Organizational Transformation at Hughes Electronics Corporation
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Case Code: BSTR087 Case Length: 17 Pages Period: 1994 - 2003 Pub Date: 2004 Teaching Note: Not Available |
Price: Rs.500 Organization: Hughes Electronic Corporation Industry: Electronics & Communication, Countries : USA Themes: Business Environment |
Abstract Case Intro 1 Case Intro 2 Excerpts
Abstract
The case discusses the transformation of Hughes Electronics Corporation (HEC) from a defense communication systems, weapons and aircraft manufacturer into a leading digital media and communications service provider. After taking a look at the company's history, the reasons underlying its decision to shift its focus to the media and communications business (under GM's ownership) are explained. Thereafter, the case describes how HEC structured itself into four divisions and the various strategic alliances it entered into, to grow and expand. It also discusses the products and services launched by the four HEC companies to strengthen themselves in their respective industries.
The restructuring efforts undertaken in 2000 to increase the focus on digital media and communications services are described. The case ends with a discussion on the future of HEC in light of its strategic alliance with the media giant News Corp in late 2003.
Issues
The case is structured to achieve the following teaching objectives:
- Understand the strategies adopted by a multinational corporation to shift to a new business domain
- Understand the strategies adopted by a multinational corporation to increase its share in the US media and communication services industry
Contents
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Introduction
Background Note
Beginning of the Transformation
The Transformation Nears Completion
Coping With Difficult Times
Where is Hughes Heading?
Exhibits
Keywords
Hughes Electronics Corporation, HEC, defense communication systems, weapons, aircraft, manufacturer, leading digital media, communications, service provider, history, media, communications business, four divisions, various, strategic alliances, grow, expand, products, services, 2000, digital media, News Corp
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