To be most competitive in today's environment, GE should be broken up into separate companies listed separately on the stock exchange so that management can focus on improving a single (if large) product line.
For example:
1. Jet Engines and electric turbines
2. Railroad locomotives
3. Appliances
4. Medical devices and imaging and all other things medical
5. Lighting.
The market values to shareholders would be higher.
The firms could focus on their one product line and would have to work harder against competition since there will not be cross subsidizes.
The smaller firms could also be more responsive to markets and respond more quickly because there would be less bureaucratic inertia.
For example: 1. Jet Engines and electric turbines 2. Railroad locomotives 3. Appliances 4. Medical devices and imaging and all other things medical 5. Lighting.
The market values to shareholders would be higher.
The firms could focus on their one product line and would have to work harder against competition since there will not be cross subsidizes.
The smaller firms could also be more responsive to markets and respond more quickly because there would be less bureaucratic inertia.