Case Study - GE

Table of Contents

Introduction1

Discussion1

Pestel Analysis1

Economic1

Technological2

Environmental2

Business Unit2

Threat of Substitute Products and Services2

Threat of Entry of New Competitors3

Intensity of Competitive Rivalry3

Bargaining Power of Buyers3

Bargaining Power of Suppliers3

Internal Analysis4

Strengths4

Weaknesses4

External Analysis4

Opportunities4

Conclusion5

Recommendation5

Case Study - GE

Introduction

General Electric is a conglomerate founded in 1892 by American fusion of part of Thomson-Houston Electric Company and Edison General Electric Company. The company has 32 subsidiaries in over 140 countries and is a symbol of the value New York Stock Exchange. Since 2005, she was until the crisis the 2nd cap on Wall Street, behind ExxonMobil in 2010, but it is the eleventh global company in terms of sales ranked by Forbes as the third global company according to Forbes Global 2000 to 201.

Discussion

Pestel Analysis

The analysis underneath examines the vibrant and erratic environment in which GE functions by distinguishing the factors that have the majority influence on GE's performance:

Economic

Economic components are an issue of anxiety for GE since they influence just buying behavior of customers. The purchasing power of buyers is in a steady growth, and they are more confident about their economic situation (Laudon, Kenneth, 2009).

Technological

GE Technology Infrastructure is a set of companies (in four key areas: GE Aviation, GE Transportation, GE Healthcare, GE Enterprises Solutions) developing and providing worldwide products and services in the areas of health, transport and high technology (Porter, 2008). The main activities include the following:

Aviation

Enterprise Solutions

Healthcare

Environmental

Environmentally responsive, abridged housing encourages by the Government. Has been discovered by the Statistics of National Bureau (2010) shows the ratio of shoppers who use reusable bags has increased from seventy one percent to seventy four percent and that those who try to cut the number of bags they get from the artificial shops has increased 65% to 68%.

Business Unit

Threat of Substitute Products and Services

GE has many competitors in the market, due to which the threat of substitutes is also high. GE is highly efficient in providing dividend returns and is completely in the zone of profit earning, but there are still some lines that GE needs to address their company issues, relating towards organization problems and expansion (Deutsch, 2007).

Warning of Entry of New Competitors

The risk of new competitors in the electronic industry is low. The company needs a huge investment in line with the comparable, and the creation of the logo name. Basic logo, the current electronic companies, are being detained are GE, and it accounts for 80% of all purchases in ...