General Motors 2015 Annual Report Download - page 15

Table of Contents
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Our internet website address is www.gm.com. In addition to the information about us and our subsidiaries contained in this 2015 Form 10-K information
about us can be found on our website including information on our corporate governance principles and practices. Our website and information included in
or linked to our website are not part of this 2015 Form 10-K.
Our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to those reports filed or furnished pursuant
to Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (Exchange Act) are available free of charge through our website as soon as
reasonably practicable after they are electronically filed with or furnished to the Securities and Exchange Commission (SEC). The public may read and copy
the materials we file with the SEC at the SEC's Public Reference Room at 100 F Street, NE, Washington, DC 20549. The public may obtain information on
the operation of the Public Reference Room by calling the SEC at 1-800-SEC-0330. Additionally the SEC maintains an internet site that contains reports,
proxy and information statements and other information. The address of the SEC's website is www.sec.gov.
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We face a number of significant risks and uncertainties in connection with our operations. Our business, results of operations and financial condition could
be materially adversely affected by the factors described below. While we describe each risk separately, some of these risks are interrelated and certain risks
could trigger the applicability of other risks described below.
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We operate in a very competitive industry with market participants routinely introducing new and improved vehicle models designed to meet rapidly
evolving consumer expectations. Producing new and improved vehicle models competitively and preserving our reputation for designing, building and
selling high quality cars and trucks is critical to our long-term profitability. We will launch a substantial number of new vehicles in 2016. Successful
launches of our new vehicles are critical to our short-term profitability. In addition, our growth strategies require us to make significant investment in our
brands to appeal to new markets.
Our long-term profitability depends upon our successfully creating and funding technological innovations in design, engineering and manufacturing,
which requires extensive capital investment and the ability to retain and recruit talent. In some cases the technologies that we plan to employ are not yet
commercially practical and depend on significant future technological advances by us and by our suppliers. Although we will seek to obtain intellectual
property protection for our innovations to protect our competitive position, it is possible we may not be able to protect some of these innovations. There can
be no assurance that advances in technology will occur in a timely or feasible way, or that others will not acquire similar or superior technologies sooner than
we do or that we will acquire technologies on an exclusive basis or at a significant price advantage.
It generally takes two years or more to design and develop a new vehicle, and a number of factors may lengthen that time period. Because of this product
development cycle and the various elements that may contribute to consumers’ acceptance of new vehicle designs, including competitors’ product
introductions, technological innovations, fuel prices, general economic conditions and changes in styling preferences, an initial product concept or design
may not result in a vehicle that generates sales in sufficient quantities and at high enough prices to be profitable. Our high proportion of fixed costs, both due
to our significant investment in property, plant and equipment as well as other requirements of our collective bargaining agreements, which limit our
flexibility to adjust personnel costs to changes in demands for our products, may further exacerbate the risks associated with incorrectly assessing demand for
our vehicles.
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While we offer a balanced and complete portfolio of small, mid-size and large cars, crossovers, SUVs and trucks, we generally recognize higher profit
margins on our full-size pick-up trucks and SUVs. Our success is dependent upon consumer preferences and our ability to sell higher margin vehicles in
sufficient volumes. Any increases in the price of oil or any sustained shortage of
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