Get Full Essay Get access to this section to get all help you need with your essay and educational issues. How might a company benefit from the globalization of production?
Globalization at General Electric: Discussion Questions Case Study Pages: There are several reasons why the company would do that. Among those reasons is the attempt to exploit opportunities in various countries that were or are having financial difficulties Carlson, When Europe was struggling, GE invested there, because it was a good financial move.
This appears to be a pattern with GE, which is actually a very smart way for a company to get more international influence and attention. Foreign expansion was considered by GE originally, because it saw an opportunity to get into the market in other countries, and it was able to do it at discounted rates.
That was very important to GE, because the less money it Globalization at general electric on getting into the global market the more money it would have available for infrastructure, the hiring of employees, and the securing of even more areas in the U.
And across the world where its products could be manufactured and sold Fairly, Some may see GE as greedy, but really it is a company that is very smart about how it expands and what it has to offer to everyone.
Because it makes so many different products, and because it is selling those products to a wider audience in more parts of the world, it needs to expand its company holdings beyond the United States Carlson, It can be more difficult to keep track of things in other countries when all of the headquarters are in the U.
If a company division was very involved in selling to Europe, for example, its headquarters were moved to London. Asian divisions were moved to Asian countries, and GE had the opportunity to reach out to more customers.
It only makes sense to have a particular division located where it will do the most good for the most people and generate the most sales for the company. GE is moving many of its global business headquarters to foreign locations Mahon, These moves are greatly benefitting the overseas locations, but they can also benefit the United States.
Foreign location benefits are relatively obvious. Some foreign countries are struggling with lowered wages and other economic issues. When companies like GE move into those kinds of countries, they are much more likely to help the countries improve their economies, because they have a lot to offer that other companies in that country might not have available.
In other words, they have the operating capital and other economic boost that is needed by developing countries or countries where the economy is currently weak. GE can also boost a country's economy by hiring many of its citizens to work for the GE division that has moved into that area.
That will allow people who need good-paying work to get involved with a company that will treat them fairly. For the United States, GE's moves into foreign countries can also be beneficial. The bigger name GE makes for itself, the better chance it has of making sales.Globalization at General Electric Abstract General Electric, the largest industrial conglomerate in America founded by Thomas Edison, produces a range of goods and services including home appliances, jet engines, power generators, medical equipment, and television broadcasting.
General Electric Company (GE) is a globally diversified technology and financial services company and its products and services include aircraft engines, power generation, water processing, and household appliances to medical imaging, business and consumer financing and industrial products (General Electric Co, Bloomberg, ).
GE’s example tells us that the true global business is a business that is headquartered locally (in overseas) for the aim of getting closer to its customers.
It exploits their local market knowledge as well as their local culture and language knowledge. timberdesignmag.com do you think GE has invested so aggressively in foreign expansion? What opportunities is it trying to exploit?
I think GE acted so aggressively because they saw a great opportunity to expand the company and if they didn’t do so, another company would have grabbed the opportunity and purchase the companies that were in trouble. Free research that covers introduction general electric is a technology, media and financial services company.
it has a portfolio of diversified range of products under company's umbrell. photo credit Nasa / Goddard Space Flight Center / Reto Stöckli General Electric.(G.E) Globalization Globalization of G.E Why has G.E invested aggressively in foreign expansion? What are G.E achieving by moving their headquarters?
Benefits? Local understanding.
Why Internationalize Senior Management.