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Thursday, September 26, 2019

General Motors Global Competitive Strategy Case Study

General Motors Global Competitive Strategy - Case Study Example The paper will involve a thorough analysis of General Motor’s (GM) global competitive strategy which will be explained on the basis of the ‘Star analysis.’ GM is a US-based multinational car manufacturing company which has a significant worldwide presence operating in 157 countries (Yahoo finance, 2013). Its global competitive strategy can be best explained through the following perspectives as highlighted by the Star framework. Home Country After the company was bailed out during the 2007-08 financial crises, GM has experienced drastic changes in the way it conducts its business and implements its strategies. New and influential members were hired in order to form a highly efficient management team which included Daniel Akerson as the CEO. He took control into his own hands and shook the company’s bureaucratic organizational culture thereby inducing new strategies and visions to the business. The company’s strategy in its home country has been small er but leaner in order to be cost competitive. GM currently manufactures and sells 18 different automobile brands in order to satisfy the needs of the customers. The company has been able to achieve a significant market share in its home country because of its extensive knowledge regarding the US market and its consumers (Jurevicius, 2013). GM’s strategy in its home country has been to focus on fewer brands. Their idea is to leverage global resources in order to create the most gripping vehicles and technologies. They plan to reinvest cash and profits into their vehicle and technology division on a consistent basis, regardless of the business cycle.

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