maximization most important compared to other factors. Therefore, GM should follow alternative 3. B. Justification for Selection of StrategyIn 1990-1994, GM lost its market share from 33.9 down to 32.9 and lost $29 billion. Although there were quality problems, the products were still able to compete against both domestic and foreign competitors. Eventually, marketing, product design and specification problems are significantly more important than engineering, distribution and labor costs problems.C. Description of Implementation StrategyBefore re-structuring its marketing strategy, GM has to cut the costs by closing the plants and facilities which are not functioning properly. Some of the workers should be laid off and bargain with suppliers hardly. Although this downsizing movements may make the employees nervous and panicked, it will make them understand that the sleeping giant wants to wake up and return back to the glory days again. It will also give them work excitement as long as they are made sure that top management wants to achieve the objectives and targets. At this point, strict, formal and hierarchical organizational culture should be changed, employee participation and creativity should be encouraged. After cutting the costs and giving the first impulse to the inside of the organization, new marketing team, marketing strategy and structure should be carefully designed. Marketing team and engineering should work together as one body and help each other as possible as they can and the time for designing products should be shortened. For brand management positions, not only insiders but also outsiders should be installed to get new and fresh ideas. The teams containing brand managers and engineers from different divisions should be made up to share ideas and experience to solve the quality, production and distribution problems of every division. Consumer confidence can be gained back by changing products’ characteristi...
