1. Motors, many important factors are ignored that has

1.  This case indicates that when the decision is made in such a large organizations like General Motors, many important factors are ignored that has an effect on the decision. Different types of the information are available at the different departments. According to the engineering department, the volt is not the wise investment. The reason is that Fuel Cell Model is not the success. Making the large Lithium Ion batteries is difficult to work but it is not impossible. The complex organizations must develop and think about the strategy that is powerful to make the name in the market. For the attainment of their goals, the company must change their strategic plans, accordingly. People do not care about the price if something is new and fresh. If people get required benefit from the product they will certainly pay for it whether the cost is high.

2. The rising fuel prices and growing concerns about environmental pollution, as well as increasing research and product introductions in the area of hybrid and eco-friendly vehicles were some of the most important trends that favored Chevy Volt project. With the increase of global warming, people are interested in the form of energy that is the substitute for the fuel. The improvement in the technology makes the Lithium Ion batteries more affordable and efficient.

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3. There are various impediments that occur in the General Motors. Impediments are the stop point for the Chevy Volt project which means that they are not able to pursue their project. One of the most important impediment is the lack of vision. The other one is the lack of knowledge. The question arises, which type of the knowledge? The knowledge about the technology that is being used in powering the vehicles. The name of the technology is Lithium Ion. So far, only the fuel cells had been developed by the GM they do not have developed the lithium Ion batteries yet. For the acquiring this new type of the technology, it means that a huge investment is required. But the problem is that this new huge investment does not guarantee success to the organization. The current financial situation of the GM must also be considered. Another most important impediment is the fear of the company. This fear is about the failure of the new technology and the related costs. These costs are associated with the failure of the vehicle that is using the alternative technology. The failure, risk and the fear involved in it is very great. The approach used in making this type of vehicle is not favorable for the consumer of America.

4. (a) The case of the Chevy Volt shows us that the well established strategic plan will not help the organization to flourish during the period of uncertainty and the complexity. The organization will not go through the ambiguities of the world whether the plans are well thought out or not. The small event has the unbearable and unpredictable effects on the organization and the strategic plan does not help. The organization must be capable of changing their strategic plan according to the needs of the environment. The increase in the oil prices led the people to use fuel cars. But due to the economic slowdown that occurs in the year 2008, the organization have to maintain its sale and revenues because this economic slow down cause the oil prices to decrease.

(b) When the prices decrease, the consumers become able to pay the same amount for getting the same amount of the fuel. The collapse of the prices of oil helps the fuel consumption. The demand for the electric cars decreases. The sales of the Chevy Volt are affected by this incident.

(c) According to my thinking, the oil prices remain oil for the small period of time. When the economic conditions are back on track, the oil prices become normal. The oil prices are totally dependent on the demand and the supply conditions. When the demand rises, the price will rise. But it is also limited by its supply. If the production of the oil decrease, the price will very frequently increase.

5. For becoming successful, the company must provide the same benefits as other energy cars. The price and the quality must remain stable. The venture is risky for the GM because of its plan of the introduction and the high cost. The failure cost will be very high. The cost of not pursuing the project cause the loss of market share in the automobile industry.

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