Monday, September 5, 2011

Chapter 2:Strategic Planning for Competitive advantage;General Motors

General motors' current strategic plan is called a "Four Point Turnaround Plan" which involves labour expenses being reduced,legacy costs being cut,a decrease in production capacity and new designs and marketing strategies. But as you should know,cost reduction do not guarantee successful competition because other company "ECOcar" could do the same and may get better business. General Motors also must differentiate their products so customers could get a sense of value-added. General Motors must appeal to needs and trends of local markets instead of using global. In order for GM to compete in a global market they have to develop a successful domestic strategy to be able to compete internationally.

General Motors (GM)

GM sold 223,900 units in December 2010, up 7.9 percent compared to December 2009 and up 32.7 percent from November 2010. GM remains the largest automaker in the United States with 2010 total sales a little over 2.2 million vehicles.
Below is GM's model year mix, compared to last year GM is doing an extremely good job of clearing out old inventory and moving to the current model year.
Buick has had the highest percentage gain for any major brand within the U.S. market, model level sales breakdown is below.
General Motors 2010 Calendar Year Sales Up 21 Percent;
December Sales Increase 16 Percent — Best Month of 2010

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