The hottest market value evaporated by 680billion

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The market value evaporated by 680billion yuan and was eliminated. Can ge regain its glory


[the market value evaporated by 680billion yuan and was eliminated. Does it mean that general electric can regain its glory?] Thomas Edison, the "king of invention", had more than 2000 inventions and more than 1000 patents in his life: studying electric lights, improving and developing DC generators... But he was not a "nerd" curled up in the laboratory. He also had an identity - entrepreneur. The most famous enterprise founded by him is general electric company (). (daily economy)

Thomas Edison, the "king of invention", had more than 2000 inventions and more than 1000 patents in his life: studying electric lights, improving, developing DC generators... But he was not a "nerd" curled up in the laboratory. He also had an identity - an entrepreneur. The most famous enterprise founded by him is the American company ()

In 1878, Edison founded Edison Electric Light Company in the afternoon of "love". In 1892, Edison Electric Light Company and Thomson Houston electric company merged to form general electric company

in the 1990s, it once became the largest enterprise in the United States; In 2008, it was also one of the top five listed companies in the world

Ge is talked about not only its scientific and technological achievements, but also its outstanding talent management. Charles coffin, the first generation leader of General Electric, set a principle for the enterprise: the most important product of the company is not bulbs or transformers, but talents

this tradition has lasted for a hundred years, and has cultivated batch after batch of management talents. It is known as the West Point Military Academy with the best management talents in the United States. Earlier, a survey conducted by Harvard University Professor Dennis encarnation found that the CEOs of 173 companies in the Fortune 500 were from general electric

from GE's talent management and selection system, Jack Welch was born as a "management genius". In April, 1981, at the age of 45, Jack Welch became the youngest director and CEO in the history of General Electric. Under his leadership, the market value of General Electric rose from $13billion to $480billion, and its profitability ranked first in the world. When he retired in September, 2001, Welch was known as "the most respected CEO", "the world's first CEO" and "the most successful and greatest entrepreneur in contemporary America"

but in June this year, due to the sharp decline in share prices, after 111 years, General Electric was excluded from the Dow Jones index and was no longer the representative of the U.S. economy. Yesterday (October 1), General Electric suddenly announced the removal of John Flannery as chairman and CEO, replaced by Lawrence cup

you know, John Flannery just took office last August. Why did such a "short-lived" leader appear in general electric, which relied on talents to survive for a hundred years

On October 1, the board of directors of General Electric suddenly announced that Lawrence cup was appointed chairman and CEO of the company, and Thomas W was appointed at the same time. Horton is the chief director. Both Culp and Horton entered the board of directors in April this year

for the "change of command", Ge also said in the announcement that due to the weak performance of the power business, the company expects that the cash flow and earnings per share in 2018 will be lower than expected

it is worth noting that Culp, 55, is not a "cadre" trained by GE. From 2000 to 2014, he served as CEO and President of Danaher Corporation, an industrial instrument and equipment company. This is also the first time that a "foreigner" has served as CEO of Ge, which has a large number of talents

picture source: General Electric officer

in Danaher group, Culp made outstanding contributions and successfully led this industrial manufacturing enterprise to transform into a technology enterprise. In 14 years, Danaher's market value and income have increased five times

similarly, Thomas W, the newly appointed chief director. Horton is also an "outsider". From 2011 to 2013, he was the CEO of American Airlines, and from 2013 to 2014, he served as the chairman of American Airlines Group. During his tenure, he successfully completed the merger and acquisition of US Airways, making American Airlines the largest airline in the world

Lawrence cup said, "Ge is still a powerful enterprise with outstanding business and a large number of talents. I am very honored to lead this company."

the market gave very positive feedback on the management change of General Electric. On Monday (October 1) in the US stock market, General Electric rose more than 15% at the opening, and the fault can be eliminated. At the beginning of the session, the increase was close to 16%, and finally closed up 7.09%

why the century old giant fell

before John Flannery's sheet metal was seriously deformed due to bumps and collisions, Ge had five CEOs. His predecessor Immelt served for 16 years, and Welch was in charge of the company for 20 years. John Flannery has worked in general electric for more than 30 years, and he is "very popular". However, the company's high debt and plunging share price crushed Flannery, making him the "shortest lived" CEO of the company

from the peak at the end of 2016 to September this year, GE's share price fell by more than 60%, evaporating about $176billion. Since John Flannery took office, the market value of the company has also evaporated more than $100billion (about 686.8 billion yuan). In the long run, entering the 21st century, the market value of General Electric has evaporated about $500billion, equivalent to a Facebook company

according to a source close to him, John Flannery was replaced after more than a year in office because the board was dissatisfied with the slow progress of his "restructuring plan". This dissatisfaction has peaked in recent weeks. On September 20, General Electric confirmed that the natural gas turbine of General Electric, which was used in the Texas power plant by eisneng, failed, resulting in the shutdown of the power plant

after taking office, John Flannery has formulated a slimming plan to gradually divest the medical and health business, oil and gas business, railway business and lighting business, so as to reduce debt and focus on aviation, renewable energy and medical equipment. Nowadays, the turbine is the most important product of the general electric power department. The failure of the product has aroused doubts from the company's customers and wall street

GE's second quarter financial report shows that the core power and renewable energy revenue and profits have fallen sharply

the turbine incident is only an incentive. The board of directors is dissatisfied with the slow transformation led by John Flannery, which may be the root cause. However, John Flannery also seems to be "innocent". After all, it took Jack Welch and Jeffrey Immelt, Welch's personal successor, for decades to turn General Electric into a huge beast with redundant business. It's not easy to lose weight

from 1981 to 2001, under Welch's leadership, the market value of General Electric soared from $13billion to $580billion, once being the largest listed company in the United States. Jeffrey Immelt took over in 2001. When Immelt left office in August 2017, GE was almost on the verge of collapse. The reason is that in the past few decades, Ge did not stick to its core business, over expanded, and even entered the financial business, which suffered heavy losses during the 2008 financial crisis. When the business sector expanded, the transformation of core business was very slow. At a time when the international market is gradually declining and the new energy industry is advancing by leaps and bounds, Immelt has led to continue to make large-scale investments in the field of traditional energy. Among them, the acquisition of Alstom's energy business with a large amount of money in 2015 proved to be the biggest failure

after becoming CEO, Lawrence cup not only has to deal with the turbine problem, but also promotes the "road to lose weight". In yesterday's announcement, Ge expected to write down the goodwill related to the power business at one time. At present. The book goodwill of the power business is about $23billion, and the scale of this write down may cover the book value of most of the goodwill. When the third quarter financial report is released, the company will clarify the specific impairment and make comments

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