General Motors Corporation SWOT Analysis

General Motors, the world’s largest automobile manufacturer, was first founded on September 16, 1908, in Michigan, United States. The global headquarters of the General Motors is located in Detroit. The company employees more than 205,000 people in every major region of the world and does business in some 157 countries. GM and its strategic partners manufacture cars and trucks in 31 countries of the world. The SWOT analysis of General Motors is given below. 

Strengths

1. On the basis of sales, GM is ranked as the biggest U.S. automaker and the world’s second-largest manufacturer for 2008.
2. General Motors is listed the third-highest in 2008 having globally revenues among auto producers on the Fortune Global 500.
3. General Motor’s biggest achievement globally has been its accomplishment in China. In China the revenue of GM rose by 66.9% in 2009 and it captured 13.4% of the market.
4. In the first 7 months of 2010, sales of GM increased by 13 percent, including fleet and retail sales. Fleet sales for the year 2010 increased by 53%.
5. General Motors invested $250 million to build a research facility in Shanghai to expand alternative fuel vehicles and hybrid cars.
6. GM produces various flexible-fuel vehicles that can function on gasoline, E85 ethanol fuel, or any mix of both.

Weaknesses:

1. The financial and automotive industry crisis made the financial position of the company weak which results in the low stock prices. Therefore, the corporation filed for chapter 11 bankruptcy and reorganized as new entity. 
2. The company has taken high loans from the government and other financial institutions. The payment of this loan is also a burden for the organization.
3. Through the first 6 months of 2008, General Motors lost $18.8 billion. By October 2008, its stock had declined by 76 percent.
4. From 2007 to 2008 the revenue of the company dropped by 45 percent in the U.S.
5. General Motors proclaimed removal of lifetime health payback for about 101,000 of its white collar retirees in 2008.
6. GM is not able to respond well to the global competitors such as manufactures from Asia and Europe.
7. General Motors has lost a major market share for the last few years. For example in 2009, the company lost 19.8% market share in North American business.

Opportunities