Global Strategy at General Motors
Synopsis:
General Motors (hereafter GM) Company, one of the world’s largest automakers, traces its roots back to 1908 and its annual revenue in 2000 of $185 billion. The company sells 8 million vehicles per years, 3.2 million of which are produced and market outside of its North America. GM caught 27 percent share of the North America and 9 percent share of the market in the rest of the world as well as GM captured 12 percent share in the Western Europe in 2000 which is second only to that of ford. With its global headquarters in Detroit, GM employs 235,000 people in every major region of the world and does business in some 140 countries. GM and its strategic partners produce cars and trucks in 34 countries, and sell and service these vehicles through the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel, Vauxhall and Wuling. GM’s largest national market is the United States, followed by China, Brazil, the United Kingdom, Canada, Russia and Germany. GM’s OnStar subsidiary is the industry leader in vehicle safety, security and information services. General Motors Company acquired operations from General Motors Corporation on July 10, 2009, and references to prior periods in this and other press materials refer operations of the old General Motors Corporation.
Though GM had a long presence in developing countries, until recently sales there accounted for only a little fraction of the company’s total international business. Traditionally GM used the developing countries as a dumping ground for the obsolete technology and outdated models and earned huge money from this aging investment. This strategy has seen as lack of commitment from top management and GM offered very low quality, made of old product. All decision, plan and marketing decision were centralized by Detroit headquarter and they acted as a market context. GM kept in its mind about the poverty, crime, geographical situation and politics and communism in the developing
General Motors (hereafter GM) Company, one of the world’s largest automakers, traces its roots back to 1908 and its annual revenue in 2000 of $185 billion. The company sells 8 million vehicles per years, 3.2 million of which are produced and market outside of its North America. GM caught 27 percent share of the North America and 9 percent share of the market in the rest of the world as well as GM captured 12 percent share in the Western Europe in 2000 which is second only to that of ford. With its global headquarters in Detroit, GM employs 235,000 people in every major region of the world and does business in some 140 countries. GM and its strategic partners produce cars and trucks in 34 countries, and sell and service these vehicles through the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel, Vauxhall and Wuling. GM’s largest national market is the United States, followed by China, Brazil, the United Kingdom, Canada, Russia and Germany. GM’s OnStar subsidiary is the industry leader in vehicle safety, security and information services. General Motors Company acquired operations from General Motors Corporation on July 10, 2009, and references to prior periods in this and other press materials refer operations of the old General Motors Corporation.
Though GM had a long presence in developing countries, until recently sales there accounted for only a little fraction of the company’s total international business. Traditionally GM used the developing countries as a dumping ground for the obsolete technology and outdated models and earned huge money from this aging investment. This strategy has seen as lack of commitment from top management and GM offered very low quality, made of old product. All decision, plan and marketing decision were centralized by Detroit headquarter and they acted as a market context. GM kept in its mind about the poverty, crime, geographical situation and politics and communism in the developing