Ge Matrix Essay

517 words - 3 pages

In my part I want to direct your attention to the GE Market Attractiveness Competitive Position model. On the surface it appears to be very similar to the BCG matrix, but a bit more complex and detailed. The model was developed by GE with the assistance of consulting firm of McKinsey & Company in 1970.
Management can use the GE model to classify strategic business units on two factors: 1. Market attractiveness criteria
* Market size and growth rate
* Market entry barriers
* Number and types of competitor
2. Competitive strength criteria (Business Position)
* Market share and knowledge
* Reputation
* Distribution capability
* Service quality
* Innovation Capability
* Cost advantage
As you can see on the slide, the matrix is separated ...view middle of the document...

With units above the diagonal, a company may pursue strategies of investment and growth; those along the diagonal may be candidates for selective investment; those below the diagonal might be best sold or liquidated.
On the next slide we have prepared a table, showing the overlaps and differences between Unilever`s business model and the GE model.
The nine-box matrix offers a systematic approach for the decentralized corporation to determine where best to invest its cash. Unilever saw big opportunity in “healthy-living” brands. They achieved high quality of the product, full satisfaction of the product purchase among customers and low prices. Building a market share growth by brand extensions was the next goal of Unilever.
On the other hand, the GE model can offer also a projection of the future product prospects and flexibility. This can be useful if investing in emerging markets. In general this model is used for more technical products and since Unilever has focused mainly on essential products, applying it could be difficult and inefficient.
Now I will give you a brief overview of the advantages and disadvantages that Unilever could face if choosing the GE model. Use of the GE-McKinsey matrix is recommended if an organisation is made up of many business units or product lines, like in the Unilever`s case. It also allows an organisation to focus on the strengths and weaknesses of the business units or products (new markets, more innovations, higher sales revenues).
Some of the disadvantages of the GE model are related to the factors weighting method. Some critics are that the factors of business strength and some of the industry attractiveness factors cannot be measured. The matrix also can not reflect currency fluctuations, inflation or distribution problems. It is also too complicated and pays too little attention to the business environment.

Other Essays Like Ge Matrix

Strategic Management Poster Essay

3737 words - 15 pages Human assets Fig. 6, GE 9-Cell Screening Grid 3 Fig. 7, Life Cycle Matrix BUSINESS STRATEGIES FOR SBUS & SINGLE-PRODUCT COMPANIES THE FIRST STEP IN CRAFTING THE COMPETITIVE STRATEGY FOR SBU Decide on the generic strategy or strategies to follow. The basic four generic strategies that may be used are shown in Fig. 8 (below) as (1) low-cost leadership, (2) differentiation, (3) niche or focus market segment with low cost, and (4) focus on

Businessplan Template Essay

2146 words - 9 pages .) 3.3. Strategie Hoe denken we de doelstellingen te bereiken? Op middellange en lange termijn? Copyright © 2007-2011 | Frank van Ormondt Advies en Educatie | 8 4. E xterne analyse Instrumenten: 4.1. Meso-omgeving • Adoptie en diffusie (Rogers) • Bedrijfstak, beïnvloedbaar BCG-matrix, GE-matrix (MABA) • Afnemers • Toeleveranciers • Behoeftenonderzoek • Distributie

Process Fundamentals

2035 words - 9 pages discretion. Consulting and law, for example Low divergence is more repetitive and standardized  Process flow: Related to divergence, may range from highly diverse to linear.   Flexible flow means movements in diverse ways. Line flow means movement in fixed sequence. 23 Session 1 Product-Process Matrix for Processes 24 Session 1 Service Process Structuring  Front office: A process with high customer contact where the


5327 words - 22 pages corporation, Hiscox Ltd. You will be required to answer specific questions about this corporation’s marketing plan, the marketing planning process, and their ethical implications. This will give you the opportunity to apply in practice many of the techniques for marketing audit, assessment of the marketing environment, and planning marketing strategy and tactics that we have covered in class; including (but not limited to) the GE/multifactor matrix, the

Satrhub Can Make It

3501 words - 15 pages . SatrHub is using the Market Focus strategy in providing services to its targeted market. It has a wide range of services, ranging from Next Gen NBN to demand TV, catering for the segments that it can serve best. In the Integrated Approach, for the product element, StarHub has a good balance of product mix. Most of the products are at different stages of their respective life cycle. By applying Boston Consulting Group product portfolio matrix


