IV. Tradeoffs There were several tradeoffs for GE to implement the shift in strategic focus. To achieve organic growth, GE needed to increase production and sales based on customer needs, something GE was unlikely to achieve in a short time. GE's profit inflow would slow in the first few years as a trade-off for sustainable profit in the future. Previously, GE had many projects driven by M&A activity. They needed to scale back projects and focus more on long-term investments to achieve organic growth. GE also needed to operate more efficiently to cover the high costs of long-term investments. Not only has it built research centers in several locations around the world, GE has also increased its research and development budget by 14%. GE began to carry out its research and development processes on its own, rather than through mergers and acquisitions. Since product development took longer, GE's profit could not be achieved in the short term. To become more technology- and marketing-driven, one of Immelt's goals was to encourage employees to take more risks. Grant (1996) defines routine as a pattern of interfaces between individuals to build specific knowledge and transfer it to the organization. GE changed its previous routines and slowed down its job rotation. GE recruited external marketing leaders who required more employment budget. Multidisciplinary divisions were created as GE aimed to be more customer oriented, resulting in an increased training budget. Becoming more global was also one of Immelt's strategic goals. To achieve this goal, GE prioritized long-term investments that required new resources. Finally, as GE wanted to become more socially and environmentally responsible, it needed more capital and resources. Given that GE may be... mid-card... it is risky for GE to lose its investments. In Welch's time it was less risky to lose investments because he was truly concerned about shareholders. Later, Jack admitted that the idea of ​​shareholder value was crazy and that GE should have cared more about management and employees then. He revealed that doing business in the 1990s was different to current business conditions. Works CitedChen, KP (2003) External Recruitment as an Incentive Device, Academia Sinica [Online]. Available at: http://idv.sinica.edu.tw/kongpin/recruit1.pdf [Accessed 5 December 2013]Rogers, E.M. (2003) 'Diffusion of Innovations' New York: Free PressWeick, K. and Quinn, R. (1999) 'Organizational change and development', Annual Review of Psychology, Vol. 50 (1), pp. 361—386Christopher, AB Brian, JH and Nicole, SB (2008) "GE's Imagination Breakthroughs: The Evo Project" Harvard Business School