presentation
General Motors
Environmental ScanningEconomic FactorsBusiness
CycleConsumptionEmploymentEnvironmental ScanningCompetitive
Factorsentry and exit strategies competition market segments
Environmental ScanningGeographical Factorsheadquarters warehouse
locationforeign markets
Ease of Entry Into the IndustryDegree of RivalryAlthough there
are several competitors within the industry, the traditional
powerhouse automobile companies such as GM, Ford, and Chrysler have
controlled the market for the past century. There is somewhat of a
threat within the industry when considering foreign carmakers such
as Toyota, Honda, VW, and Hyundai.
Easy of Entry Into the IndustryThreat of Substitutes
As of now, there is not much of a threat, considering the
compatibility and convenience of the automobile. Also, there has
not been much talk of any type of alternative.
If there were to be a threat to the automobile industry, it
would come from one of the following units: Bus, train, watercraft,
or airplane. These are the only reasonable threats to the
industry.
Ease of Entry Into the IndustryBarriers to Entry
In order to start an automobile company, a very large amount of
capital is needed. Also, considering the age of the industry, the
difficulty is only that much higher. Therefore, the barrier of
entry is considered very large, and almost impossible.
Ease of Entry Into the IndustryBuyer Power
With low switching costs, and the ability to buy in large
quantities, the buyer power of companies within the industry is
considered very highAlso, once one unit is produced, the cost of
production takes a considerable decrease because the cost of the
initial creation of the product is much higher than the units that
follow. This also plays favor for the buyer because with the
standardization of cars the cost for buyers is considered
reasonably low.
Ease of Entry Into the IndustrySupplier PowerBecause of the
minimal number of automobile retailers, the supplier power is
considered low. This results in suppliers being unable to dictate
prices and conditions.
Gm Weighted Competitive strength Assessment
10Wieght Indicates significance, overall strength
Quality/Product Performance (weight - .3, GMC 8)Technology
(weight - .15 GMC 8) Cost (weight - .25 GMC 8)GMC Overall Strength
Rating 7.95 out of 10
Strategic Performance IndicatorsAssesments of sucsess bsased off
specific performance indicatorsMarket Share Sales GrowthNet Profit
MarginReturn On Equity
Strategic Performance Indicators
General Motors Capability ProfileManagerial FactorsCorporate
Social ResponsibilityStrategic AnalysisAbility to Meet Changing
TechnologyMeeting the Competition
General Motors Capability ProfileCompetitive FactorsProduct
StrengthsMarket ShareLow CostsCustomer ConcentrationOrganizational
Chart GM has moved to a more flatter Organizational structure This
aids in having executives be more accountable for their portfolio
Mark Reuss head of GM North America This structure has been
developed with as few layers as possible between me, the dealer and
the customer.GM Organizational Structure North America
Assessment of Cultural ElementsFounders Beliefs: William
DurantKey Executives StyleCohesiveness and CollaborationConsistent
communication Degree of Social interaction Opportunity for growth
Degree of Innovation Organizational Life CyclePhase 1: Initiation
establishment of the company by William Durant in 1897. Phase 2:
Formalization demand for the automobile and the establishment of
Buick as the flagship BrandPhase 3a: Expansion Acquiring of other
brands to form the Group GMPhase 3b: Coordination- Reengineering of
the product and the Business model Phase 4: Globalization: Dealing
with new competition and a whole new marketplace
Porters Five Forces
GM Blue Ocean StrategyFour Blue Oceans in GM history
1924Japanese Fuel efficient carChrysler MinivanElectric CarGM and
Great by ChoiceEmpirical Creativity 20 Mile March SMaC Recipe
