038_Stanger, John

              Interview Summary
John Stanger with Lou Kraar, FORTUNE May 11,  1977
Mr. Stanger began a brief capsule history of GECC...""our original purpose was to provide sales financing support for the sale of GE products.    We found as the years went on we were financing other manufacturers1 appliances sold by our dealers and were making money in doing so.    In the late 50's we reached a policy decision to become a general finance company serving industry.    We began a separate component in 1960 within GECC whose purpose was to provide sales financing services generally to commercial and industrial distributors and dealers covering all types of equipment.    Concurrently in the early 60's we decided to extend our service to the manufacturers and distributors of mobile homes.    This was a well planned and well executed diversification program.    Today we're engaged in nine separate fields of activity, seven of them being financing and two of them insurance.""
Q.    So much is said by people in GE that strategic planning locates opportunities.    How is this done in this affiliate?
A.    The decision to diversify GECC was strategic planning working within the General Electric Co.    I was present at many meetings where alternate fields were considered and schedules determined for entry into these fields.    That was my introduction to it... the genesis of strategic planning in GECC.
Q.    When was this?
A.    In the early 60's.    We had a long laundry list of potential fields. Then we would consider where our special expertise would enable us to make the strongest contribution.    Were they growth fields? Etc    For example, we looked at mobile homes in the 60's as a large potential growth field as we saw an increasing need for lower cost housing.
Q.    What happens when there's a change?   Mobile homes, for example, are less of a field today.
A. Yes, because it's growing more slowly now, we've started to look at new, more promising areas. So an area that had a high growth potential ten years ago may not be that way today.
Q.    Do you finance jet aircraft?
A.    Yes, we have $736 million of commercial jet aircraft leased to various airlines.