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General Motors: A Financial Analysis

Ahmed Alqahtani

Portland State University

Company Overview

Background

General Motors (GM) was established in 1908 by William C. Durant in Flint, Michigan.

Initially, GM functioned as a holding corporation for Buick and rapidly expanded by the

acquisition of many automobile manufacturers, including Cadillac and Oldsmobile (General

Motors, 2024). By 1911, GM had founded the Chevrolet brand, which rapidly evolved into one

of its principal divisions. The corporation expanded swiftly during the 20th century and

significantly contributed to the advancement of the American automobile sector.

General Motors became a publicly traded entity in 1916, listed on the New York Stock

Exchange (NYSE) (General Motors, 2024). Throughout the decades, the firm expanded

internationally and offered innovations including the automatic transmission and electric starter.

Nonetheless, GM encountered significant obstacles, especially in the 2000s, when heightened

competitiveness and fiscal difficulties culminated in its bankruptcy filing in 2009 amid the global

financial crisis. General Motors exited bankruptcy that year with substantial governmental

support and rebuilt its business. It re-entered the public market via an initial public offering

(IPO) in November 2010 (General Motors, 2024). Currently, GM emphasizes electric vehicles

(EVs) and autonomous driving technology, signifying a significant shift towards a more

sustainable automotive future.

Current Market

General Motors Company (GM) functions predominantly within the automotive industry,

focusing on the design, manufacture, and sale of trucks, crossovers, cars, and automotive

components. The company offers software-enabled services, subscriptions, and automotive

financing solutions via GM Financial (General Motors, 2025). General Motors' brands

encompass Chevrolet, GMC, Cadillac, and Buick, alongside a growing portfolio of electric

vehicles (EVs) designed to fulfill its objective of "zero crashes, zero emissions, and zero

congestion." GM invests significantly in electric and autonomous vehicle technologies, alongside

traditional combustion engine vehicles, as well as software services such as OnStar and EV

charging infrastructure (General Motors, 2025).

GM operates globally, with significant markets in North America, China, South America,

and additional regions. In 2024, approximately 27.9% of wholesale vehicle sales volume

originated from international markets (General Motors, 2025). General Motors' common stock is

listed on the New York Stock Exchange with the ticker symbol "GM" (General Motors, 2025).

The primary competitors in GM's market are Ford Motor Company, Toyota Motor Corporation,

Tesla, Inc., and Stellantis N.V. (Yahoo Finance, 2025). These competitors provide a combination

of traditional, electric, and hybrid vehicles, thereby intensifying competition as the global

automotive industry transitions towards electrification and smart mobility.

Company Summary

General Motors Company (GM) has developed into a prominent entity in the automotive

sector, offering a variety of vehicles, software-driven services, and financing solutions (General

Motors, 2025). GM maintains a significant presence in North America, China, and various

international markets, actively influencing the future of transportation through advancements in

electric and autonomous vehicle technologies. The company's strategic investments in

electrification and connected services highlight its vision for a future characterized by zero

crashes, zero emissions, and zero congestion (General Motors, 2025). The company is listed on
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the New York Stock Exchange as "GM" and maintains a strong competitive position relative to

major competitors including Ford, Toyota, Tesla, and Stellantis (Yahoo Finance, 2025). This

analysis will now concentrate on a thorough examination of the external and internal factors

affecting GM's operations and strategy, employing established strategic frameworks to elucidate

its current position and future trajectory.

Strategic Analysis

This strategic analysis offers an overview of the internal and external factors affecting the

performance and strategic direction of General Motors Company (GM) (General Motors, 2025).

This analysis assesses GM's strengths, weaknesses, opportunities, and threats, highlighting key

factors that influence its competitive position in the automotive sector. This analysis will

examine the external environment, encompassing market trends, economic conditions, regulatory

impacts, and technological advances, in conjunction with an internal evaluation of GM's

resources, capabilities, and strategic initiatives.

This evaluation employs the SWOT analysis framework. SWOT represents Strengths,

Weaknesses, Opportunities, and Threats, offering a systematic approach to evaluate internal and

external factors affecting an organization (Gürel & Tat, 2017). This strategic analysis employs

the SWOT framework to provide insights into how GM can utilize its capabilities, confront

challenges, and seize emerging opportunities within the dynamic automotive sector.

Strengths

General Motors' significant investment in electric vehicle technology constitutes a

substantial competitive advantage, supported by its proprietary Ultium battery platform and the

conversion of facilities like Factory ZERO into specialized EV production centers (General

Motors, 2025). This strategic commitment establishes GM as a formidable competitor to Tesla,

which has historically led the EV market, and demonstrates GM's intention to provide a broader

range of EV models at various price points (Lambert, 2024). GM demonstrates a significant

advantage in the North American truck and SUV markets, holding a 16.5% market share, which

positions it marginally ahead of Ford in various categories, including full-size pickup trucks
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(General Motors, 2025). The dominance in profitable vehicle categories affords GM substantial

cash flow for future investments. Furthermore, GM's progress in software-enabled services, such

as OnStar and the Super Cruise driver-assistance system, distinguishes it from conventional

competitors like Stellantis, which are still in the process of developing similar capabilities

(General Motors, 2025). These innovative services enable GM to improve customer loyalty and

create recurring revenue streams. GM's leadership in electric vehicle technology, robust truck

and SUV portfolio, and innovative digital services confer a significant competitive advantage in

the changing global automotive industry.

