Business Management Homework
General Motors Company (GMC) is the world’s largest automobile maker with reference to vehicle units founded in 1908 as General Motors Corporation. Its status was changed in 2009 to its current name (General Motors Company). The change was as a result of recession experienced in the 2000’s and was a move for the company to recover from bankruptcy. It headquarters are located in Detroit, Michigan and has companies in 31 countries and is responsible for doing business in 157 countries. The company aims at providing quality products for their customers ensuring high returns for the satisfaction of all its stake holders. From the company’s vision, the company is determined to improve its products thus acquiring more customers as a result of their experiences with the products.
GMC will make quality motor vehicles for all its customers all over the world. The customers will get high quality vehicles with increased performance as well as comfort. The customers will also be able to enjoy diversity since the company makes different cars from vans to small cars. The company can also provide advertisements for fuel and tire companies among others by use of bumper stickers, billboards at their shops and also wall posters. Its prices will also match the customer’s perception of product value.
The company is able to reach its customers from all over the world through its companies in different countries. The company will also make advertisements through television, billboards, online media and word of mouth in order to reach a wider market and through this they will be able to get new customers. Also, through its website, a customer will be able to view the different vehicles offered without any difficulty.
GMC will need to establish a good relationship with its customer to ensure a long lasting and healthy relationship. They can do this through use of social websites such as twitter where they can interact with their customers directly. They can also create a Facebook and a Google plus page and with this they will create a relationship easily as well as reach to a lot of customers. Using the website a customer can also buy a vehicle which would later be delivered to them no matter the locality.
The business will be able to make money through the sale of their cars and also through the various investors it would attract. They will also get an increased income from the advertisement money
GMC offers quality consistency of products as compared to other major brands and with this it has a great advantage over its competitors. The products are also fuel efficient as compared to those of the competitors thus a cost looking for a cost economic car would go for one from GMC. The company also enjoys worldwide production plants and markets that offer some sense of security and stability. The company however has some weaknesses and they sometimes hinder their success. The company has poor reputation among some people as a result of its poor mismanagement in the past. The company also has low investments in research and development.
GMC has identified an opportunity in production of fully electric powered vehicles. It can also focus on international market growth especially in the South Asia. It can also get to enjoy low interest rates by the governments as incentives for environmental stability. The company on the other hand faces threats such as rising fuel prices and thus people are more reluctant to purchase vehicles. There has also been an emergence of new and aggressive competitors as well as rejuvenation of old ones. High cost of health services is also high as well as the cost of production and thus in order to get back the capital, the company has to sell the vehicles at a high cost which will not be pleasing to the customers.
The company should focus on the 4 P’s (Product, Price, Promotion and Place) and if all of them are exploited, they will e able to grow well and attract alot of customers.
Work Cited
Georgia State University, Writing a Business Plan, Georgia State SBDC, 6-10
