General Motor

In China, most of Chinese, especially in the economically developed areas, still prefer the foreign automobile brands to the domestic automobile manufacturers, even though the local auto industry has grown up rapidly over the past decade, for the perception of the premium quality and the popularity. From brand recognition perspective, General Motors’ Buick has been enjoying comparatively high reputation among its counterparts of the other foreign-invested automobile manufacturers, including Volkswagen, Honda, Toyota, Ford and Peugeot in the mid-high and high class. Nevertheless, there are several approaches for SGM to continue its further growth and keep competitive advantage following the coming demand explosion in China’s colossal auto market.

1. Differentiated features and brand image

Not like VW or the Japanese autos, GM doesn’t have a vivid characteristic in China. For example, VW is proud of its German production process and high-class safety, and on the other hand, Japanese cars are normally fuel-efficient and good at interior design whereas its safety level is always controversial. GM only makes its name of ‘gas-guzzle’ in the majority. Especially, after going through the brick of bankruptcy during the recession, GM’s brand value has been depreciated a lot. This could be crucial in Chinese society where good market is more brand-oriented.

So the SGM should take measures to rebuild its brand name and differentiate itself by its advanced technology and always bringing latest models of auto into China at the same time all around the world. And it could also drive its R&D for the easy operation and practical gadgets in their cars to reach more demographic segments. In the high and mid-high end, SGM could focus on business usage and in the medium and low-end, it could be more featured on its practicability for Chinese families.

2. Quicken up the step for the next generation of new energy automobile

Sustainable development and environment...