GM Strategic - Essay Example

GM Strategic Introduction General Motors (GM) is recognized to be a worldwide business leader in the automotive industry. The company follows few basic principles that ultimately have facilitated them to maintain a dominant position in the industry. The imperative principles include safety as well as quality and innovation, offering long-term investment value and generating lifelong customers. The company continues to focus upon its valuable technological advancements in order to shape its future in the automotive industry.

The remarkable brands of the company comprise Chevrolet, Holden, Opel, Isuzu and Cadillac among others (General Motors, 2012).Environmental Analysis and General Motors (GM)’s Commitment To EnvironmentGM has made purposeful commitment to the environment i.e. to make continuous development as well as improvement by decreasing the harmful impact of environment which includes the issues like greenhouse gas releases and fuel economy in its broad assortment of quality vehicles (General Motors, 2012).

From the perspective of the environmental issue with regard to the aspect of fuel economy, the valuable engineers belonging to the company are reinvesting as well as restructuring the various technological advancements for the purpose of enhancing the fuel economy, ensuring less release of greenhouse gases and most importantly diminishing its reliance on petroleum. In relation to the factor of the enhancement in fuel economy, it has been apparent that the company is consistently enhancing the competence of its gasoline-powered vehicles by the application of enhanced technological advancements which include dynamic fuel management, insertion of direct fuel and variable valve timing (General Motors, 2012).

From the viewpoint of the other important environmental issue i.e. the release of greenhouse gases, the company has showed its deliberate commitment towards implementing the alternative fuels as well as the bio-fuels in order to decrease petroleum dependence along with lowering the release of greenhouse gases. In this context, it has been viewed that the company is the worldwide leader in the production of Flex-Fuel vehicles which operates on gasoline and E85 ethanol. This particular technological advancement of Flex-Fuel vehicles of the company can be observed in the cars as well as the trucks of the company (General Motors, 2012).

Strategic Reasons for Environmental InitiativesThere lie several strategic reasons for GM to emphasize upon the environmental factors which comprise the aspect of fuel efficiency and the release of greenhouse gases. One of the imperative reasons is about the deliverance of long-term value of the investments to the shareholders. The company desires to attain the confidence of the shareholders about their decision to invest by developing among the best vehicles of the world and also by performing its business operations with highest integrity level.

The other strategic reason is about augmenting its competitive advantage over its major competitors along with attaining maximum response of the customers. In addition, the company has focused upon the various environmental initiatives for the purpose of growing its business especially in the new markets. In order to attain this particular objective, the company has emphasized upon the factor of safety as well as offering superior quality vehicle along with the adoption of different environmental initiatives (General Motors, 2012).

ConclusionOn the basis of GM’s environmental analysis, it can be stated that the commitment made by the company might offset the environmental issues by a considerable extent. The aforementioned strategic reasons have ultimately compelled the company to adopt the environmental initiatives which include the aspect of fuel efficiency as well as the release of greenhouse gases. ReferencesGeneral Motors. (2012). Our company. Retrieved from http://www.gm.com/company/aboutGM/our_company.htmlGeneral Motors. (2012). Innovation.

Retrieved from http://www.gm.com/vision/greener_vehicles.htmlGeneral Motors. (2012). Environment. Retrieved from http://www.gm.com/vision/environment1.html