GM Case Study Assignment

Using Analytical Procedures as Substantive Tests By Frank A. Buckless and D. Scott Showalter, NC State University

Eventually the idea regionalization was adopted by the Advisory Committee. The ID was to be dissolved and replaced by headquarters in Europe, Middle East and Africa, Asia-Pacific, and the Western Hemisphere. Jobs in the ID were reallocated to different divisions and new products were developed according to align with the region's needs.

1) What are the challenges that Ivan Guillen faces in his role as marketing manager of the RBG business?

Alfred Sloan was picked to take charge of the corporation and led it to its post war global dominance. This unprecedented growth of GM would last through the late 70's and into the early 80's.

  The key distinguishing features of Organization 2005 consist in the abolishment and reorganization of the Matrix structure around three interdependent organizations: Global Business Units (GBUs), Market Development Organizations (MDOs) and Global Business Services (GBS). Furthermore P&G implemented several policies that empowered executives in order to facilitate faster decision-making, which in turn should promote innovation and increased agility on the market.

General Motors was once a back bone of American economy. It was one of those organizations who were the driving force of American automotive industry single handedly. But like any other enterprise, it has its strengths and weaknesses. Global presence with an impeccable distribution system which ensures a highest reach out couple with strong research and development gives it a competitive edge over its rivals however it has also borne its share of trouble mainly caused by recession. But now that market is picking up again, GM is also showing steady growth.

Building on its success with the strong regional organization in Europe, P&G replaced its International Division with four regional Entities that assumed responsibility for profitability:

In his first year at the Fredericksburg plant Hinrich implemented many changes that included reducing worker idle time by redesigning employee job responsibilities, installing more efficient machinery and working to attain QS 9000 certification. Although these changes were made slowly, the supervisors and staff seemed to be on board and support the changes as they came. This was likely due to Hinrich’s diligence in including them in the process. Hinrich had a goal of not only meeting the budget, but also exceeding it, and doing so with all of his employees on board. If Hinrich is successful he will help the Fredericksburg plant to meet its goals as well as help GM meet its goals and maybe even change its genetic code.

Over time, it’s how we will build GM into the world’s most valued automotive company.”

In order to develop the “right strategy” to succeed in business, managers must make the right decisions; and in order to make the right decisions, they must have objective, accurate, and timely : E. information about market trends and changes.

Conclusion: GM has therefore strategically planned their geographical layout of subsidiaries in order to target some of the business capitals of every continent. Although this seems like a major advantage for business, it also comes with its setbacks such as difficulty in communication and cultural differences. The communication gap seems to be disappearing by the day with the blessings that technology has brought with it like mobile phones, VOIP, e-mails, video-conferencing that have all taken the place of telephones, telegraph.

Gap Inc., a leading global specialty apparel retailer, continued to lose market share and revenues as customer loyalty declined across the company’s five brands. Struggling to deliver a consistent product and customer experience, Gap Inc. was challenged to redefine its strategy once again. Going forward, the company is focused on driving long-term growth by expanding its customer base.

1. How difficult was the task facing Immelt assuming the CEO role in 2001? What imperatives where there to change? What incentives to maintain the past?

General Mills, as one of the Big Three companies that focused on diversification of consumer goods on cereal division, restaurant chains and packaged consumer foods. In 1994, the cereal industry was profitable and had been one of the most concentrated industries overall historically, and the big Three company had a dominant position in this industry. However, the problem was although the high profitability attracted fewer entry company due to the high entry barrier restrained by joint monopoly of the Big Three, they were facing the threat of private label companies which grew fast in market share by sales and volume. Therefore, what is General Mills strategy to increase revenue while dealing with the threat of private labels. This is a critical issue because General Mills need measure the trade-offs among strategies, and this determines whether General Mills would still be one of the top players in terms of market shares in the industry.

Q: 3 Why do you think GM chose to establish a joint venture with AvtoVAZ, rather than a wholly owned subsidiary? What are the risks associated with GM's joint-venture strategy?