Describe about the Marketing Strategy and Plan for General Ethic Report.
The organization selected for the report is General Electric owing to its association with a wide assortment of business units. The capability of the organization to span its operations across various business units could be considered as an attribute of the organization’s lifetime which has been experienced since its establishment in 1892 (Agrawal, 2013). The organization was formed as a result of the merger between Edison General Electric Company and Thomson-Houston Electric Company and went on to become one of the leading companies in the field of electric devices. The organization is estimated to be associated with healthcare, power and water, capital, aviation and oil and gas as per recent reports and hence the varying service portfolios of the organization could be apprehended easily. Other necessary measures which could be observed with respect to General Electric include research on distinct business units included within the organization (Agrawal, 2013).
The different business units which are observed in the case of General Electric could be realized in the association of the units with the varying implications of financial services, life sciences, and software development, pharmaceutical, engineering and automotive industries. The dependence of the various industries on the General Electric Company could be reflected in the products facilitated by the Oil and Gas, Transportation, power and water and Healthcare ventures of the organization. The distinct business units are responsible for diversity in the products of the organization which include oil, electrical distribution and appliances, finance, wind turbines, lighting, energy and healthcare (Alter, 2015). The company is responsible for a massive and diverse workforce alongside infrastructure which proves to be a major highlight for the organization to realize the potential for research involving individual business units. This would help in identification of the profitable business units alongside the revenue acquired from specific units which presents a clear impression of the performance of individual business units within the organization (Bång & Roos, 2014).
The source for sustainable competitive advantage is realized in the ability of an organization to realize different aspects of long term objectives. The resources of an organization or the capabilities as observed in case of companies like General Electric could be accountable for realization of sustainable competitive advantage only in case of the organization’s ability to collate the processes such as resource allocation or workforce management. The investment of resources in profitable business units could seem to be a reasonable choice in the present scenario (Contreras, 2014). However, the scope of sustainability is realized only in the apprehension of prospects for long term survival in the domain of a dynamic and complex market environment. The diversification of an organization could be perceived as the outcome of the source for motivation (Fifield, 2012). The diversification of the organization’s product and service portfolio could result in association with other significant business entities which are able to represent considerable returns for the organization’s investment.
Competitive advantage and its integration with sustainability have to be achieved through cognizable opportunities such as investments in sustainable products such as energy and water as well as healthcare. However, the implications of resource depletion and the causes for environmental concerns could lead to possible pitfalls for sustainable competitive advantage of the organization. The factors which are considered as profoundly responsible for inducing sustainable competitive advantage include assets, inimitability, endurance and branding. These factors should be cumulatively applied to the organizational framework, thereby establishing a profound demarcation from competitors (Foxall, 2014). The systems of a company must be dependent on sustainability and assets refer to capital and foundational assets. The impact of technical assets is also considered essential for the development of cost-effective operations which are capable of facilitating prolific revenues to the company on its investments. The strategies implemented by an organization must be capable of maintaining a certain degree of uniqueness. The brand building of an organization is also considered as a profound implication for sustainable competitive advantage since customers stay associated with a brand only due to its promotion and marketing initiatives (Griffith & Hoppner, 2013). Endurance of competitive advantage is also a vital attribute for ensuring that customers could avail appropriate value proposition in the products facilitated by an organization. The provision of improved value on the products and services could account for a substantial increase in the sustainability of competitive advantage of an organization.
The revenue center of an organization could be defined as a financially profitable department which relies on the sale of services and products. The revenue centers which could be identified in case of General Electric include the individual subsidiaries such as GE Transportation, GE Healthcare, GE Capital, GE Oil and Gas, GE Home and Business Solutions, GE Global research and GE Energy (Hollensen, 2015). The organization has diversified in its operations over the years which have led to the realization of multiple revenue centers in the subsidiaries. The revenues earned from the different subsidiaries could be highlighted as follows in a table.
|
Business Unit |
Revenue (US $) |
|
GE Aviation |
16.35 billion |
|
GE Oil and Gas |
16.5 billion |
|
GE Energy |
37.1 billion |
|
GE Transportation |
5.88 billion |
|
GE healthcare |
14.85 billion |
The above table describes the product line which is earning maximum revenues for the General Electric Company include Energy, Aviation, Oil and Gas followed by Healthcare. The capabilities of the organization in terms of realizing the sustainable aspects of competitive advantage could be augmented only through the application of strategies cumulatively for the profitable business units (Kotler et al., 2015). The emphasis on identification of revenue centers could thus be validated in case of a diversification strategy of an organization as observed in the case of General Electric Company.
