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Running head: APPLYING ANALYTICS TECHNIQUES TO BUSINESS1Applying Analytics Techniques to BusinessCapella UniversityApplied Business Analytics
APPLYING ANALYTICS TECHNIQUES TO BUSINESS2Applying Analytics Techniques to BusinessGeneral Electric, a company that was included in the Dow-Jones Industrial Average for 100 years preceding 2018, is an example of a historically successful company that is currently suffering from low stock prices and profitability, especially with the recent impact of the COVID-19 pandemic on GE’s aviation division (Hansen, 2020). Stock prices for the past year reflect the gradual increase in profitability after the drastic fall in profitability during the company’s 2018 change in management and restructuring, but this progress was quickly erased in late January due to the looming possibility of a global financial recession (Hansen, 2020). However, GE’s longstanding status as a successful and innovative company comes with the promise that the company will bounce back in the upcoming months. GE was founded in 1889 by Thomas Edison, and became successful as a manufacturer of home appliances, radios, locomotives, jet engines, and medical devices, eventually expanding with financial units as well (Owles, 2017). The stock market crash in 2008 resulted in the company suffering great losses, requiring a closing of the financial unit and a general restructuring of operations, leading to the company deciding to refocus on manufacturing (Owles, 2017). However, the company was unable to fully recover from this reorganization, leading to extensive layoffs in 2017, including more than 12,000 employees, and a change of leadership in 2018 which also included the closing non-essential business units (Hansen, 2020). After these changes, GE appeared to be taking strides to reclaim its position in the Dow-Jones Industrial Average, but this progress may be halted due to the current global situation. Overall, this company provides interesting insight into the success and development of large conglomerates as they focus on adapting in order to remain successful in the future. Using graphical representations of data and descriptive statistics can be useful in this analysis.
APPLYING ANALYTICS TECHNIQUES TO BUSINESS3Graphical Representations of Data3/26/2019 5/15/20197/4/20198/23/2019 10/12/2019 12/1/2019 1/20/2020 3/10/20204/29/20206/18/202002468101214HighFigure 1.1. Scatterplot of highest stock prices of General Electric based on data from Yahoo Finance (2019).