Why GM Is Pushing Chevrolet in Russia
Though General Motors (NYSE:GM) will soon make Chevrolet a thing of the past in Europe, the automaker is committed to advancing the Chevy brand in Russia and other former Soviet countries, Ward’s Auto reports. The approach will involve more marketing and increased production volumes in a market where General Motors is also looking to expand the market share of its overseas Opel brand.
GM has been trying to determine an overarching strategy for Russia and Europe with respect to the Chevrolet and Opel brands. The automaker has the daunting task of trying to increase awareness and sales of the Chevy brand without neutralizing momentum for Opel. This effort led General Motors to its decision to slowly end Chevrolet operations in Europe by 2015 in order to keep its focus on reviving Opel.
In Russia, the approach is even more complicated. Ward’s Auto reports that GM will start importing stars of the Chevy brand — including the 2014 Corvette Stingray — to the markets of Russia and its neighbors that comprise the Commonwealth of Independent States while it ramps up production of other Chevy models in area plants. Meanwhile, GM sees its young clientele for Opel in Russia as the key to advancing the brand’s hold on the regional market.