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BUSS4 - Peugeot and GM in strategic alliance
23rd February 2012
This article about the possibility of a strategic alliance between Peugeot Citroen and General Motors (GM) is too good to miss for BUSS4 students. It gives several points which link directly to AQA’s first three bullet points, and I think it would make an excellent introduction to the issues of such alliances in the current global and European economic climate.
The case study could be presented to students as follows:
1. Read the article and list the strengths and weaknesses of each of the companies.
2. What are the two key trends identified in the global car industry, and what do you consider to be the reasons for each of those?
3. Examine the corporate websites for both Peugeot and GM, and summarise their corporate objectives and strategy.
4. What are the likely motives of Peugeot and of GM for this potential alliance?
5. What does the BBC article indicate might be the factors influencing the success of this potential alliance, and which of these do you consider to be the most significant?
6. In your opinion, what are likely to be the greatest difficulties in successfully achieving the aims of this strategic alliance?