There is a lot of fanfare today about the success of GM to date as it turns around the bankruptcy of a couple years ago. Let’s look at the nature of this success, which may offer voters an insight into patterns of successful competition as it stands today.
So, what does the new GM look like? A few nuggets from the registration statement:
- 33 percent of its sales come from North America;
- 44.5 percent come from Asia-Pacific, South America, Russia, Eastern Europe, Africa and the Middle East, including a market-leading position in China;
- 43% of its vehicles are manufactured in regions of the world where the “all-in” labor cost is under $15 an hour;
- Its U.S. pension plans remain underfunded by about $17.1 billion.
Here’s wishing the new GM success.