Question: For this post, read Mini - case 8 GE: Corporate Strategy Gone Wrong ( Rothaermel pg . 5 3 0 ) , then answer

For this post, read Mini-case 8"GE: Corporate Strategy Gone Wrong" (Rothaermel pg.530), then answer the following questions and reply to at least one other person's post.
1. What kind of diversification was GE pursuing? What are the sources of value creation with this kind of diversification?
2. Why has GE lost 90% of its valuation since its peak? What has gone wrong?
3. Looking at the diversification-performance relationship why was GE able to buck the trend for so long before economic realities caught up with it?
4. This April GE broke up an over 100 year old conglomerate into 3 seperate entitites as a CEO turnaround strategy (GE Aerospace, GE Vernova (energy) and GE Healthcare) and the GE stock ticker will fall to GE aerospace. Do you think GE can regain a competitive advantage now that its refocusing?

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