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This research provides a brief marketing analysis of the General Motors Corporation. General Motors competes in several major industries, of which the three most significant for the company are the automobile and truck manufacturing industry (Leach, 1990c), the aerospace and defense industry (King, 1990), and the computer software and services industry (Novick, 1990). As the company's activity in the automobile and truck manufacturing industry accounts for 87 percent of total sales at General Motors (Leach, 1990c), however, this marketing analysis is restricted to that industry. General Motors is a worldwide company. In 1989, the company had a 17.9 percent market share of total worldwide automobile and truck sales (Leach, 1990c). Foreign sales, however, accounts for only 16 percent of the company's total sales (Leach, 1990c); therefore, this marketing analysis is restricted to the company's participation in the American automobile and truck market.

UNCONTROLLABLE VARIABLES

The uncontrollable variables of greatest concern to General Motors in 1990 are those related to economic conditions, foreign competition, the preferences of a growing number

1 2of American automobile purchasers for foreign cars, and governmental action (Leach, 1990a). In the early fall of 1990, the American economy is just entering, or it is poised to enter, economic recession. A recession in itself is sufficient to impact significantly the level of automobile sales. In the early fall of 1990, however, the economy is also beset with rising gasoline prices resulting from the political crisis in the Middle East. General Motors analysts project that total new vehicle sales in the United States decline 500,000 annually for each 15 cent increase in gasoline prices (Leach, 1990a). In the United States, the average price of a gallon of gasoline has increased 30 cents since the beginning of the current Middle East political...