General motors co. Rebekah Dhani, Israel Dominguez, Anne Marie Drablos, Titus Pettman, Brett Stovall

Mission and vision

The mission of General Motors is to translate breakthrough technologies into vehicles and experiences that people love.

The vision of General Motors is to become the world's most-valued automotive company by serving and improving the communities in which we live.

Swot analysis

  • Strengths: Robust technological capabilities
  • Weaknesses: Negative brand image & reliance on the sale of SUVs and trucks
  • Opportunities: Consumer preferences towards convenience
  • Threats: Intense competition & an increase in raw materials costs

Strategic recommendations

  • Increase the price of every GM automobile by $50 and offer OnStar Guidance plan for free for one year
  • Create marketing campaign to promote strategy

Cost of strategy

marketing costs

  • Snapchat advertisement expense: $700,000
  • Super Bowl Commercial: $4,000,000
  • T.V. Commercials: $1,029,000
  • Total Marketing Costs: $5,729,000

total cost of strategy

$176,151,603

strategy benefits

  • Revenue increases by $462,146,241 over a 3 year period
  • ROA with strategy: 4.27% in 2017

Financial analysis

ROA w/o strategy: 4.337%

ROA W/ strategy: 4.399%

Gross profit margin w/o strategy: 22.175%

gross profit margin w/ strategy: 22.267%

operating profit w/o strategy: 7.108%

operating profit w/ strategy: 7.218%

Npv

Ebit/eps analysis

balanced scorecard

conclusion

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