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Analysis of General Motors Corporation

Were it not for the government bailouts, the effects of the recession could have been much worse. Billions of taxpayer monies were used to prop up the failing firms on Wall Street as well as on Main Street.
Perhaps no other industry represents the industrial might of American power than the car industry but it is one of the worst hit by the recession. The end result was that one of the great generals in American business failed – General Motors Corporation (the other two are General Electric and General Mills). General Motors is an icon for American business and represents one of the great American traditions of owning a car as a sure sign of middle-class wealth, success and upward mobility. When General Motors went bankrupt, the government had to step and today represents a near miracle in financial terms because General Motors is being resurrected through an initial public offering (IPO). It is a very remarkable comeback for a fallen giant whose IPO is over-subscribed from a very receptive stock market and part of its success is due to its aggressive advertising campaign. Today, General Motors is one of the fastest-growing brands with an impressive line-up of new models (Vlasic amp. Bunkley 1). The new model being promoted the most to buyers is the totally electric car called the Volt.
A big part of the investor excitement in GM is it managed to sell 1.8 million cars so far this year and is piling up billions in profits. It’s recently launched a series of ad campaigns focused on its latest product model – the Volt. The advertising’s main theme is loyalty and a look to the past by citing the long tradition of GM. The ad appeals to the patriotic emotions as well as the nostalgia of prospective American buyers with the tagline of Chevy Runs Deep as the Volt is a new model produced by the Chevrolet division of General Motors Corporation.