Business Analysis: General Motor Company

In the last few decades, America’s automotive industry has been losing revenue, decline of market share, and employment reduction but international business in the auto industry has been the opposite. For instance, General Motors (GM) have been doing poor in the automotive business while Honda, a Japanese manufacture have been increasing their sales, market shares and employment.

General Motors have been in business since 1908 to present, they have American International Company headquartered in Detroit, Michigan that creates, builds, markets and deal out cars and automobile parts and vends financial services. General Motors has been known to produce cars in several countries under ten brands which are Chevrolet, Buick, GMC, Cadillac, Opel, Holden, Vauxhall, Wuling, Baojun, Jie Fang, UzDaewoo. Additionally, it has a number of partnerships with Shanghai GM, FAW-GM in China, GM-AvtoVAZ in Russia, Ghandhara Industries in Pakistan, GM Uzbekistan, General Motors India, General Motors Egypt, and Isuzu Truck South Africa. General Motors does business in 157 countries. General Motors have five business segments which are GM North America, GM Europe, GM International Operations, GM South America and GM Financial. General motors is known for their creation of fast muscle cars like the Camaro and the useful trucks like the Silverado. The Camaro has been marketed through television commercial or most famously through movies like transformers. The Camaro is a well-known vehicle that was built to compete with the ford mustang. The Camaro was created in 1966 and has been alternating model till this day. Vehicle has astonish look that the amount of horse power which attract mainly men. On the other hand, the Silverado is known for other uses ...

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...f the industry average, suggesting that there has been a relatively successful effort in the management of debt levels. Although the business had a strong debt-to-equity ratio, its quick ratio of 0.81 is fairly weak and could be cause for future problems. General Motors has experienced a steep drop in earnings per share in the most current quarter associated to its performance from the same quarter a year ago. The company has grieved a declining form of earnings per share over the past two years. However, the company anticipate this trend to inverse over the coming year. Throughout the previous fiscal year, GM informed lower earnings of $2.35 versus $2.93 in the prior year. Matched to where it was a year ago, the stock is still up and by the stock's price rise over the last year has driven it to a level which is slightly costly compared to the rest of its industry.