Ge acquiring engine supplier

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Reference no: EM1362103

GE Acquiring Engine Supplier

Italy Becomes a Hunting Ground for Multinational reveals how GE and other American firms are taking advantage of the opportunities available in the euro-zone due to the debt crisis. GE is, again, doing what is known to do best: invest in those companies that are weak financially but could add value to it. The article reports that GE has just purchased Avio, an aeronautics engine maker, with whom GE has worked for many years. The article is relevant because it shows GE' s continuous ability to identify and take advantage of opportunities available to it. By acquiring Avio, GE is strengthening its supply chain to meet future demand, and is doing it at a much lower price than what it would have paid in a booming economy. The strategy of buying companies in distress is not always successful, but GE has managed for decades to it, more often than not, better than others.

Reference no: EM1362103

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