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Description: Breaking up isn’t hard to do in a bullish market.
General Electric’s announcement last week that it will split into three separate companies was quickly followed by similar news from Johnson & Johnson, which detailed plans to separate its consumer products business from its pharmaceutical and medical device operations.

Source: knowledge.wharton.upenn.edu

Date: Nov 16, 2021

Link: https://knowledge.wharton.upenn.edu/article/the-breakup-of-ge-and-jj-the-end-of-the-conglomerate/

Questions for discussion:

  • Summarize the key arguments presented in this discussion.
  • What does this suggest for future business structures?
  • Do you agree with this line of thinking?
  • How should investors use this information?

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