Related constrained diversification strategy could be apprehended carefully from the economies of scope which could be established from the savings on costs and the translation of competencies and capabilities in varying contexts of different businesses. Transferring skills or sharing activities could also be observed as the impact of diversification as per the references noted in popular literature (Morgan, Katsikeas & Vorhies, 2012). Furthermore, the advantage of related constrained diversification could be observed in the acquisition of revenues from the dominant business which comprises of less than 70% of the total revenue (Morgan, Katsikeas & Vorhies, 2012).
PEST analysis is an important mechanism that understands the growing, operating direction, potential, business position, decline and other market strategy for operations (Kotler, 1998). To analyze the environment of General Electric Company (GE) in a macro scale, it needs dealing with various technological, economic, social-cultural and political aspects thereby making it clear the allocation of resources and planning facility for maintaining its profit and productivity.
GE deals with the political system presenting to the beneficial environment for business growth over critical situation in international market. Since United States internal revenue requires the company’s authority for submitting return taxation for the annual period on 15th April (Dibb & Lyndon, 2004). This system also includes the government structures, taxes, industry-specific regulations, elections, and legal and regulatory, etc.
Money value, exchange rates and interest rates have a tangential operation and effect activities of GE because of fluctuations. This effect for economic distortion at global crisis shows a continually decrease in sale; main cause being the banks’ lending rates. The capital finance shows the losses to turn a downfall triggering the business recession which sank below $5 (McDONALD & M.A.L.C.O.L.M., 2016).
Socio culture has largely extended the influences to GE where social set-ups, religion, culture and norms determine the conduct process in environmental projections. GE sets apart itself pointing to its cultural activities by delivering learning opportunities and bulking unique innovative solutions in world business. (Jack Welch retired CEO of GE).
GE sets its high end objective in changing the life forms to gain new technologies and ideas. It has the high rate of technology advancement and ensures an updated source to electric vehicle, energy management, utility security, energy storage for a way ahead for smarter power grid (Andrew, 2010).
GE takes into involvement to various industries of gas and oil investing around billions and dollars for improving the drilling and fracking so as to protect the environment.
GE gets involved into 120 various countries and infuses the compliances as per the aspects concerning over businesses, it also helps maintaining this level as it deals with international and national businesses.
GE stands as a multinational company and stands as the persisting globally recognized because of its excellent products and services showing a competitive advantage position through generation of equipment. Its excellent management style drives business operation helping to increase productivity at a higher level of accountability and efficiency (Parente & Strausbaugh, 2014). Other main expansion is through its diversified lines of operation and taking ventures initiatives over environment responsible (Mullin, Hardy & Sutton, 2014).
Since GE is a diversified company but is affected because of overload diversification. Therefore, this over stretching mechanism leads to slowing down of decision making algorithm thus leading to lack of attention issue and managing defect to case for numerous business units.
GE has achieved a competitive edge to intense research and development. It also ensures the innovative product production line for meeting the demanding current customers showing the immense opportunities at improving competitive advantage.
Large business units of GE show a threatening effect to incite competition. GE gets involved in the production technique result that withheld aroused out of undone product improving. Other serious outcomes are the information security and media that victimise bringing to lot criticism and loss of investors (Morgan, Katsikeas & Vorhies, 2012).
