STRATEGIC PLAN

Strategic Plan

Table of Contents

Executive Summary3

Background3

GM's vision5

General Motors Mission5

Values Statement6

Environmental Analysis6

Internal Environmental Analysis7

External Environmental Analysis10

Long Term Objectives11

Strategic Analysis and Choice14

Plan Goals and Implementation19

Financial Projections and Analysis Profitable ratios21

Critical Success Factors25

References29

Strategic Plan

Executive Summary

The General Motor invests huge equipments for reducing the production and motor vehicle powered by substitute petroleum. The principal concentration in substitute petroleum's has been improved, which is driven by three most important fundamentals that are stated below:

The alarm over greenhouse gas emission.

The enhance need over US on oil and,

The alarm that world-wide demand for petroleum would outstrip deliver.

In developing replacement car equipments, General Motors developed the approaches in facing doubts. In the year 1990, General Motor starts the progress of electric and battery-powered means of transportation. The high cost and restricted variety of the vehicle, it was disappointing the sales of that product. In the year 1997, General Motor makes his personal petroleum-cell stack innovation, which include fuel cell car prototype HydroGen1. The first delivery service approach provides the corporation the ability to utilize governments' grant and intellectual assets complicated to duplicate from rivals. At the end, of the year 2000, The United states market place has matured, and the other rival has battered the marketplace part from the three domestic players that was less than 60 percent of the entire share.

Background

In recent years, the American automotive industry has faced challenges related to changing consumer preferences and perceptions, growing legacy costs, rising fuel prices, and ceding of market share to foreign competitors. During the recession, these factors coalesced into a historic crisis that threatened the survival of the domestic auto manufacturers. According to testimony from Ron Bloom, a Senior Advisor at the U.S. Treasury Department, in 2008 alone, the domestic auto industry lost 50 percent of its sales volume and over 400,000 jobs. Near the end of 2008, the financial conditions of GM and Chrysler were seriously deteriorating, and the two companies were effectively closed out of the private capital markets, meaning that they were not able to secure the day-to-day funding they needed to function and remain in business. 

Without assistance, both of the above mentioned companies faced liquidation bankruptcies that would have resulted in substantial job losses and would have had a dramatic impact on the broader American economy. As part of the Troubled Asset Relief Program (“TARP”), the Automotive Industry Financing Program (“AIFP”) was created on December 19, 2008, to permit Treasury to invest in the automakers and their financing arms. The program's stated goal was to prevent a significant disruption of the American automotive industry that would pose a systemic risk to financial market stability and have a negative effect on the U.S. economy (Alfred, 1990).

To date, Treasury has committed $80.7 billion4 through AIFP to facilitate restructuring and to support the automotive manufacturing companies and their financing arms to “avoid a disorderly bankruptcy of one or more automotive companies.” On February 15, 2009, President Obama announced the creation of an interagency Presidential Task Force on the Auto Industry (“Task Force”) that would review the Chrysler and GM restructuring plans submitted ...