What’s happening to General Electric ?

Is General Electric on it's way out ? The change of leadership at GE has created some disturbance in the global technology market when a global technology leader fumbles..

I bring such interesting points of discussion to the class. It gives students an international exposure and makes them think like entrepreneurs and CEO managers to change companies and their operational style..

In spite of Flannery being the darling of the Board till 14 months back, suddenly lost grace and was replaced. At high levels such events do happen and it is real. It reflects on the immediate compulsions of the organisations.

GE market cap in the year 2000 at $600 billions is now worth just $107 billions, on revenues of $122 billions in 2017, (just 9% of Apple's $1100 billions market cap) a clean wipeout of $500 billions !

No corporation can forever remain immortal .. 

The company founded by Thomas Alva Edison in the 1880s is now floundering like never before.. It is the only one of its generation still surviving the 120 years of history ..Will the new CEO, Culp, a Harvard Bschool alumnus be able change its fortune at all ? 

There are many questions the world (or my students) are looking for an answer..

1. Is the 120 year old GE a company from the older generation waiting to be replaced by a younger entity ? 

2. Can the new leadership give a new purpose to GE and take it to the top ? 

3. Why have shareholders been losing their faith in this company which was the darling of the masses till a few years back ? 

4. Is this the path that all corporations will one day have to take of initiation, growth, sustenance and decline ..? 

5. Will the new CEO, Culp, a Harvard Bschool alumnus be able change its fortune ? 

6. Will market cap decline be a forewarning to decline of the corporation ? 

7. What will be Culp's strategy to help GE re-emerge in the hi-tech market of the world and remain a dominant force ?

 

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