Recent Acquisitions General Electric (GE) is well known for its acquisitions. Within the last two years GE has formed acquisitions with Alstom Power and Grid and API Healthcare. …show more content…
One of the many reasons for GE’s acquisition is the advantage of speed. An acquisition produces the firms desired diversification right away (South University Online, 2016, para. 3). For example, GE can immediately take advantage of cost savings sooner than it could attempting to generate its own software programs due to the merger with API Healthcare. The other possible reason GE sought out these two firms for an acquisition was to acquire technology or new products (South University Online, 2016, para. 5). Both API Healthcare and Alstom Power and Grid offered GE new technology along with additional new products. For example, API Health Care possessed software programs specific to increase the workflow in a medical setting (API Healthcare, 2014, para. 5). This instantly provides GE with advanced technology. Well the acquisition with Alstom Power and Grid gives GE access to many new energy products such as wind power, solar power, and hydro power (GE Power, 2016). The acquisition of these two firms seem to be working in GE’s favor, but it probably did not occur without some form of