General Motors is facing defect problem right now.

GM has been recalling cars since last winter due to its defection. Now, it is retrieving another 40,000 cars around the world. And its product, Impala, was recalled due to MANY DEFECTIONS like transmission defect, ignition and joint problem. It’s not a surprise that the national institution, NHTSA, required investigations into the quality of the cars by GM.

I came up with some suggestions under this circumstance. Firstly, they should focus more on the inspection part of the cars. Products have to meet PoP of the industry to get itself into the game. However, GM failed to achieve even PoP in quality. Besides, they also need to develop better customer relations and wider channels. These parts became especially useful when GM might want to take responsibility of there mistake. Good customer relations keep consumers trust even after the defection and broad channel grants GM a chance to win customers back.

GM, survived through government bailout in 2009, should find its own approach to regain population instead of relying merely on the fund it has. Neither should its glorious history stiffen it from producing better(meeting PoP) and more innovative(with PoD) products.
Picture Source: http://www.politico.com/news/stories/0512/76349.html

Reference:

Kessler, Aaron “GM recalls Impalas and Cadillacs Over Risk of Brake Fire” www.nytimes.com <http://www.nytimes.com/2014/09/21/business/gm-recalls-impalas-and-cadillacs-over-risk-of-brake-fires.html?mabReward=RI%3A12&action=click&pgtype=Homepage&region=CColumn&module=Recommendation&src=rechp&WT.nav=RecEngine&_r=0> Sep 20, 2014

“GM made $22.6 billion, we lost $10.6 billion”<http://money.cnn.com/2014/05/29/news/companies/gm-profit-bailout/> CNN,  May 29, 2014

Cubbon, Paul”Intro to Positioning and Value Propositions”(video) <http://vimeo.com/49370591> posted on course prep