in mid 90s’, so the buyers were willing to buy new vehicles. The auto industry is highly competitive market and sales depend on strong commercial campaigns, the power of the buyers is so strong on the company. C.FirmStarting from 1920s, GM’s major objective is “A car for every purpose, a car for every pocketbook”. By applying this objective, GM has been the world's automotive sales leader since 1931. GM set industry sales records in the United States - its largest market - for total trucks and for sport utility vehicles. After the new management team was installed in 1993, they decided to change the organizational structure of the company by the suggestion of new marketing manager Ron Zarella. As a part of this, the company created GM North American Operations as a major new company and the new product development structure called “The Aurora” or “G-car”. Aurora’s general mission was “to have a clear market-driven focus, retain the uniqueness of its products and take advantage of North American Operations-wide economies of scale facilitated by the use of common parts, processes, and systems throughout the operations”. Zarella also decided to use the brand management system after long internal study and discussions. Basically, the idea of the brand management system was that the brand managers worked with a brand product development manager and a vehicle line engineer under whom the brand was being developed. Their task was to lead 10-member brand management teams such as customer satisfaction, public relations, sales, service and distribution. The goal of this system was to bring the marketers and product designers closer, define distinct images for each brand and model, engineer those cars to meet customer needs and then effectively market the cars and trucks to the target customer. By this system, GM’s decision making platform was flattened, the time for designing...
