GE Healthcare Value Chain and Diversification Application Research Report

  Research the firm’s value chain and diversification strategies. Very likely a value chain depiction is already Look for opportunities to improve competitive advantage and ROIC through vertical integration or outsourcing. Research the levels and types (related versus unrelated) of product diversification in the product lines and industries and associated revenues and profits. Look for strategic rationale in building the “portfolio” – what capabilities and competencies are being leveraged and how? Also, look for vehicles of diversification – acquisitions and mergers, joint ventures, strategic alliances, and partnerships. Analyze the information in the context of diversification strategy frameworks presented in the readings. What does the firm’s diversification behavior indicate regarding the balance between increased performance associated with diversification and the increased bureaucratic costs? How is the company organized (such as divisions, SBUs, geography, matrix or combination) and how does that fit with the rationale for diversification? Include an organizational chart for your selected company. Based on an understanding of the firm’s competitive advantage, what is being leveraged vertically and horizontally, and how is diversification of the firm shaping its competitive advantage? How is it shaping the firm’s ROIC in the short run versus the long run (i.e., over time)? Again, attempt to find changes to this metric in correspondence with these types of decisions being made within the company. Report your findings as a description of the firm’s Value Chain and Diversification strategy. Include critical commentary or analysis to indicate the “fitness” of the observed strategy with the strategy criteria from the readings, including the rationale for outsourcing. Can strategy alternatives be used, in related or unrelated industries, that better fit the company’s competitive advantage? Are there diversification opportunities that require capabilities investments not yet considered? Does the analysis indicate strategic opportunities and threats that have not yet been considered in the firm analysis? This could be helpful in developing recommendations for your next assignment. Here are some examples: 1 (Links to an external site.) & 2 (Links to an external site.). Possible outline: Value chain Primary activities Support activities Horizontal integration Vertical integration (upstream or downstream) Outsourcing activities Vehicles for diversificatio