Course Code: MGNM584 Course Title: INTERNATIONAL BUSINESS

ENVIRONMENT-II
Course Instructor: Mr. Parul Sharma

Academic Task No.: 02 Academic Task Title: Assignment

Date of Allotment: 01/05/2024 Date of submission: 11-05-2024

Student’s Roll No.: Student’s Reg. no: 12206732

RǪ2240B45
Evaluation Parameters: modes of entry, CSR Activities

Declaration:

I declare that this Assignment is my work. I have not copied it from any other
student‟s work or from any other source except where due acknowledgement is
made explicitly in the text, nor has any part been written for me by any other
person.

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 Company: General Motors

Contents
Company.......................................................................................................................................................2
Abstract........................................................................................................................................................3
Introduction.................................................................................................................................................3
General Motors' Modes of Entry in Geographic Expansion..........................................................4
Critical analysis of the business strategies adopted by the organization and the technological
innovations to have a competitive edge in the market
.............................................................................................................................................................
5
CSR initiatives to address environmental concerns........................................................................6
Change in the business operations....................................................................................................7
Conclusion....................................................................................................................................................8

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Abstract: General Motors (GM) has proactively increased its worldwide footprint by entering new
markets through a variety of channels, such as partnerships, joint ventures, acquisitions, and
subsidiaries. Through smart acquisitions like Cruise Automation and business partnerships in China,
General Motors (GM) has been able to expand its market reach and competitiveness. GM's emphasis
on autonomous driving and electric cars (EVs) highlights the company's dedication to sustainability
and innovation. Its leadership in future mobility is demonstrated by its investments in the Ultium
platform. GM's environmental stewardship is demonstrated via its CSR programs, which include
carbon neutrality aims and sustainability goals. GM's operational agility and resilience are
demonstrated by its adjustments to external events like as geopolitical concerns.

Introduction: GM, or General Motors, is a global American automaker with its headquarters
located in Detroit, Michigan. Founded by William C. Durant in 1908, General Motors (GM) has grown
to be one of the biggest automakers in the world. The illustrious past of the corporation includes the
amalgamation of multiple automakers under its purview, including Buick, Oldsmobile, Cadillac, and
Chevrolet. In the automotive sector, General Motors (GM) has been a trailblazer, bringing new products
and services to customers. GM has diversified its business throughout the years, running factories in
eight nations and investing in companies such as Baojun, Wuling, and BrightDrop. GM's carbon
neutrality and all-electric future projects demonstrate the company's commitment to
sustainability. With a vision centered on zero collisions, zero emissions, and zero congestion, General
Motors (GM), a major participant in the automobile industry, is once again setting the standard for how
mobility will develop in the future.

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General Motors' Modes of Entry in Geographic Expansion
Over the past ten years, General Motors (GM) has actively increased its worldwide footprint by
entering a variety of markets across the globe using a variety of entry strategies. Among these entry
points are:

Joint Ventures

 To take advantage of local knowledge and resources, General Motors (GM) established joint
ventures in strategic markets such as China.
 Through these joint ventures, GM has been able to meet local demands and gain a firm presence
in the expanding Chinese automotive industry.

Acquisitions

 To strengthen its position in cutting-edge industries and technology, General Motors has made
strategic acquisitions.
 GM's position in the autonomous driving market has been reinforced with the acquisition of
Cruise Automation, a pioneer in the field of autonomous car technology.

Strategic Partnerships

 To get access to new markets, technologies, and resources, GM has formed strategic alliances
with several organizations.
 These alliances have helped GM innovate and expand in cutthroat international marketplaces.

Establishing New Subsidiaries

 This approach has helped GM to improve its market position through localized operations and
better fulfill the needs of certain geographic regions.
 GM has established new subsidiaries in key markets to develop a local presence and personalize
its offers to regional tastes.

Exports:

 GM has achieved quick entry into new markets, while with less control and local knowledge
compared to other ways.
 By using exports as a mode of entry and marketing and directly selling domestically
manufactured items in foreign markets.

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Critical analysis of the business strategies adopted by the organization
and the technological innovations to have a competitive edge in the
market:
Business Strategies:

 GM has pursued a multi-faceted approach to global expansion, which includes joint ventures,
acquisition, strategic alliances, and the formation of new subsidiaries. This approach has
allowed GM to diversify operations, tap into emerging markets, and take advantage of local
knowledge and resources.
 GM has set itself the goal of achieving an all-electric future and has invested heavily in the
development and production of electric vehicles (EVs).
 This strategic shift toward electrification allows GM to meet the increasing demand for
sustainability mobility solutions. GM has also refined its strategies for diversifying operations
in regions such as South America, Europe, and Asia, demonstrating its ability to adjust to
changing market trends.
 The acquisition of GM Cruise Automation strengthens GM’s autonomous driving technology
capabilities, positioning it as a leader in innovation in the auto industry.

