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The Decline and Fall of IBM: End of an American Icon?

The Decline and Fall of IBM: End of an American Icon?

Penned By Robert Cringely
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The Decline and Fall of IBM: End of an American Icon?

The Decline and Fall of IBM: End of an American Icon?

Penned By Robert Cringely
4.85 69,224 Ratings
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Editor's Note:
IBM is in serious trouble. Big Blue, as the company is known, tends to rely for its success on magical thinking but that magic ran out a long time ago. The company got in trouble back in the 1990s and had to hire for the first time an outside CEO, Lou Gerstner, to save the day. Gerstner pushed IBM into services with spectacular results but this hurt the company, too. As services have became commoditized IBM could only compete by offshoring the work and quality suffered. The other negative impact of Gerstner was his compensation which was for the first time in IBM history very high. Only the Watson family had become rich running IBM with later CEOs like John Opel and John Akers living comfortable lives with lots of perks, but they never got BIG RICH. That changed with Gerstner. Sam Palmisano an IBM lifer followed Gerstner as CEO and followed, too, the Gerstner playbook. Palmisano retired three years ago with a retirement package worth $241 million, replaced by IBM's first woman CEO, Ginni Rometty, who certainly expects a comparable golden parachute. In order to achieve these numbers, though, IBM has essentially sacrificed both its customers and employees. In order to have ever growing earnings per share the company has cut labor to the bone, off-shored everything it can, dropped quality, deliberately underbid contracts to win them then not performed. IBM's acquisition policy is one of buying companies to get their sales then cutting costs to the bone and under-delivering. This and share buybacks have kept earnings growing until this house of cards recently began to fall. Ginni Rometty, who will end up taking the fall for Palmisano's flawed strategy, has stated a very specific earnings goal for 2015 that she will destroy the company to achieve if she must. This book how IBM fell from grace, where it is headed, and what specifically can be done to save the company before it is too late.

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Length 293 Pages
Language Eng
Imprint NeRDTV. LLC
Released January 1, 2014
Identifier (ISBN) 22404032
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Robert Cringely
The Mind Behind the Work
Robert Cringely

Robert Cringely is the author of several novels. Originally from the East Coast, they now live in the Midwest with family. In addition to writing, Robert Cringely enjoys gardening, cooking, and reading way past bedtime. Their work often explores the complexities of everyday life and human relationships.

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Nancy Brown
Nancy Brown June 09, 2025
"Absolutely brilliant. It strikes a perfect harmony of dialogue and world-building. Every chapter felt necessary. A true literary gem."
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"Excellent, though slightly flawed. It held my rapt attention, even when certain twists were telegraphed. A very distinguished novel."
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Richard Reyes
Richard Reyes October 16, 2024
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Stephanie Lopez
Stephanie Lopez November 06, 2025
"Masterpiece from start to finish. I adored how the story unfolded. It kept me captivated without sacrificing elegance. I will undoubtedly revisit this masterpiece."
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Nancy Hill October 04, 2024
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"A very strong entry. The middle had a deliberate pace, but the climax was phenomenal. Quite impressive overall."
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"I thoroughly enjoyed the elegance of it. The middle had a deliberate pace, but the climax was phenomenal. A wonderful companion for a quiet weekend."
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Donna Sanchez
Donna Sanchez September 23, 2024
"A very strong entry. It held my rapt attention, even when certain twists were telegraphed. Quite impressive overall."
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