Analysis on the Shift of Business Strategy for Ge Into the 21st Century

Question 1: In what ways has Jeff Immelt redirected the strategy of GE? In 2001, shortly after Jeff Immelt became the CEO of GE, a series of events changed and impacted the corporate landscape. The immediate challenges that he faced include 9/11, and a subsequent series of high compose corporate scandals (Enron, WorldCom). In 2008, the financial crisis hit and had a terrible impact on GEs primary process source, GE Capital causing it to accumulate bad debts and summation write-downs. These events caused slow domestic economic issue, crisis of confidence among investors and more ball-shaped competitors. Due to the change in environment and the need to fit Immelt shifted the focus of GE from cost cutting and deal devising to freshly products, services and markets. He particularly focused on redirecting the strategy of GE through: organic growth, customer focus, and innovation. In 2002, Immelt committed GE to an organic growth rate of 8% per year. He identified a number of emerging global trends - the ageing population, the demand for sustainable energy, the necessity of improved infrastructure, and opportunities in the emerging markets.

He aimed to create value for customers by leverage GEs core competencies particularly in groundbreaking technology and related service by delivering superior, customized products and services to high-growth markets. A core component of his growth strategy was to create new Growth platforms which could be either extensions of the existing businesses or ideal new commercial areas. Through identifying a new growth platform, it would then be executed through a series of divestments and strategic acquisitions in sectors with high growth potential. Technology was seen to be a key driver of GEs hereafter growth which led to the launch of Imagination breakthrough. New technologies were seen as an essential ingredient to successful product innovation and attribute improvement. GE expanded its research and development capabilities and supported them... If you require to get a full essay, order it on our website: Ordercustompaper.com

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