Technological Innovations:

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  GM’s Ultium platform is a cutting-edge electric vehicle (EV) architecture that promises more
range, better performance, and greater scalability. This technological innovation is at the heart
of GM’s EV strategy and the company’s ambition to be at the forefront of mobility in the future.
 GM’s investments in autonomous driving through its Cruise subsidiary have led to significant
advances in autonomous driving capabilities.
 GM has expanded its mobility solutions to include other forms of transportation such as
bicycles and motorbikes as well as trains and buses.
 GM continues to invest in data and connectivity in order to improve customer experience and
optimise operations.

CSR initiatives to address environmental concerns:

1) Commitment to Sustainability and Carbon Neutrality:
 General Motors (GM) has set itself the goal of having an all-electric future and is investing
massively in the development and production of electric vehicles (EVs).
 The company has set a goal of achieving carbon neutrality by 2040, demonstrating its
commitment to environmental stewardship.
2) Renewable Energy Investments:
 GM has invested in renewable energy sources to reduce its environmental footprint.
 The company's focus on the use of renewable energy is an important part of sustainable
development initiatives.
3) Eco-Friendly Practices:
 GM has put in place different environmentally friendly procedures in its operations to reduce
the company's impact on the environment.
 These practices probably involve actions to decrease waste, preserve resources, and
encourage sustainable manufacturing methods.
4) Environmental Initiatives in Local Communities:
 Although the search results lack specific information, it is typical for major companies such as
GM to implement CSR projects that focus on environmental issues in the communities they are
located in.
 These efforts may involve planting trees, cleaning beaches, providing environmental education,
and executing community-centered environmental endeavours.

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Change in the business operations:
General Motors (GM) has probably adjusted its business practices due to external influences such as
geopolitical tensions related to areas like Russia and Ukraine. Although the search results do not
mention the exact modifications made by GM in response to these external factors, it is implied that
companies such as GM could have made operational changes to address geopolitical challenges:

 Supply Chain Diversification: GM might have expanded its supply chain to decrease
dependency on areas impacted by political conflicts. This may entail obtaining parts from
different suppliers or relocating manufacturing to more stable areas to reduce risks linked to
supply chain interruptions.
 Risk Assessment and Contingency Planning: GM might have completed comprehensive risk
assessments to pinpoint vulnerabilities related to geopolitical uncertainties. Afterwards, the
company may have created backup plans to deal with possible interruptions and guarantee the
ongoing operation of the business.
 Market Expansion and Diversification: To address challenges in certain regions, GM may have
concentrated on entering new markets or broadening its product range to lessen reliance on
regions affected by external influences.
 Regulatory Compliance and Adaptation: GM may have modified its activities to adhere to
updated regulations or trade policies that have arisen due to geopolitical conflicts. This may entail
changing production methods, delivery methods, or product details to comply with changing rules
and regulations.

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 Strategic Partnerships and Alliances: GM could have formed strategic partnerships or alliances
with local organizations in regions not impacted by geopolitical tensions in order to enhance its
market position and guarantee operational stability.
 Shift Towards Technology and Innovation: More funding towards researching and developing
electric vehicles (EVs), autonomous driving technologies, and connected car features.
Concentrate on improving fuel efficiency and minimizing the environmental footprint of their
cars.
 Sustainability and Environmental Initiatives: Investing in sustainable energy sources for
manufacturing facilities. Creation of materials that are more environmentally friendly and can be
easily recycled for manufacturing vehicles.

Conclusion
1) Diverse Modes of Geographic Expansion:
 GM has employed various methods of entry, such as joint ventures, acquisitions, strategic
partnerships, and setting up new subsidiaries, in order to grow internationally and enter new
markets.
 This multifaceted strategy has allowed GM to utilize local knowledge, resources, and market
understanding to enhance its global competitive stance.
2) Focus on Electrification and Autonomous Driving:
 The development of electric cars (EVs) and autonomous driving technology has been at the
core of General Motors' business strategy.

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  GM is now positioned as a leader in the field of sustainable and autonomous mobility thanks
to its investments in the Ultium platform and its acquisition of Cruise Automation.
3) Commitment to Environmental Sustainability:
 GM has implemented multiple CSR projects to tackle environmental issues, like pledging to
achieve carbon neutrality by 2040 and putting resources into renewable energy sources.
 The company's commitment to environmental stewardship is evident through its emphasis on
sustainability and eco-friendly practices.
4) Operational Adaptability to External Factors:
 GM likely adjusted its business operations to respond to external factors such as geopolitical
tensions, diversified its supply chain, conducted risk assessments, and formed strategic
partnerships to ensure operational sustainability.
 This adaptability enabled GM to navigate a complex external environment and maintain its
competitive advantage.
5) Holistic Approach to Strategic Growth:
GM has shown a comprehensive and proactive approach to driving long-term growth and success
in the global automotive industry by coordinating its geographic expansion, business strategies,
technological innovations, and environmental initiatives.