Immelt and Paulson

Jeff Immelt decided to play a major role in helping the United States cope with its economic issues and problems. First he joined the New York Federal Reserve and now participates in the OBAMA economic counsel. He is a friend of Paulson and obviously had conversations with Paulson before the "economic crisis".

Unfortunately, when you play a role in public arenas you are subject to being criticized and even challenged. This is happening with Paulson's assertion that Immelt called him before the crisis and told him that GE was having trouble selling its commercial paper. Paulson asserts that this added to his panic since he believed that if GE was having problems others may also be having similar problems.

Immelt disclaims this conversation and said he didn't talk about commercial paper problems.

Immelt's participation is government affairs is consistent with GE's history. Gerard Swope the President from 1922-33 was very involved with both Hoover and Roosevelt and the architect of National Recovery Act and Social Security, his co-leader Owen Young headed up the plan to help Germany recover from its war debts and a candidate for the Democratic Presidential nomination.
Cordiner and his team were involved in fighting the increasing power of BIG GOVERNMENT and BIG LABOR. GE taught Ronald Reagan many of the principles of being a conservative, which he used in his presidential tenure.

These leaders also had to take the heat of the controversies they took part in. As Harry Truman said "if you can't stand the heat, get out of the kitchen" and "the buck stops here".

To learn more about GE's willingness to be "Politically Incorrect" read the entire strategic history in my book: THE SECRET TO GE's SUCCESS- available in paper back on Amazon and in six languages, as well as KINDLE and on audio.