General Motors Corporation SWOT Analysis

1. Produce fuel-efficient, smaller, and higher-quality models that can attract the consumers.
2. Chinese government condensed automotive taxes in order to encourage declining sales.
3. In February 2009; citing declining manufacturing numbers, the State Bank of India decreased interest rates on automotive loans.
4. Establish or Equip facilities to manufacture ‘advanced technology vehicles’ that would meet up certain fuel economy and emissions standards.
5. One of the big opportunities is to shift manufacturing to other amenities in order to produce in-demand vehicles. Manufacturing could be done in those countries where the labor as well as material cost is low. 
6. Diversification in other related and unrelated products or shifting to the hybrid electric engines.
7. The purchasing power of consumers is increasing due to end of financial crisis 2007-10.

Threats

 

1. The automotive industry crisis of 2008-2010 was the big downturn. Now it is challenge for industry players to recover.
2. The financial crisis of 2007-10 caused by a liquidity deficit in the U.S banking system resulted decrease in consumer wealth.
3. The crisis mainly felt in the U.S and also affected Asian and European automobile manufacturers.
4. Car companies from North America, Europe, and Asia have implemented innovative marketing strategies to attract disinclined consumers.
5. Major producers, including the Toyota and Big Three offered significant discounts across their lineups.
6. North American consumers shifted to more fuel-efficient and higher-quality product of European and Japanese automakers.
7. Environmental politics and allied anxiety concerning carbon emissions have sharp sensitivity to environmental protection worldwide and gas mileage standards.
8. U.S manufacturers are facing soaring gasoline prices, health care costs for an aging workforce, dependence on declining SUV and eroding market share.
9. The company is facing very high labor and raw material cost as compared to Asian manufacturers.   
10. GM is also facing criticism on its culture and corporate practices. In 2007, its employees union went on the first countrywide strike due to which a transmission facility and two car assembly plants were closed down.