General Motors presentation 2022

About Your Signature Assignment Signature/Benchmark Assignments are designed to align with specific program student learning outcome(s) in your program. Program Student Learning Outcomes are broad statements that describe what students should know and be able to do upon completion of their degree. Signature/Benchmark Assignments are graded with a grading guide or an automated rubric that allows the University to collect data that can be aggregated across a location or college/school and used for course/program improvements. Purpose of Assignment The purpose of this assignment is to allow students the opportunity to present a business idea supported by strong financial information. The student will be able to identify the possible challenges of doing business in a foreign country and how to approach them. Assignment Steps Resources: Microsoft® PowerPoint®, Signature Assignment: Financial Statement Analysis and Firm Performance Template Prepare a 16- to 20- slide Micr

General
Motors

Executive Summary
 General motors is an American
multinational corporation.
 The report consists of the business and
the financial analysis of the GM
 Moreover the company is trying to find
the ways to invest $300000
 The company is expanding the business
in China, with the electric cars.

Description of the Country
 The automotive industry in China has been
termed as the largest since year 2008.
 China provides a solid base for the
companies engaged in the business of the
automobiles globally.
 China’s entry into the World trade
Organization accelerated the development
of the million of the vehicles.

Business description and
Structure
 General Motors is commonly known as GE Motors
 Its headquarters are in Detroit, Michigan US
 The company came into existence in the year
1908, 110 years ago (General Motors, 2018).
 The company has around 396 facilities on overall
six continents (General Motors, 2018).
 The key persons involves in the business are Mary
T. Barra who is chairman as well as CEO of the
company.
 The company operates in the automotive industry

Organizational Structure of
General Motors
 The general motors has a regional division structure
notably as
 Regional Segments
 Business-Type Decisions
 Corporate Functional Groups
 The general motors regional segments involve
 GM North America
 GM Europe
 GM International Operations
 GM South America
 The business-type divisions are
 Automotive
 GM Financial

Market and Company Analysis
 Profit
The profit of the company is $7916
 Revenue
The revenue of the company is $147049
 Products services
The primary products delivered by the
company are automobiles, automobile
parts and the commercial vehicles.

Market trends and development
 According to GM the two new-vitality
models are to be included, the Velite 6
module half breed electric vehicle and the
Velite 6 electric vehicle to its new-vitality
armada, including the Regal Hybrid, Velite
5 and LaCrosse Hybrid, all sold under the
popular Buick identification.
 All around, the organization has just said a
"significant" portion of GM's 20 new all-
electric vehicles to be presented by 2023
will be sold in China.

How to use the funds
 The total value of $300000 is to be utilized for
the purpose of the initial investment.
 The funds can be financed through the debt and
the equity. Since the debt ratio of the company
is smooth the company can invest majorly in the
development of the manufacturing of the
electric cars (South China Morning Post, 2018).
 The products that are used in the development
of the electric car are the batteries, spare parts,
automobile engine.

Marketing and Sales
Operational Plan
 Earnings Growth
It can be achieved by strong team
management. The costs savings are
expected around $2.4 billion (Panamore,
2018).
 Disciplined capital allocation
Best-in-industry capital allocation
framework underpinned by transparency

 Strong Protection and enhancement
With regards to robotized driving
innovation, the organization is
additionally adhering to its arrangement
of taking what it portrays as a
"progressive" course towards enormous
scale business generation of its key
model, the Cruise by 2019 (Kittaneh,
2018).