2198 words - 9 pages super conductor because flux pinning. Flux pinning occurs in tiny defects in the crystalline of the superconducting material. Image the magnetic field around the magnet like lines of force. The superconductor repels the majority of the magnetic force lines, which support and leviate the magnet .A smaller portion of the lines of force become trapped in the defects in the superconductor matrix, and are held in place. These trapped lines

Haier Management at a Tactical Level

2458 words - 10 pages and a financially burdened business with management issues. Zhang Ruimin, took over the company in 1984 which saw the introduction of corporate culture and rules. He believed that to become China’s first multinational brand and succeed internationally they had to dominate in the home market and move globally to compete with brands such as GE (General Electric). Haier’s survival strategy was to compete with world giants. Globalization pressure

Comparative X Ray and Gamma Ray Study

3295 words - 14 pages calibration procedure which may include correction for matrix effects. Freely propagation of cosmic rays through the atmosphere and inelastic collision with nuclei of planetary surface could produce a large number of secondary neutrons at the sub surface layer of it. Two types of nuclear reactions take place due to this interaction between outgoing neutrons and nuclei of sub layer (Fig. 1).γ-ray originates from this nuclei radiation of sub layer of the

Linux As A Personal Desktop Operating System

5191 words - 21 pages version 9) • Professional Edition (currently at version 9) • Advanced Server (currently at version 2.1) • Itanium (64−bit processor − currently at version 7.2) Each version contains features appropriate to certain scenarios; these are: • Small office or home • Small or medium business • Enterprise or corporate applications 7 What Is Covered in This Book? The following matrix demonstrates which versions are suited to which scenarios: Home

Ethical Hacking

5637 words - 23 pages actually hacking into a system. Typically, they’re using a GUI program, frantically clicking or typing a decryption algorithm. One exception is The Matrix Reloaded. The female protagonist, Trinity, sits in front of a computer terminal and runs Nmap. She discovers that port 22 (SSH) is open, runs an SSHv1 CRC32 exploit (an actual bug in SSH) that allows her to change the root password to Z1ON0101, and then proceeds to shut down the grid. Moral of the

The Separation Of Capital Ownership And Control

1577 words - 7 pages The argument of whether the separation of capital ownership and control is an efficient form of organization has constantly been a controversial issue. The criticism whether the controllers’ act is in the best interest of the owners’ wills never end as long as hired managers operate management. As the number of public companies has been increasing over the course of this century, meanwhile the American style of contact based corporation has

Related Papers

Corporate Success Through Adaptation And Innovation

3392 words - 14 pages the perspective of the customer. Employee: In GE all the employees are trained in Six sigma. GE also made it compulsory for all its employees to have at least Green Belt in Six sigma. GE Matrix: GE matrix was developed by Mckinsey and Co. for GE and is basically a derivation of BCG matrix as it had been recognized that BCG matrix was not enough flexible to take broader issues into account. It cross references market

Stategic Management Essay

4808 words - 20 pages company; 4. Synthesise the factors - from the analysis of the external and internal environments (through a SWOT analysis) - to identify alternative strategies to achieve the vision and realize the mission of the company; 5. Apply other models for the generation of alternative strategies. These include: * Space (the four quadrants) * BCG (the portfolio matrix) and other portfolio models such as the IE matrix, McKinsey-GE

International Fashion Textile Marketing Reading Recource

1075 words - 5 pages 148 149 150 151 153 155 158 159 160 162 162 163 165 166 9.2 9.3 9.4 Towards a definition of product, merchandise in positioning in international markets Strategic positioning of products in international markets 9.3.1 Product Life Cycle (PLC) 9.3.2 Product Portfolio Pplanning (Boston Consultancy Group Matrix) 9.3.3 Profit Impact of Marketing Strategies (PIMS) 9.3.4 McKinsey/GE Business Screen 9.3.5 Shell Screen New

Intelligent Digital Assitant Essay

3530 words - 15 pages have always encouraged us to carry on my project with the great zeal and undisturbed work that helped us to concentrate on the given work to complete it within the stipulated period. We express our sincere thanks to all of those who supported us directly or indirectly in carrying out this project. SOMNATH BHATTACHARJEE SATYAKI GHOSH ANIKET ROY 2|P a ge Executive Summary Intelligent Digital Assistant, a digital device for