Will General Motors Company (NYSE:GM) Be Able To Make Inroads Into China?
China is an emerging market with great potential primarily due to its vast population. To a great extent, this market has remained untapped by automobile companies that want to sell electric-operated cars. General Motors Company (NYSE:GM) feels that it will be able to make an impact in this space. Very recently, the company held a workshop in Shanghai.
At this workshop the company showcased certain aspects of the company’s long-term vehicle-electrification strategy. It already has twelve different joint-ventures in China and 2, 100%-owned foreign enterprises. The company also has over 58,000 employees in the country. In 2012, General Motors Company (NYSE:GM) sold over 2.8M vehicles in China and is hoping that the number of electric vehicle sales will grow too.
The carmaker already sells a Buick LaCrosse eAssist in China but will be launching a new model of the same that will operate on light-electrification technology. The other launch is the Cadillac Escalade Hybrid that will have full-hybrid technology. These are just some the launches that the company has planned. However, General Motors Company (NYSE:GM) is not going to find making inroads into this space an easy task. There are very few pockets in the country that actually accept and are able to afford and adapt this new technology.
In Tuesday’s trading, General Motors Company (NYSE:GM) dropped by 2.76%. The opening price of the shares was $35.25, which climbed to an intraday high of $35.27 and dipped to a close of $34.21. Approximately 23.66 million shares were traded on Tuesday while an average volume of 16.15 million shares were traded over a 30 day period. The 52-week low of General Motors Company (NYSE:GM) shares is $23.19 and its 52-week high is $37.97. The company has a market capitalization of $50.77 billion. The company is engaged in designing, building and selling trucks, cars as well as car parts on a global basis.