24 October 2012
GM SWOT Analysis
General Motors (GM) is the one of the biggest automaker company in the world. It was established in September 1908, headquartered in Michigan and Detroit. They do financial and automobile business all over the world, and they are very successful Multinational Corporation in the U.S. However, because of the great recession, they suffered some financial conditions and crisis. In November 2010, GM made the world’s largest initial public offering (IPO) and that decision bring them a bright future (“About GM”). In the past hundred years, GM tries to turn its threats into opportunities, maximize its strengths as much as possible, and struggle to overcome its weaknesses. The company history said that they have various strengths and opportunities. Large market capitalization could be one of the primary strengths of GM. According to the Yahoo Finance, GM’s market capitalization equals $37.38 billion U.S dollar and they have 8.1 million shares outstanding in the stock market (“General Motors”). They increase their size of market capitalization by doing IPO in 2010, so they raised $20.1 billion on the U.S stock exchange market. Even though GM’s market share decreased and they were in bankruptcy in 2009, the company recovered its market share successfully and renewed its investor’s confidence (“About GM”). GM is leading Multinational Corporation in the world, which means they have precious global experience in the global markets. Therefore, the global experience could be other key strengths of GM. For example, they increased their global market share by 0.4 percent from 2010 to 2011. In the Chinese automobile industry, GM is the market leader, and their sales and joint venture partners are increasing continuously (10-K). They run business more than 150 countries, and they have complex assembly line, distribution network, manufacture, and warehousing operations in more than 60...