Sink or Swim

In: Miscellaneous

Submitted By tano12
Words 2459
Pages 10
General Motors
“Sink or Swim”

Despite taking on water, General Motors will survive this white squall for several reasons. After being a 100 year old company they have a very strong distribution network that is one of the most extensive still in the market. As the media has shown in recent years there have been several problems with GM and its corporate governance. Their Functional Strategy has been less than par for several decades now. Even after all the issues so vividly shown on paper and in the media, GM still has a lot going for them that will allow them to survive not only this economic down turn, but emerge still one of the industry’s leaders. The first thing to do on any sinking ship is to try and plug the hole. This task usually takes a lot of creativity, innovation and great leadership. To fix a leak in any situation you must first locate where the leak is and how extensive that leak has gotten. The best way to find a corporate leak is by doing some internal and external analysis on the company from all angles to find what went wrong and to change it quickly. SWOT analysis is the best way to give an extensive analysis. Strengths: Despite a drop in brand loyalty in recent years according to JD Power and Associates, GM still holds the second spot in customer retention rates. They are only second to Toyota that has a 68.9% percent rating. Also JD Power and Associates rates some of the brands of GM like Buick, Chevrolet and GMC among the highest in sales satisfaction. You can say that based on most of the ratings given by JD Power, GM motors is among the best in the business. One of their biggest strengths I would have to say right now is brand loyalty. Another is that they produce a great product in almost every category. Now I say almost every category because they have really struggled with the smaller vehicles such as the coupes and…...

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