Resume meets their desire to speak to their accountIt is my duty it is the general interestThis old term seems to become barely audibleOther voices could be heard yesterday to call for government interventionBut in his eyes the latter is manageableAnd sewn together all of this is a comedyFor the rest most of the building remained openThe geographic expansion is another issueAll committees or commissions we have openMittal is not the first global steelmakerDuring his "roadshow" that it had the United States from New York to Kansas City, General Motors tent to convince investors that it has a cost structure much more favorable that before, gage high profitability for the years to come. Analysis of the strengths and weaknesses of the constructor.
A good presence in the BRICs
No.1 world of automotive, GM boasts to occupy solid positions in the major emerging countries, which should represent them only 47 of the global growth of the sector by 2015. In Russia, in China, to the Brazil as in India, low rates of households in passenger cars equipment bode solid sales in the coming years. In these strategic countries, the Detroit giant claims a market share of 13 at the present time, consolidated in pole position before the formidable Volkswagen, which points according to 11.1. It's also better that rival domestic Ford, who later started its efforts in the BRICs.
A dual partnership with Shanghai Automotive (SAIC), GM is particularly well established in China, countries in which it has a dozen factories that operate on a rate of 120. He plans to sell this year about 2.3 million vehicles (including utilities), or a higher annual 26, in line with that of the local market. The bankruptcy of the US operations of GM, in early summer 2009, had no particular impact on its sales in the first new global market. "Here, whenever one sells a Buick, it built a capital", said Kevin Wale, President and CEO of GM China.
A portfolio of brands tightened
Saturn, Saab, Hummer, Pontiac, Oldsmobile: as many fragile marks be transferred to third parties, be removed purely and simply in recent years. Apart from a few remaining regional particularities as Opel in Europe, Vauxhall at United Kingdom or Holden in Australia, the Group refocused on four main crests: Chevrolet, Buick, Cadillac and GMC. What remove duplicates in terms of models, avoid confusion, and better identify priorities to different competitors. In the United States, this refocusing cost him a little more than 2 points of market share and costly compensation dealers fobbed. But the Detroit group feels better armed to capitalize on its strengths, beginning with Chevrolet, fourth global player in the classification of trademarks, behind Toyota, Volkswagen and Ford, with 3.5 million units sold last year, of which 2.2 million from the United States, is an increase of 54. Depending on markets, Chevrolet has either an image of American brand, or international, or play a producer at low prices as the Koreans Kia or Hyundai, and its leaders of these various arguments.
A heavy dependence on the US market
North America is largely responsible for his recent profits ($ 2.1 billion in the third quarter, a total of 2.3 billion), but GM is aware that it is here that all difficulties have begun, and that the ups and downs of the market are immediately passed on to its balance sheet. For the moment, the Group has closed many factories, reduced salary costs US 5 billion 16 billion five years ago, and disposed of its debts. He was thus able to achieve its financial equilibrium with a market share of only 18 in the US, against 25 in the past, according to Chief Financial Officer Chris Liddell.
But the true is uncertainty about the margin of growth in the US market, fell to the lowest in the crisis, with 10.4 million vehicles sold last year, against an average of 16.8 million in the period 2000-2007. GM told investors that he could identify operational profit of $ 19 billion in the future... provided that the U.S. market again with the threshold of the 17 million units. According to the IHS Automotive Institute, this would be an option for 2015. But, if the market cap at 15 million vehicles, which would be already not bad given the American economy, GM operating profit would reach more than $ 13 billion.
Another critical for staff: increasing the share of the profits realized on sales of sedans. Because, until now, the cow milk was mainly embodied by the "trucks" (SUV, 4 4, pick-up), whose relative share could decline in the future.
A very unstable management
Four CEO in 19 months: the position is not any rest at the top of the Renaissance Center, the tower which dominates Detroit. After the resignation of Rick Wagoner obtained by the Obama administration, followed by his second, Fritz Henderson, the reign of Ed Whitacre has finally been that a filler, leaving the Dan Akerson, a Director of GM. Like its predecessor, it is derived from the world of telecoms and knows little about the automotive sector. So much the better, considered to be in Washington, where one recalls how the "car guys" of the previous period have led any right the group into bankruptcy. But financial analysts feel more reassured by the substantive work done for four years at the head of Ford by Alan Mulally. It has had time to place a focus strategy, without drama and... bankruptcy.