Mergers, Acquisition and Downsizing are the three important aspects of the organization which are having the impact of the sustainability of the organization. These processes of the organization like General Electric occur in case of expansion of the organization along with their operations in association with the competitive advantage. But in any cases while taking the human resource issues into consideration there occur many types of failure in the merger and acquisition issues (Mullin, Hardy & Sutton, 2014). This report has been prepared to make the highlights regarding the issues of human resource along with the financial issues which will take the organizational process forward to have its successful position in the global market.
The process of the merger and acquisition always leads to the process of downsizing in the company as occurred in the General Electric. The merger must be beneficial to the organization in which the management must continue to figure out the required information in the process. In this figure there will have the preview that will basically make the expectations of the job which will make the employees to have the realistic demands of the jobs. This process of the merger and acquisition causes the downsizing of the employees that will alleviate the process of reducing rumors that will eventually make the allowance of the employees in the process of business (Griffith & Hoppner, 2013). This process of merger and acquisition is the easiest yet the tough process for the restructuring of the business according the global market. In this process after the merger and acquisition following the downsize process, there will have the management of the employees having the averse to change according to the environment. The merging and acquisition will have the neglecting of the psychological issues of the employees along with the inadequate communication for the merging with the culture clashes with two organizations. With this process there will have the unclear roles and responsibilities with having the direction of the company in an ambiguous manner (Foxall, 2014). Furthermore it is also evident that the employees of the General Electric get their different types of reactions.
Conclusion
With having the influence of a number of factors affecting the process of merger and acquisition and downsizing, the market in which the organization like General Electric is acting upon can be said to be as the primary force to act upon. The market size and condition is the main recommended factors to be studied while going through the mergers and acquisitions. For this reason the company General Electric is having the some instances of recession in the process where there is the downsizing of the employees. This downsizing process will eventually decrease in the process of improvement in the economy that will create a lay out of the potential changes in this process (Fifield, 2012). Various studies have been carried in support of the scenario which has given the exact theoretical definition of the process of merger, acquisition and downsize of the organization like General Electric. Merger is the process of dealing of unison of two companies into a particular company. In the same way the acquisition is the process of having the process of action in the corporate sector to take the ownership stakes to have control over another firm or company (Contreras, 2014). The process of downsize is having the reduction of the employees that will have going on in an operating payroll system. All the three are having the inter relation with each other providing a restructure of the organization.
References
Agrawal, A.D., 2013. Green Marketing: Sustainable Marketing Strategy. Indira Management Review, 17.
Alter, S., 2015. Fight on! Quarterbacking your marketing strategy. Journal of Property Management, 80(3), pp.14-15.
Bång, A. and Roos, C., 2014. Digital Marketing Strategy.
Berthon, P.R., Pitt, L.F., Plangger, K. and Shapiro, D., 2012. Marketing meets Web 2.0, social media, and creative consumers: Implications for international marketing strategy. Business horizons, 55(3), pp.261-271.
Contreras, C., 2014. MKT 376 Sec 1 Global Marketing Strategy.
Fifield, P., 2012. Marketing strategy. Routledge.
Foxall, G., 2014. Corporate Innovation (RLE Marketing): Marketing and Strategy. Routledge.
Griffith, D.A. and Hoppner, J.J., 2013. Global marketing managers: Improving global marketing strategy through soft skill development.International Marketing Review, 30(1), pp.21-41.
Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.
Kotler, P., Burton, S., Deans, K., Brown, L. and Armstrong, G., 2015.Marketing. Pearson Higher Education AU.
Morgan, N.A., Katsikeas, C.S. and Vorhies, D.W., 2012. Export marketing strategy implementation, export marketing capabilities, and export venture performance. Journal of the Academy of Marketing Science, 40(2), pp.271-289.
Mullin, B.J., Hardy, S. and Sutton, W., 2014. Sport Marketing 4th Edition. Human Kinetics.
Mcdonald, M.A.L.C.O.L.M., 2016. 5 Strategic marketing planning. The marketing book, p.86.
Parente, D. and Strausbaugh-Hutchinson, K., 2014. Advertising campaign strategy: A guide to marketing communication plans. Cengage Learning.
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download