General Motors would probably be considered as the leader of designing, producing, and selling the world’s best vehicles (Gm.com, 2014). As a result of the leadership, they set the high standard for the company, as well as provide customers with the best cars, trucks, and SUVs. They also have the commitment of organization that they “deliver vehicles with compelling designs, flawless quality and reliability, and leading safety, fuel economy and infotainment features” (Gm.com, 2014). Due to the stable components, they are now operating the vehicle companies with 7 brand subsidiaries in 140 countries around the world. Those subsidiaries are including Chevrolet, Buick, GMC, Cadillac, Opel, Vauxhall, and Holden (Gm.com, 2014). Anyway, there is no argument that the vehicles are important in the daily life of people. The vehicles could possibly be the fifth requisite of human. In fact, the demand of purchasing vehicles should rapidly increases all over the world due to the needs of people. In contrast, there is a decreasing of selling vehicles recently which is causing from the moribund economy. In addition, there are a large number of vehicle companies in the market trying to attract customers such as creating the innovation and organizing the promotions. As a consequence of that General Motors strongly need to have a rescue plan that focuses on the development of a new venture. The new venture must create rapid revenue growth for Holden. However, this report is going to discuss in term of GM about how this venture would be established, the expected impact would has on the overall organization, and an analysis of foreseeable problems, as well as proposed solutions of Holden subsidiary.
The Creation of New Venture
Regarding to General Motors is specializing on building the vehicles with the innovation, but it is not a strong brand in Australia. Due to that the new venture of Holden subsidiary strongly need to be something new and different in order to be more outstanding than other companies. Based on human needs, people always need the comfortable things. Due to that the rescue plan that focuses on the development of new venture can possibly be a program which is called “Oden”. Oden would be installed in all new models of Holden from now on. In addition, Oden is the program would provide drivers more convenience and comfortable while driving cars. Moreover, Oden is created by using the new technology. Oden can obviously communicate with drivers, as well as it provides drivers with the choices of male or female’s voice. As a result of that, Oden would systemically help drivers being a friend while they are feeling asleep. Apart from that, Oden efficiently helps drivers discovering the routes when they get lost, as well as recommending the popular places such as restaurants, hotels and resorts, hospitals, department stores, and other significant places. Besides, Oden would help to find the nearest wanted places in case of the emergency situation. Anyway, this venture would be firstly established by brainstorming of skilled people in the organization in order to get as much as useful information about technology, marketing, financing, and operating. Secondly, General Motors might officially do the survey from the targeted customers like businessperson who are officially our target mar get as well. Next, the involved people might set the plan of operation such as estimating the budget, exploring the materials, marketing, and producing. Lastly, once Oden is produced, the engineering team strongly needs to test it before selling in the market.
The Overall Organizational Impacts and the Analysis of Foreseeable Problems
As a consequence of launching Oden to the market, it might possibly contribute to the impact on the overall organization. Due to the new venture, Holden subsidiary may be failed or succeed in the market. The product development could be failed in the market. As a result of that the