Chevrolet Internal and External Factors

On November 3, 1911, Swiss race car driver and automotive engineer Louis Chevrolet co-founded the Chevrolet Motor Company in Detroit with William C. Durant and investment partners William Little and Dr. Edwin R. Campbell and in 1912 Internal and External Factors Many external and internal elements affect the way in which companies are controlled. Chevrolet, among the Large 3 Automobile Producers in the United States of America. Globalization, technology, advancement, variety as well as ethics all influences the 4 tasks of administration.

Administrators should think about these impacts while scheduling, organizing, leading as well as managing. Managing the functions of a worldwide production organization just like Chevrolet is dynamic, with external as well as internal environments not static, administrators should be capable to respond to these types of modifications and change their administration method when needed. Even though the 4 tasks of administration are utilized to achieve objectives as well as operate a company, the external and internal elements should be kept in mind all the time.


Enterprises are global all over the world. Companies need to involve themselves with international markets. In a global environment, income is rising and demand is increasing, leading organizations to focus on external factors as in international market exchange. General Motors has their Chevrolet model in many different parts of the world. They have experienced profit gains and profit losses. The use of going global with their products is taking a step further than keeping within their own country. Chevrolet was used to make decisions about GM’s overseas expansion (Wernle, 2011).

With the technological change our society has encountered, it is expected for companies to provide a service anytime and anywhere. .GM seen that it was too expensive to make cars locally so they decided to buy companies like Vauxhall in England and allow them to keep their company names. ( Wernle, 2011 ). This allowed them to make cars locally instead of dealing with expensive tariff taxes and fees. Chevrolets’ sales increased once they decided to go global making the competition for vehicle purchase higher pressure in other leading companies.

As stated by Wernle, Bradford (2001), “Alfred Sloan believed in preserving local brands and traditions; where there were none, Chevrolet filled in the gaps”. Thus gave Chevrolet a global footprint (Wernle, 2011) Technology- Fuel efficiency, hybrid, electric Chevrolet has been using technology to push the limits of fuel efficiency for years, with gas prices at an all-time high General Motors and the Chevrolet brand has come up with new technology to fight these high gas prices. Chevrolet now offers over 9 vehicles with over 30 miles a gallon.

Chevrolet has also converted some of its more popular models such as the Chevrolet Tahoe and the Chevrolet Silverado and made them available in a Hybrid model. This new Hybrid technology has not only improves vehicles gas mileage it also is good for the environment, and the vehicle does not lose the legendary Chevrolet power. Not only has Chevrolet used technology to make vehicles more fuel efficient it has also introduced the world to the Chevrolet Volt one of the first American electric vehicles. This Volt averages 93 miles a gallon, with the ability to drive 35miles on a single charge.

Chevrolet has not only used these technologies to improve gas mileage, Chevrolet have also made these vehicles better for the environment, and all this without losing anything you’re use to when driving a Chevrolet model. Chevrolet has pledge over the next few years; they will be investing up to 40 million dollars in projects that will help reduce up to 8 million metric tons of carbon dioxide from the atmosphere (Chevrolet, 2012). Innovation Chevrolet is using innovation as a way to stay profitable and relevant in such a huge dying market.

With car sales at an all-time low, Chevrolet is banking on these new innovations to target the new younger market by broadening its customer base with new technologies that are prevalent in today’s society. In 2012 Chevrolet will introduce My Link 2; Chevrolet has phrased it “life. Simply connected (2011)”. My Link 2 will control all your cars functions as well as your smartphone controls. This innovative software will allow consumers to connect their vehicle with a smartphone. The driver will be able to use the controls on their vehicle to interact with apps running on their smartphone’s.

This technology is totally wireless, no need for cords, or wires everything is connected via Bluetooth. My link 2 offers a seven inch high resolution touch screen display, Bluetooth streaming audio, and USB connectivity. My link 2 also offers navigation, but what separates MyLink2 navigation from your ordinary navigation is that Chevrolet is “building technologies into vehicles so they never get trapped in a traffic jam can anticipate and avoid collisions, and that can safely take over the driving for sleepy, busy or distracted drivers (General Motors, 2011)”.

Diversity It is Chevrolet’s vision to develop a tradition and a company atmosphere depending on mutual regard, accountability, and common understanding. Workers diverse viewpoints assist Chevrolet impel invention, know the international market, create better goods and provide much better services. Chevrolet is devoted to creating a varied place of work by representing women and men of all traditions, ethnic backdrops, age groups, sexual orientation and physical capabilities.

Even though Chevrolet is actually a multicultural employed pool, this open method leads to a little effect on the 4 administration tasks. Scheduling concentrates on the business plans and modern corporations acknowledge variety as a key element of their company plan. Organizing that is the 2nd task of administration concentrates on organizing human resources where variety isn’t their duty. Ownership has to lay over all company tasks since variety resonates with workers, clients, and vendors. The 3rd task of administration is guiding by revitalizing the efficiency of workers.

Revitalizing workers to be more targets focused can just prove to be advantageous in any kind of company. At Chevrolet, inspiration may be used behind the line to operate quicker or on the sales area to press for increased earnings. The final task is dependent on managing that deals with modification. It is essential to control variety and create a company that’s at ease with modification. The greatest modification which a company can cope with is modern technology. Modern technology at Chevrolet is named the great equalizer.

It is named the great equalizer since it can get rid of variations among people who are of no significance, leading to eliminating favoritism or prejudice. Utilizing technological innovation may be Chevrolet’s benefit in controlling labor force variety. Ethics Since 1911, when Chevrolet began manufacturing cars, there have been many ethical issues that have arisen. Car companies have always been under attack for numerous reasons. It can be from something as small as a recall to people trying to sue manufacturers for accidents.

For years there have been ethics groups that come and go trying to improve how manufacturing is done. With the invention of unions, this created even more issues because of what employees could and could not do. Manufacturers through the years have changed the way they operate to accommodate special interest groups, unions, politicians, and numerous other entities. Most recently Chevrolet has been under attack because of the Chevy Volt. First because of the amount of time it took to release the Volt; second because of issues with the battery.

There is an ethics group that goes by the name of The National Legal and Policy Center which is currently looking into the issue. They have filed a FOIL to obtain all the records concerning the Volt. They are alleging that the government, which is a primary owner of the Volt due to the subsidies offered through the government. They have received approximately $3 Billion in state and federal dollars. (policymic. com Christine Harbin in Business, April 2012). The Volt was expected to sell 10,000 in 2011 but only sold 7,700. They planned to sell up to 60,000 in 2012; but they have yet to reach anywhere near that point.

Conclusion There are always going to be ethical questions when it comes to the automobile industry; whether it is new technology, new innovations, or new inventions to make cars smarter. Chevrolet has been in existence for over 100 years. It has been met with many internal and external problems. They have survived bankruptcy, the crash of Wall Street, and many things in between. Many times we hear them compared to foreign automakers but without realizing that there are no similarities. They have not only been around longer, they have a different structure and unions.

They have been on the cutting edge of technology and innovation for years. Chevrolet is making the necessary plans, both internal and external to keep their share in the car manufacturing industry. Over the past 100 years Chevrolet has built a name for itself and will continue to work to build better cars with the latest technology and innovation. Not only to meet the needs of the people, but to also meet the needs of the environment. Globalization not only means looking out for your local territory, but the world in which you live.