Reasons

• Rising competition from foreigner car makers

Japan and Europe markets
An oligopoly industry
lack of a clear plan for competitions
Reasons

• Rising fuel prices

oil crisis
oil prices rise day by day
Reasons

• Unsuccessful lines of automobiles.

the Vega and the Chevette…. Outdated brands
No move on hybrid
automobiles fuel efficient
Reasons

The collapse of the American economy and Frezing credit

The Great US Recessions

Subprime mortgage crisis
How to handle

Bailout by US Govt

11 billion U.S. dollars

How to handle

reorganized company
bankruptcy chapter 11 fill
Rebirth of GM
Restructured
New polices
new lines
New management
How to handle

Changes in management

New executives have been brought in to overhaul the company. This is one of the
most important changes, as the previous management team was held responsible
for the misfortunes of the old General Motors.
How to handle

Transfer to a greener company

• GM was to become a greener company with a focus on hybrids, fuel cells, and
other clean technologies. 
How to handle

Discontinuation of less profitable models

.Many of these models have been sold to foreign companies

. Focusing on more profitable lines should help ensure GM has a better future .