GM Daewoo

Korea Times...
GM Daewoo Auto and Technology plans to push for business expansion buoyed by its sharp sales increase, while the parent General Motors has faced financial distress.

Some in Korea are concerned that the issues confronting GM in the U.S. it will affect that of the Korean subsidiary.

GM Daewoo exported 720,620 cars and vehicle kits during the first nine months of 2005. This represented a 29 percent sales growth from the same period of 2004.

The Korean subsidiary marked a 263 percent increase in sales over the past three years since GM acquired Daewoo Motor in Oct. 2002.


Daewoo GM CEO Nick Reilly has stressed his commitment to aggressive investment during the company's investor relations (IR) sessions in regional cities, including Inchon, Poryong and Kunsan.

A GM Daewoo official said it is in a position to make another takeoff.

Considering the scheduled takeover of Daewoo Pupyong factory and establishment of a research and development center, I believe the status of GM Daewoo will be upgraded in the General Motors Group, Reilly notes.

Reilly has said that GM Daewoo, which was successful in fostering milestones for growth by overcoming management crisis right after the acquisition of Daewoo Motor, has embraced both crisis and opportunity.