General Motors working on a new project codenamed “Amber”, to develop three new car models

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June 17, 2014: According to reports in different media, General Motors is working on a new project codenamed “Amber” Amber is said to be a new platform which the US carmaker is trying to make to boost its sales in Indian and other emerging automobile markets. Off late General Motors has been struggling with its sales in India and grappling with issues like product recalls for their MPV Chevrolet Tavera. General Motors is said to build at least three new car models which includes a premium hatchback, a entry level compact sedan and a compact SUV. The car manufacturer is looking to target emerging markets like Brazil, India, Russia, Thailand and Mexico. People working closely with this project informed various sources that the new platform codenamed “Amber” will be designed in Europe and Engineered in Brazil.

If this plan of General Motors takes off and succeeds it would give a big respite to the automobile major who has been struggling with losses. The company’s recent attempts to ramp up sales with new products like Sail and MPV Enjoy has also met with limited success. General Motors which had a market share of 4.18% in 2012 has seen a constant decrease in sales and its present market share stands at 3%. Its sales have come down from 1.10 lakh units in 2012 to 80,000 units in 2013. There are reports that the Amber project in which they are trying to develop a new platform has a global potential of nearly 1.2 million units. In India itself it is reported that there is a potential of 1.5 lakh units.

It remains to be seen how General Motors is going to change its strategy for India as its accumulated loss mounts at the expense of Tavera recall. Though the company is trying to create a buzz in the market with the launch of the new Beat and upgraded version of Cruze and Enjoy, the biggest challenge for GM would be to hold on the dealers and suppliers. The dealers and suppliers are also suffering with the company and in the time when there is immense competition it is but natural that it would be difficult to motivate these people.