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General Motors In China-International Business
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6. GM entered the Chinese market at a time when demand was very
limited. Why? What was the strategic rationale?
Why did GM enter through a joint venture with SAIC? What are
the benefits of this approach? What are the potential risks here?
Why did GM not simply license its technology to SAIC? Why did it
not export cars from the United States?
Why has the joint venture been successful to date?
As of 2015 GM appears to be increasing its strategic
commitments to China, building more factories and opening
more dealers. Why is the company making these bets? Do you
think it is doing the right thing?? What are the potential risks
here?
7. GM entered the Chinese market at a time when demand was very
limited. Why? What was the strategic rationale??
8. Why did GM enter through a joint venture with SAIC? What are the
benefits of this approach? What are the potential risks here?
9.
10. business grow faster, increase productivity and generate greater
profits
access to new markets and distribution networks
increased capacity
sharing of risks and costs with a partner
11.
12. time and effort to build the right business relationship
the objectives of the venture are not totally clear and
communicated to everyone involved
the partners have different objectives for the joint venture
there is an imbalance in levels of expertise, investment or
assets brought into the venture by the different partner.
13. Why did GM not simply license its technology to SAIC? Why did it not
export cars from the United States?
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17. Why has the joint venture been successful to date?
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19. Because of good communication,cooperation & coordination
Common goals & shared vision among partners
Dedication towards the success
Proper sharing of profits & benifits
Proper planning & research priori to the incorporation of the
Joint venture.
20. As of 2015 GM appears to be increasing its strategic commitments to
China, building more factories and opening more dealers. Why is the
company making these bets? Do you think it is doing the right thing??
What are the potential risks here?
22. Do you think it is doing the right thing?
I think...
Because of In 2008with the U.S. going
through a recession.
GM is doing the right thing.
23. What are the potential risks here?
Barriers to entry for
potential new
competitors.
24. General Motors Company, aka GM, founded in 16 September 1908, is an American
multinational corporation headquartered in Detroit, Michigan that designs, manufactures,
markets and services.
25. SAIC Motor Corporation Limited (informally SAIC, formerly Shanghai Automotive Industry
Corporation) is a Chinese state-owned automotive design and manufacturing company
headquartered in Shanghai,China, with multinational operations
26. GM and Shanghai Automotive Industry Corporation(SAIC) create joint venture to develop
Electric Vehicle’s for China
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