Sep, 2001 : GM Joint Venture to Expand E-Business to Japan

📅 September 17, 2001 - A joint venture company, Japan AutoWeb Services Inc., will be established to develop e-business synergies and leverage Internet-based technologies on behalf of General Motors Corporation, Suzuki Motors Corporation, Fuji Heavy Industries Ltd and Isuzu Motors Limited. This is the first time these four automotive alliance partners have agreed to work together in one area of business.

The companies chose to collaborate as the GM Alliance Partner Group on e-business initiatives to take advantage of the incredible opportunity theInternet offers to reach new and existing customers, to enhance the way theydo business and to create new opportunities to grow their businesses.
The first initiative from this new joint venture company is BuyPower Japan,which will be launched in Japan on Sept. 16. BuyPower Japan is an onlineautomotive shopping service that allows consumers to search, select,configure and request the price of any GM, Suzuki, Subaru or Isuzu passengervehicle sold in Japan. Together the four companies have seven brands inJapan: Cadillac, Saab, Opel, Chevrolet, Suzuki, Subaru and Isuzu. WithBuyPower Japan, online customers will be able to choose from 65 vehiclemodels in 179 variations, from micro-mini cars to luxury imported cars, andwill be referred to their nearest participating dealer from whom they willreceive personalized service.
Customers will also be able to save their search results on personalized Webpages and obtain useful automotive- related information. BuyPower Japan canbe accessed at www.buypower.co.jp.
According to Mark Hogan, GM Group vice president responsible for e-commerce,the new company has access to GM's global e-business experience and toolssuch as BuyPower and OnStar. "Its challenge is to leverage existing and newInternet-based technologies into e-business solutions that address the needsof the sophisticated, Internet-savvy Japanese automotive consumer. Japan isthe Internet giant of Asia. It has 47.08 million Internet users and lastyear accounted for 62 percent (US$9.5 billion) of regional e-commerce," hesaid.
According to Rudolph A. Schlais, GM Group vice president and president andCEO of GM Asia Pacific: "This unprecedented move demonstrates the power ofthe alliances. Together GM, Suzuki, FHI and Isuzu are the number twoautomotive group in Japan with approximately 17 percent of the market.Together we have 12 million vehicles on the Japanese roads. This alonegives the new company a sizeable customer base in Japan."
GM has a 20 percent stake in Suzuki, a 20 percent stake in FHI and a 49percent stake in Isuzu.