Research Analysis for Business It is my responsibility as a Business Consultant officer for General Motors Corp. monitoring all activities of the company and then review them thoroughly to be able to device more cost-effective and profitable business plans for the organization. General Motors is one of the principal auto makers in the United States and across the globe marketing their automobiles and innovative style. According to “General Motors” (2014). During the earlier years General Motors only held Buick Motor Company, several years later the automaker obtains multiple corporations including Oldsmobile, Cadillac and Pontiac.” (History & Heritage). This Research Analysis will examine the market structure …show more content…
When GM analyses their competition, they need to ensure they are comparing alike vehicles so they can correctly gain the exact data and price their goods in order to make the most of profits. General Motors has demonstrated increase in demand during the past three years. This can be valeted by total sales and records of profit. The Market for Chevrolet crossovers, Cadillac’s and Buick’s percentage of sale went up significant. The Data obtain from the Wholesale vehicle is representing sale made directly to dealerships and others like Fleets to Corporations. This validate an increase in General Motors product demand over the last 3 years. slight decrease in demand occurred in the year 2005 in comparison to 2014, recovering smoothly in 2016 (General Motors 10K 2017). The below chart shows total vehicle sales (in …show more content…
Gm has to take into account all the aspects that disturb fixed cost, as well as factors affecting variable costs. General Motors works in an Oligopoly market structure, my recommendations with a positive increase on GDP and PCE General Motors would have any problems rising their sales and profits. This has been established with a record first quarter profit Alone this year. The recommendation I would make to improved financially General Motors would be to reorganize shifts so they do not have to pay any overtime money by Organizing their shifts working hours according with the company needs this potentially would reduce the variable cost of manpower per vehicle. Also, in order to reduce direct labor cost, I would implement FLEX work schedule (weekend Shift) This shift consisted on 3 work day starting Friday ending on Sunday, compensating full time employees a full 40-hour work week. This initiative would not only create jobs in the community but will also reduce direct labor cost to the company. I would emphasize on Cross-Training current and future employees so a significant amount of the work force at GM would be capable of working in different stages of a assembly line the outcome of this actions would be reduction in
Production of microchips, a vital electronic component, slowed almost to a stop. Dustin Walsh’s article in Crain’s Detroit Business elaborates on this in his piece “Microchip shortage hitting auto sector hard: What to know: Spending glut on consumer electronics during the pandemic disrupts supply chain.” He explains how General Motors completely stopped production at several plants is related to the mass purchasing of consumer electronics: Personal computer sales were up 4.8 percent to 275 million units in 2020, according to data from market research firm Gartner. Last year was the largest bump in PC sales in a decade. In fact, 2020 was the largest year on record for consumer electronics at $442 billion, according to the Consumer Technology Association,
To be more fair to the workers just make shifts. Having shifts will make the factory less packed so it will be easier for the workers to work. These problems are easy to fix and need to be fixed. Make a difference and fix these
Would you rather have a Chevy that will run longer and costs less for gas or a Ford that won’t last as long and that has higher gas prices?Chevy’s are better than Ford because they have many more sales and are the fastest growing company compared to Ford (ranked 2nd place, ford 6th), have a better powertrain warranty than Ford, and Chevy’s gas prices aren’t as high as Ford’s. First reason why Chevy’s are better than Ford is because they have many more sales and are the fastest growing company compared to Ford (ranked 2nd place, ford 6th), have a better powertrain warranty than Ford, and Chevy’s gas prices aren’t as high as Ford’s. According to John LeBlanc, a car expert, GM is ranked 2nd place in America which includes Chevrolet which is one of the best selling brands in the GM family.
Ford Motor and Chevrolet, both owned by General Motors Company, are the two biggest brands in the United States. Both Ford and GM are leaders and very big competitors with brands and models that compete all over the US. Ford’s largest brand is simply, Ford, and GM’s biggest brand is Chevrolet. The price is always the main concern when buying a new or used vehicle.
Cultural Profile Diversity, symbolism, fairness, family as well as unity are all things that are valued by Canada and its people. One of their biggest symbols is the Maple Leaf, which is placed in the center of the country’s flag. Maple syrup has been a large economic industry for Canadians for decades, but is also something that unites Canadians by making their own maple syrup. They also symbolize the Poppy Flower, a flower that is used to honor fallen soldiers on Canada’s Remembrance Day, and is also present at many funerals of non-military citizens. It is also important to point out that Canada is a country that has a socialist government, which implies that it is a nation that puts a lot of importance on fairness and equality.
