References
Auto News. (2014, April 20). GM to pump $12 billion into China, hike capacity 65%.
Retrieved from Automotive News:
http://www.autonews.com/article/20140420/GLOBAL03/140429998/gm-to-pump12-billion-into-china-hike-capacity-65
Click on Detroit. (2014, September 24). GM tackles securing smart cars. Retrieved from
Click on Detroit: http://www.clickondetroit.com/news/gm-tackles-securing-smartcars/28228748
Forbes. (2014, 05 2014). Exclusive Q&A: GM CEO Mary Barra On Crisis Management,
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http://www.forbes.com/sites/joannmuller/2014/05/29/exclusive-qa-gm-ceo-marybarra-on-crisis-management-culture-change-and-the-future-of-gm/
Forbes. (2014, June 02). Mary Barra's To-Do List At General Motors. Retrieved from
Forbes: http://www.forbes.com/sites/joannmuller/2014/02/06/mary-barras-to-do-listat-general-motors/
Friesner, T. (2014, May 08). SWOT Analysis General Motors. Retrieved from Marketing
Teacher: http://www.marketingteacher.com/general-motors-swot/
General Motors. (n.d.). About GM: Our Company. Retrieved from General Motors Web site:
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