33611A IBISWorld Industry report page 25 refers to General Motors’ large downsizing that took place in 2009 after filing bankruptcy. As a result, General Motors’ debt was lowered from 95 billion to 17 billion. New advancements in automotive technology have been a cause for GM’s recent success, with vehicles such as the Volt and Chevrolet Bolt. The creation of these models have brought in a new customer base, and was the perfect opportunity for GMC to expand into new markets. At 15.6 %, GM has the leading market share compared to its American automotive rivals. As consumer confidence drops and oil prices rise (per the report), consumers are likely to slow their new car purchases, or to purchase more affordable options like some of the cars GMC offers.
44111 could be used but not may not have as much information to offer, as this report deals with car dealership as opposed to the other report which deals with manufacturers. This report indicates that GM dealerships are likely to remain unchanged. Based on Google Finance and Yahoo Finance, how well do you feel your selected firm is performing financially; also please explain the
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These changes could pay huge dividends to investors willing to take a risk in a market that is constantly being challenged by improvements in ride sharing and autonomous vehicles. GM has invested in a $1.5 billion plan to repurchase stock. Through this new initiative, they have been able to raise the net payout to investors. GM estimates to pay out over $7 billion dollars and an impressive 13.4% yield this year. GM has shown to be a resilient company. They continue to try and improve their financial health in an ever-changing industry that seems to try and squeeze them out every year. They are taking the right steps to maintain financial security to shareholders as they continue transforming their business model to fit the current business