Will Gm’s Strategic Plan Lead to Future Success?

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1. It appears that GM showed traits of being both prospectors and reactors. Prospectors are known for creating their own opportunities and being bold and going after an opportunity, not sitting back and waiting for something to happen. After taking the bailout from the federal government, GM set out to make an unprecedented profit of $10 billion dollars. Prospectors often put fear into the hearts of their competitors and that is what GM is trying to do by going after the “ best in class” peers. They are targeting the high class markets like the BMW and Hyundai markets which are known for higher return on sales. I believe that’s exactly what GM was trying to do by “calling out” the other companies, similar to Babe Ruth pointing to the…show more content…
In GM’s case they have decided to cut their workforce and drop the previously offered incentives which is correcting a deviation in the plan. This will allow them to continue to go towards the goals they have set out but with a little different set of plans which they will again be able to reevaluate on a regular basis. The other option GM would have had was to totally re-do their plan if they had found that things were not working. They could have improved their future plans and restarted from the beginning. 5. I have learned a few things about planning from reading the case study on General Motors. The first thing I learned was that SMART goals are actually very common and once I knew what they were I can see how almost all businesses use them. Seeing them put to use in this case study was very helpful and practical. Goals that may seem unattainable at first can be very attainable as you set out further goals and use the planning/control cycle to tweak your initial plan. GM wanted to boost sales so they offered big incentives, this was how GM worked prior to their federal bailout. Once they realized they wanted to change their goals and switch the company’s
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