Here are the three articles to use to answer the questions…

 

 

http://graphics8.nytimes.com/packages/pdf/business/20090217GMRestructuringPlan.pdf

 

http://www.reuters.com/article/us-autos-gm-plan-sb-idUSTRE51H04D20090218

 

http://nypost.com/2009/04/27/gm-unveils-new-restructuring-plan/

 

 

In late 2008 and early 2009, nearly unfathomable problems and challenges were emerging from a crucible of technology, marketing strategy, and politics. The future of the once supreme American automobile industry was poised on the brink of bankruptcy as they pleaded their case for bridge loans before a deeply divided Congress. Bankruptcy would have devastating rippling effects from the halls of Congress to the end of the American Dream. Is the die cast, or is it time for new management? The choices now are congressional oversight or private leadership. Which will you choose? What about General Motors? Let’s start with their final exam the proposed restructuring placed before Congress and--ever so much more importantly--the American people.

 

Questions to be answered –

 

1. Automobiles often exhibit deep-seeded emotive qualities without quantitative dimensions. Set aside your psychological emoticons and professionally assess the GM plan using Exhibit 1.2 as a template. What is this plan—Corporate Strategy? Business Strategy? Marketing Strategy? Explain your initial impression. Exhibit 1.2 is attached. 

 

 

 

• 2. Using Exhibit 1.6, assess the GM proposal. Which orientation was it? In your opinion, which orientation should have guided their planning? Explain your reasoning. Here is Exhibit 1.6…

 

 

 

 

EXHIBIT 1.6 Differences between Production-Oriented and Market-Oriented Organizations

Business Activity or Function	Production Orientation	Marketing Orientation
Product offering	Company sells what it can make; primary focus on functional performance and cost.	Company makes what it can sell; primary focus on customers’ needs and market opportunities.
Product line	Narrow.	Broad.
Pricing	Based on production and distribution costs.	Based on perceived benefits provided.
Research	Technical research; focus on product improvement and cost cutting in the production process.	Market research; focus on identifying new opportunities and applying new technology to satisfy customer needs.
Packaging	Protection for the product; minimize costs.	Designed for customer convenience; a promotional tool.
Credit	A necessary evil; minimize bad debt losses.	A customer service; a tool to attract customers.
Promotion	Emphasis on product features, quality, and price.	Emphasis on product benefits and ability to satisfy customers’ needs or solve problems.

 

 

3. Even though the situation seemed dire, especially for the American automobile industry, and possibly still does, many believe there is a significant opportunity for the right strategy. Did the plan suggest a compelling analysis of the “4Cs.”? If you disagree, what’s missing?

 

 

**Please make sure you cite any references used in the discussion in APA style. The answers don’t have to be long maybe 1-2 pages at most. There are three questions to be answered. 

Attachments:

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