Planning for the Chevy Volt – College Essay Example

such as Totota Prius. What impediments to prosecuting this undertaking do you believe existed within GM? Hindrances that existed at GM. which may forestall the Chevy Volt undertaking from being pursued. are deficiency of vision and deficiency of cognition in Lithium Ion engineering used to power a vehicle. So far. GM had merely developed fuel cells. but non yet on Li ion batteries. To get and retain this new engineering. it means another immense investing that can non be guaranteed success.

This may non worth sing current fiscal state of affairs of GM. Another hindrance for GM might besides be fright of failure and its related costs. with the failure of one alternate energy vehicle already neglecting. The hazard involved may be considered excessively great. In add-on. the attack or purpose in doing the vehicle may non be favourable for American consumers. The program for the Chevy Volt seems to be based partially on the premise that oil monetary values would stay high. and yet in late 2008. oil monetary values collapsed in the aftermath of a crisp planetary economic lag. a. What does this Tell you about the nature of strategic programs? This instance tells me that a set of inactive carefully thought-out strategic programs will non let the organisation to last along this uncertainness. complexness. and ambiguity universe. Merely a small-occurred event can hold a big and unpredictable impact on results.

The organisation must be able to react rapidly to altering fortunes and to change the strategic program consequently. In this instance. one ground that brought attending of consumers to alternative fuel auto was the increasing in oil monetary values. With falling down of oil

monetary values due to economic lag in 2008. the organisation might necessitate an emergent strategic program aside from its normal programs to keep the gross revenues and gross. B. What do falling oil monetary values mean for the possible success of the Chevy Volt? With falling in monetary values. consumers can pay the same sum for more sum of fuel for the auto. This collapsing of oil monetary values will alleviate the tense in fuel ingestion of consumers. They may turn back to gas gulping auto type and decelerate down the demand for electric autos and little autos. Consequently. the win gross revenues of Chevy Volt. an electric auto. might be affected by this incident. c. Do you believe oil monetary values will stay low?

I think that oil monetary values will stay low for a piece. When the planetary economic starts to recovery. demand for oil ingestion will lift once more. This increasing in oil demand consequences in higher oil monetary values. Beside the demand side. oil monetary values are besides being determined by its supply. If capacity of oil production is reduced by any grounds. this will drive the oil monetary values up in no clip. What will it take for the Chevy Volt to be a successful auto? In visible radiation of your analysis. how hazardous do you believe this venture is for GM? What are the costs of failure? What are the costs of non prosecuting the undertaking? For Chevy Volt to be a successful auto. it must supply the same benefits as those alternate energy autos already on the market. such as the Toyota Prius. It must offer the same criterion

characteristics. with similar quality. In add-on. it must be priced as an low-cost option.

Plan of Chevy Volt’s market debut in 2010 seems to be lagged behind its rivals a batch. Furthermore the monetary value ticket of Chevy Volt. $ 30. 000 – 40. 000. is really expensive comparison to already available theoretical accounts from rivals in the market. In my sentiment. risky of this venture for GM is rather high and the cost of this project’s failure can be implied as a bankruptcy state of affairs of GM.

However. if GM does non prehend the chance to bring forth a similar vehicle. the cost of non prosecuting this is to lose a big part of market portion in the car industry. as more consumers show involvement in this type of vehicle. Other companies such as Toyota and Ford Motor Company have already introduced their versions of alternate energy vehicles. The cost of failure so may intend losing significant market portion in the car industry.