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Westinghouse’s strategy was overdiversificated, taking the business that generated the highest value, regardless of its traditional main business. Managers constantly sought to pursue profit by means of cost cutting, and as far as possible avoided taking risks such as starting up new businesses. It adhered to traditional technology and held off investing in the development of new products, therefore it lost the ground more by strong and new competitors. Under the environment, middle managers were forced to take a very short-term view to maximize profits on a quarterly basis, and they felt themselves as a part of a massive corporate machine...
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