Line of Inquiry: James E. Schrager on GE and “the end of history”

Sep 19, 2019

Sections Strategy

Recent years have seen a decline in GE’s market capitalization and an uptick in uncertainty over its future. How did the once-mighty company find its way into trouble? Chicago Booth’s James E. Schrager says that among other things, it failed to anticipate a time when its successful strategies would stop working. From imitation by competitors to a changing market for corporate acquisitions, the landscape around GE changed, Schrager says, and GE’s flagging fortunes reflect its inability to adapt to those changes.