International Business: GM and Ford Global Strategy

Running head: Management
INTERNATIONAL BUSINESS
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Management 2
Executive summary
International business strategy requires various factors that put into consideration before
deciding on the strategy to use. The global strategy of General Motors and Ford motors
companies are the key focus of the paper. Firtsly, the paper provides overview of GM motor joint
venture with SAIC in China that has largely contributated to success of the company in Chinese
the largest car market. The joint venture global business strategy is an area that gives the benefits
and potential risk expected from the venture of GM into Chinese market. Continous comitement
of GM to Chinese market and personal reflection are two other areas that the paper discusses in
detail. Secondly, the paper also explores the Ford Global Platform Strategy that increase
company’s growth differentiating from the previous regional strategy that had many limitations.
Benefits of standard car building platform for competetiors and personal reflection are critical
issues that are also evaluate based Ford Global Platform Strategy. The paper conclude by
recognising the importance of global strategy that maintains growth, strategy and competitivenss
of firm in the market.

Management 3
Table of Contents
A. General Motors and Chinese Joint Ventures..................................................................3
Case overview......................................................................................................... 3
1. GM entered the Chinese market when demand was very limited.....................3
2. Why GM entered the Chinese market through a joint venture with SAIC..........4
3. Why GM did not license its technology to SAIC.................................................5
4. Why joint venture has been successful.............................................................5
5. GM increase commitment to China...................................................................6
B. Ford Global Platform Strategy................................................................................... 7
Case overview......................................................................................................... 7
1. Strategy Ford used before Alan Mullaly............................................................8
2. Recommendation for Ford strategy..................................................................9
3. Sharing building platforms to standardize operations.....................................10
Reference.................................................................................................................... 11

Management 4
A. General Motors and Chinese Joint Ventures
Case overview
The case scenario gives an overview of the GM motor joint venture with SAIC in the
Chinese automotive market that has ensured the success of the company in the international
market. The company was attracted to China’s potential market created with its 1.4 billion
population and other investment opportunities. The company has a result has increased its
manufacturing capacity in the country to match the high demand and is expected to increase
production due to forested increase in demand. The demand for the vehicle in the Chinese market
is expected to increase from 28 million to 35 million in 2022. This requires the company to
increase its production capacity and GM motors are building more factories in China for this
demand.
1. GM entered the Chinese market when demand was very
limited
The GM motors company entered the Chinese market at the time when the demand was
limited since the company was attracted to the potential market. The population of the country of