Financial statement forecasts
Projected Financials
Particulars 2018 2019 2020 2021
Consolidated statements of income
Net Sales 147049 161754 177929 195722
Cost of the products sold 132771 139410 146380 153699
Gross profit 14278 22344 31549 42023
Research and development 0 0 0 0
Selling and administrative expenses 7545 7620 7697 7774
Earnings before interest and tax 6733 14724 23853 34250
Less: interest expenses 655 1340 1326 1390
Other income/expense net 1819 18450 19254 18654
Earnings before tax 7897 -5066 3273 14206
Provision for income tax 474 1021 1145 1210
Minority interest 3917 132 141 154
Net income/Loss 4454 -4177 4277 15262
Net income attributable to Kraft 4454 -4177 4277 15262
Preferred dividends
Net income attributable to common shareholders 4454 -4177 4277 15262

Projected Financials
Particulars 2018 2019 2020 2021
Consolidated Statemnet of the Financial Position
Cash and Cash Equivalennts 15944 17538 19292 21221
Short term investments 5966 6563 7219 7941
Trade Recievables 6549 7007 7498 8023
Inventories 9816 10110 10414 10726
Other current assets 3392 3324 3258 3193
Total current assets 41667 44543 47681 51104
Property, plant and Equipment 38758 41083 43548 46161
Goodwill 461 475 489 504
Intangible assets (net) 3718 3792 3868 3946
Other assets 31942 32261 32584 32910
Total Assets 116546 122155 128170 134624
Liabilities and Equity
Accounts payable 22297 22966 23655 24365
Other liabilities 6697 6764 6832 6900
Total current Liabilities 28994 29730 30486 31264
Long term liabilities 12637 34985 35986 37852
other liabilties 29265 14560 15987 16150
Total non-current liabilities 41902 49545 51973 54002
Shareholder's Equity
Common Stock 14 14 14 14
Retined earnings 29112 26240 27578 29782
Treasury stock -9039 -8745 -8864 -8045
Capital Surplus 25563 25371 26983 27607
Total Stock holder's Equity and Liabilities 116546 122155 128170 134624

Business health
assessment
 The business health assessment is necessary
to find out the financial health of the company.
 The performance of the business is
ascertained with the help of the ratio analysis.
 The ratio analysis is done on the basis of the
five parameters such as profitability, solvency,
efficiency, liquidity and market value

Profitability
Profitability 2017 2018 2017 2018
operating
margin
opertaing
income 10664 4445 7.3% 3.0%
total revenue 145588 147049
Return on
Equity Net income -3864 7916 -15.2% 30.9%
Total equity 25371 25577
return on net
asset Net income -3864 7916 -13.7% 7.8%
(fixed
asset+net
working
capital ) 28107 102098

Efficiency Ratios
Activity
Ratios 2017 2018 2017 2018
Return on
sales Net sales 145588 147049 0.69 0.65
Total Assets 212482 227339
Inventory
Turnover
Inventory *
365 3891995 3582840 30.70 29.69
Cost of
goods sold 126784 120656
Accounts
Receivable
Accounts
Receivable *
365 2979860 2390385 20.47 16.26
Net Sales 145588 147049

Liquidity Ratio
Liquidity 2017 2018 2017 2018
Current
Ratio
Current
Assets 68744 75293 0.89 0.92
Current
Liabilities 76890 82237

Solvency Ratios
Capital
Structure 2017 2018 2017 2018
Debt to Equity
Ratio Debt 10987 7865 0.43 0.31
Equity 25371 25577
Times interest
coverage ratio EBIT 10664 6733 18.55 10.28
Interest 575 655

Market value ratios
Investment
ratios 2017 2018 2017 2018
EPS Net income -3864 7916 -1.52 3.10
Weighted
Average
Equity 2537 2557

References
 Panamore, (2018). General Motors’ Organizational
Structure for Flexibility in Regional Markets. Retrieved
from
http://panmore.com/general-motors-organizational-struct
ure-flexibility-regional-markets
 South China Morning Post, (2018). GM gears up for rapid
new-energy vehicle expansion. Retrieved from
https://www.scmp.com/business/companies/article/21493
13/gm-gears-rapid-new-energy-vehicle-expansion
 Kittaneh, F. (2018) 6 Growth Challenges Your Business
Will Face (And How to Overcome Them). Retrieved From:
https://www.inc.com/firas-kittaneh/6-growth-challenges-y
our-business-will-face-and-how-to-overcome-them.html
 General Motors, (2018). Annual report. Retrieved from
http://www.annualreports.com/Company/general-motors