General Electric's growth strategy is based on developing businesses -- from TV broadcasting to jet engines and power plants -- that are some of the most vital markets of this century. Located in Fairfield, Connecticut, it is the fifth-largest US company and has a market value of more than $160 billion, making it the most valuable (1997 Annual Report).
Its products include: aircraft engines, electronic appliances, kitchen and laundry equipment, industrial products and systems, lighting, electrical distribution, and control equipment, plastics, silicones, laminates, and abrasives (1997 Annual Report).
GE Capital Services (GECS) provides consumer and specialized financing and property and casualty reinsurance, accounts for the largest portion of total sales. Subsidiary National Broadcasting Company (NBC) is profitable with strong ratings leading to higher advertising revenues.
GE and joint venture CFM International won the bulk of the world's orders for commercial aircraft engines in 1996, its lighting business has developed a global presence, and the plastics unit has achieved record growth by supplying the computer and consumer electronics industries.
According to its 1997 annual report, GE is a "diversified technology, manufacturing and services company with a commitment to achieving worldwide leadership in each of its 12 businesses." GE operates in more than 100 countries around the world, including 250 manufacturing plants in 26 different nations. GE employs 239,000 people worldwide, including 155,000 in the United States.
2. History of Corporate Strategies
General Electric began in 1892 in New York when the Thomson-Houston Company and the Edison General Electric Company merged. GE was backed by the Morgan banking house and research led to the company's initial success(1997 Annual Report). Early products included Edison legacies such as lightbulbs, elevators, trolleys, motors, toasters, and...