Henery Ford did well when he shortend the day for his workers becaus the work was brutal and exausting. Fords workers were worn out by the end of the day. The factorys in France and Sweden that have
When will Ford or GM believe that this may be a good time for them to build cars like the good old days? I can almost guarantee that people are going to be lining up to get these new American classics. But until these firms start taking note of their customers, you'll have people looking for old muscle cars to
Current Strategies: Kohl’s Department Store plan is to operate many stores as possible after 5 years. Additionally they planning to have the “Lowest Prices of the Season” sale for the every customer. Kohl’s will still continue their coupon and discount cards to attract more customers. Kohl’s strategy is to have many sales as possible by having low prices of their products (Cadence, 2010). Macys on the other hand strategy plan is to attract customers by offering superior selections of products with reasonable value.
Political Forces: The political stability is very important for the business to grow and last, according to that if the business has been operated in a politically unstable area, or in a country that is under a threat of wars that will lead to a loss for the business. Politics and governmental interferes is an important issue that is facing businesses and became a barrier in many situations. GAP Inc.
Question 2: To do a resource-based analysis of any organization, it needs to go through different steps, first identify the three categories of the resources , the tangible ,intangible, and the human resources , second identify the capacity of the organization to put its resources for a desired end and in good use, third to decide on suitable strategy for the organization we need to do SWOT analysis to determine the organization strength and weakness compared to the competitors, third what are the key successful factors of the organization that can be determine by identifying the customers of the organization and their needs, and what the organization will do to survive the competition ( Hall&Keynes,2015) also audit analysis to Ford resources , and value chain analysis to Ford activities . In the next section, there will a brief explanation about the steps mentioned above , followed by an application to each step to, Ford motor which was incorporated in Delawae in 1919, it is a global automotive industry leader in Dearborn and Michigan, distributed vehicles across six continents the core business of Ford , designing and manufacturing cars, marketing , financing and servicing a full line of Fords cars, trucks, SUVs, and electrified cars, and Lincoln luxury car (Ford annual report,2015). Resource-based view (RBV) is an essential theory for strategic managers , considering the organization resources the assets , capabilities organization
Although the profit margins of Pontiac Plant is low with several issues coming up everyday, it is absolutely critical for Pontiac, at this point of time, to maintain good relationship with the workers and maintain a good reputation with the United Automobile Workers of America. Investing in in plant tooling and attempting to develop a viable operation requires negligible capital investment and in turn promotes a ray of hope and communal harmony amongst the workers of the plant. Furthermore, this alternative directly addresses to the major problem of Pontiac plant i.e. all the machineries are antiqued , the overhead costs are high and the workforce does not have the zeal , enthusiasm or the motivation to work hard for the company. Considering the present challenges that Allen is facing today with respect to the Pontiac plant , this is perhaps the only solution with a minimum investment that can not only increase the communal harmony in the workplace but also increase sales of the plant which would eventually stabilize the Pontiac plant for few years. This decision by Allen would indeed boost the morale of the employees and in turn help the revival of Pontiac plant which is old and
The United States has one of the largest automotive markets in the world, and is home to many global vehicle and auto parts manufactures. In 2016 year alone, vehicle production reached almost 17.5 million passenger vehicles. Automobile industry involves many industries in it. It includes original equipment, manufacture, and adverting industry as well as oil and natural gases industry. Main players of the Automobile industry are Toyota, General motors, Volkswagen, Honda, Ford and more.
INTRODUCTION: Mercedes Benz is a globally known brand, originated in Germany. Benz is specialized in automobiles like cars, buses, trucks, etc. EXTERNAL BUSINESS ENVIONMENT: The automobile industry is a multi-billion industry with large brands in market. It’s important to carry out analysis on microenvironment before formulating strategies.
The customers of Mercedes Benz look for products that have certain benefits that hold value for them. Therefore, in terms of benefits sought, they seek for high-end integrated technology and functioning of the car, along with consistency in performance and most importantly they will look to purchase cars that will offer high sustainability and reliability. The Mercedes is purchased among customers that heavily use the product on a daily basis. As mentioned in the demographics segmentation section that people who purchase these cars are in the high income class group, which means that these customers will regularly use a mode of transportation to travel to workplaces.
ECONOMICS ASSIGNMENT CLASSIFICATION OF MARKETS AND ITS PRACTICAL IMPORTANCE SUBMITTED BY, REVIN FRANCIS NO-b1488 MBA-A MARKET STRUCTURE Market structure is defined by economists as the characteristics of the market. It can be organizational characteristics or competitive characteristics or any other features that can best describe a goods and services market. The major characteristics that economist have focused on in describing the market structures are the nature of competition and the mode of pricing in that market. Market structures can also be described as the number of firms in the market that produce identical goods and services. The market structure has great influence on the behaviour of individuals firms in the market.