Tomahawk, WI 02/12/2014 (BasicsMedia) – When General Motors Company (NYSE:GM) published its most recent quarterly financial records, it emerged that this firm is one of the most profitable globally. The fact that GM is one of the most profitable carmakers around the world has never been in doubt. What has been a matter of concern is the fact that the company has not managed to turn its fortunes in Europe around, as much as it would have wanted. The latest financial results are special since it is the 16th consecutive quarter in which General Motors has reported profits. It seems interesting that a company that posts profits consistently also posts losses in one of its divisions regularly.

General Motors Company (NYSE:GM) needs to find a way of addressing and overturning the regular losses that it has been enduring in its European operations. After all, GM is one of the most easily recognized global brands with a market cap that is the envy of many. When announcing its recent Q4 of 2013 financial results, General Motors also said that it raised $913 million worth of earnings during this period, which was a 2 percent rise from what the company posted a year earlier.  Globally, the company reported a 5 percent rise in car sales during this period. One wonders how the company could not replicate such impressive figures in Europe.

General Motors Company (NYSE:GM) has changed its management team in charge of the North American region, and the results have followed suit. It has made huge strides within its core operations within the North American market as well. Everything seems to be going right for GM in North America and other markets in the world, with the exception of Europe, which seems to be struggling no matter what the company does. The company would have done much better if not for the restructuring charges, which were unavoidable as it embarked on reducing losses globally. The company decided to stop selling Chevrolet in Europe, a decision that cost it $691 million.

One wonders where General Motors Company (NYSE:GM) would be today if not for the billions in dollars that it has lost over the recent years. The $691 million it lost when it opted not to sell Chevrolet vehicles in Europe is just but one of the latest setbacks that GM has suffered in this particular market. On the other hand, GM’s top executives can point out that the losses in Europe affect other global automakers such as Ford. One reason given for the poor car sales in Europe is that the industry within this market has been poor and on a downward spiral for quite some time now. Most industry specialists believe that the situation in Europe is not about to end soon.

Finally, General Motors Company (NYSE:GM) has made several decisions regarding its operations in Europe that have come back to haunt it. However, it cannot afford to neglect this market since no automaker can claim to be a global leader without a visible and active presence in Europe. GM’s profits and remarkable performance in North America can only help it up to a certain point, and to move forward to the next level, its losses in Europe need to be converted into profits.

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