Weaknesses

General Motors possesses notable strengths; however, it also encounters substantial

weaknesses that may affect its future performance. A significant weakness is GM's historical

dependence on sales of internal combustion engine (ICE) vehicles, particularly full-size trucks

and SUVs, which continue to represent the majority of its profits despite the increasing global

transition to electric vehicles (General Motors, 2025). This reliance renders GM susceptible in

contrast to Tesla, which generates all its revenue from electric vehicles and encounters fewer

costs associated with legacy transitions (Lambert, 2024). Another weakness is GM's slow pace in

penetrating international markets beyond North America and China, especially in Europe, where

it maintains a minimal market share after the divestiture of Opel and Vauxhall (General Motors,

2025). In contrast, competitors such as Toyota exhibit robust global diversification, which

mitigates the impact of regional market fluctuations. GM has encountered multiple challenges

concerning its autonomous vehicle initiatives, including expensive settlements and strategic

setbacks within its Cruise subsidiary (General Motors, 2025). The issues highlight concerns

regarding GM's capacity to effectively compete in the rapidly evolving autonomous vehicle
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sector. These weaknesses underscore the challenges GM encounters in transitioning its

conventional business model to an industry increasingly characterized by electrification, global

integration, and autonomous technologies.

Opportunities

General Motors possesses multiple substantial opportunities to enhance its competitive

stance within the global automotive market. The expansion of the electric vehicle (EV) portfolio

presents a significant opportunity, driven by increasing global consumer demand, government

incentives, and stricter emissions regulations (General Motors, 2025). General Motors'

investment in Ultium battery technology and its expanding electric vehicle lineup across various

brands strategically position the company to gain market share from Tesla, particularly in

mainstream segments where Tesla encounters limited competition (Lambert, 2024). The

expansion of GM's software and subscription-based services, including OnStar and the Ultifi

software platform, presents an opportunity for recurring revenue and enhanced customer

retention beyond the initial vehicle sale (General Motors, 2025). Leveraging the growing demand

for connected car services enables GM to enhance its competitive stance against technology-

oriented rivals such as Tesla and new tech companies. GM's strategic emphasis on establishing a

comprehensive EV charging network via collaborations with EVgo and IONNA presents an

opportunity to mitigate a primary obstacle to EV adoption—charging accessibility (General

Motors, 2025). These initiatives facilitate GM's revenue growth, enhance customer loyalty, and

position the company as a leader in the transition to sustainable transportation.

Threats

One significant threat to General Motors (GM) is the intensifying competition in the

electric vehicle (EV) market. With growing consumer demand for environmentally friendly
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transportation, GM faces pressure from established players like Tesla, Toyota, and Ford, all of

which are accelerating their EV production. Tesla, in particular, dominates the EV market with

its cutting-edge technology and established brand loyalty. As of 2023, Tesla's market share in the

U.S. EV sector remained over 60%, posing a direct challenge to GM's aspirations of leading in

the EV space (Statista, 2023). GM has committed heavily to transitioning to an all-electric future,

but its current EV offerings are not as widely recognized or technologically advanced as Tesla’s.

Comparatively, Ford has positioned itself competitively with models like the Mustang

Mach-E and the F-150 Lightning, capitalizing on its strong brand identity in the truck market

(Ford, 2023). This gives Ford an edge in both consumer recognition and market penetration,

making GM’s journey into the EV space more challenging.

Strategic Summary

General Motors (GM) has positioned itself as a strong player in the evolving automotive

industry, leveraging significant investments in electric vehicle (EV) technology, including its

proprietary Ultium battery platform and specialized EV production centers (General Motors,

2025). This focus on EVs, alongside its leadership in the North American truck and SUV

markets, gives GM a competitive edge in established vehicle categories while enhancing its

potential to compete in emerging segments. Despite these strengths, GM faces challenges

stemming from its continued reliance on internal combustion engine (ICE) vehicles for revenue

generation and its limited international presence outside North America and China (General

Motors, 2025). Furthermore, the rapid technological advancements in autonomous vehicles and

EVs present formidable competition from Tesla, Ford, and Toyota, all of which have accelerated

their EV production and market penetration (Statista, 2023; Ford, 2023).

GM’s opportunities lie in expanding its EV portfolio, enhancing software and

subscription-based services like OnStar, and increasing access to EV charging infrastructure

(General Motors, 2025). However, these opportunities are tempered by significant threats from

well-established competitors in the EV market, particularly Tesla, which holds a dominant

market share (Statista, 2023), and Ford, whose strong brand identity in trucks and EVs makes

GM’s transition to an all-electric future more competitive (Ford, 2023). GM’s overall position is

shaped by its balance of strong capabilities in traditional markets and its ongoing effort to

innovate in response to shifting industry demands.

References

General Motors. (2024). Our history. Retrieved from

https://www.gm.com/company/about-gm/history

General Motors. (2025). Form 10-K for the fiscal year ended December 31, 2024. U.S. Securities

and Exchange Commission.

https://www.sec.gov/Archives/edgar/data/1467858/000146785825000032/0001467858-25-

000032-index.htm

Yahoo Finance. (2025). General Motors Company (GM) competitors. Retrieved April 28, 2025,

from https://finance.yahoo.com/quote/GM/competitors

Gürel, E., & Tat, M. (2017). SWOT analysis: A theoretical review. The Journal of International

Social Research, 10(51), 994–1006. https://doi.org/10.17719/jisr.2017.1832

Lambert, F. (2024, November 14). Tesla’s EV dominance faces growing pressure from legacy

automakers. Electrek. https://electrek.co/2024/11/14/tesla-ev-dominance-pressure

Ford. (2023). Ford electric vehicles and future plans. https://media.ford.com

General Motors. (2025). General Motors annual report. https://www.gm.com

Statista. (2023). Electric vehicle market share in the United States. https://www.statista.com