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Power Failure
Power Failure
Sep 22, 2024 7:25 PM

Author:William D. Cohan

Power Failure

A magisterial history of the astounding rise - and unimaginable fall - of America's most iconic corporation

Perhaps no company reflects American ingenuity, innovation, and industrial fortunes as well as the iconic General Electric Company. Producing storied leaders and almost every product imaginable, GE built a cult of success that hid cracks in its foundation. In this masterful history, William D. Cohan, one of America's most pre-eminent financial journalists, argues that GE's legacy is both a paragon and a cautionary tale through which to understand twentieth-century America.

Power Failure limns the eventful 130-year history of GE, bringing fresh analysis drawn from rare interviews with key figures of the company's golden era, including Jack Welch himself. As Cohan recounts, Welch traded on a sterling legacy to make GE the most valuable and respected company in the world, while cloaking its vulnerabilities. What he handed to his successor Jeffrey Immelt was, Cohan argues, both an impossible standard and a more troubled reality.

Tracing the company's leaps and stumbles through the personalities that defined it, Power Failure offers a surprising retelling of the GE story, puncturing the myth we think we know for a fresh look at its legacy - and what it tells us about the state of the financial world.

Reviews

This hubris-to-nemesis story... must count as one of the greatest dramas in business history... William D Cohan captures that drama exceptionally well... a gripping read.... a tour de force

—— John Plender , Financial Times

The rise and fall of GE is explained as the product of individual men and their mercurial decisions, yet its fate has a wider significance. It ought to be a warning: cost-cutting, outsourcing and financial speculation produce a warped model of value that is liable to collapse

—— Hettie O'Brien , Guardian

A heavyweight cautionary tale about how the reputation of one-time corporate titans such as Jack Welch can be floored by over-reach and ambition

—— Andrew Hill , Financial Times

General Electric was once the most important, powerful and influential company on earth - and this is the definitive story of how it got that way, and what happened next. William Cohan takes us inside the company's boardrooms and factories with a rollicking and fascinating tale of corporate brilliance, bitter infighting, business daring and monied folly that illuminates not just General Electric, but the world and economy it helped create

—— Charles Duhigg

With the sweep and authority of an accomplished historian, the digging of a fearsome investigative reporter, and the storytelling skills of a novelist, Bill Cohan takes us from the 19th Century birth of GE, to its rise as America's most valued company in the 20th, and to its near death in the 21st. With incredible access to Jack Welch and the major actors in this drama, he paints a panoramic view of America and of capitalism, how it has changed and still must

—— Ken Auletta

Cohan rides this wild tale like a racehorse to the bitter end. It's all here: the birth of this most American of inventive American companies and the triumphs, flaws and missteps to come. If at 130 years old, GE has indeed fallen, this masterful work remains

—— Mark Seal

For most of our lives GE was one of the familiar, trusted U.S. companies, and in the early 2000s still the biggest company on earth. In one generation this icon of the American corporate imperium has turned into an icon of American corporate failure. We're fortunate that the great business chronicler William Cohan has now applied his extraordinary reporting skills and lucid, knowing prose to tell this story in breathtaking detail from beginning to bitter end. Power Failure is fascinating and definitive

—— Kurt Anderson

This epic tale of arguably the most dominant corporation in American history has it all: money, power, sex and larger-than-life characters, from Thomas Edison to "Teflon Jack" Welch and beyond. Cohan's fine pacing and narrative flair make for a page-turner that becomes a compelling story of American capitalism itself

—— Jonathan Alter

Power Failure by William Cohan is a tour de force of reporting, a deeply researched chronicle of the flawed personalities and dysfunctional company politics that led General Electric, once hailed as the great American corporate success, to self-destruct. The story reads like a tragedy

—— Liaquat Ahamed

A fascinating journey through the tightly networked world of the venture capitalists who make Silicon Valley tick, from the scrappy dealmakers of the 1960s to the high-flying global investors of today. Filled with eye-opening case studies and vivid personalities, frank in its analysis of the industry's greatest strengths and most dangerous blind spots, The Power Law is essential reading for understanding our tech-driven economy and where it might go next

—— Professor Margaret O’Mara, University of Washington

As we face urgent man-made existential challenges from climate change to economic inequality, Sebastian Mallaby shows that the capitalists of Silicon Valley are shaping the future in ways few understand. In The Power Law he takes us inside their rarified world, showing the possibilities and shortcomings of their big egos and big bets. Mallaby's deep access enables us to get a rare and unsettling look inside a subculture of unparalleled influence

—— Jane Mayer, Chief Washington Correspondent, The New Yorker

If you can read only one book on venture capital, this is the one. The Power Law narrates the evolution of venture capital from its origins in Silicon Valley to its emergence in China by following the ambitious and often idiosyncratic investors who finance risky new ventures while recognizing that success is rare, but transformative. The book is a fascinating read, and illustrates well one of its core themes, that venture capital is a network that straddles and offers the virtues of both markets and corporations

—— Professor AnnaLee Saxenian

This book is a powerful combination of careful research and great storytelling. Sebastian Mallaby portrays many of the world's most successful venture capitalists but also shows how the industry has evolved and why it has become a major source of innovation in our economies. Highly informative and fun to read

—— Baroness Minouche Shafik, Director of the London School of Economics and Political Science

Everyone talks about venture capital. We glorify it, we vilify it, and everywhere outside Silicon Valley envies it. At last we have a storyteller with the intelligence to understand venture capital, the diligence to dig out some astonishing tales, and the eloquence to make the journey of discovery such a pleasure. This is a superb book

—— Tim Harford, author of HOW TO MAKE THE WORLD ADD UP

In this fascinating study of venture capitalists, Sebastian Mallaby explains why they invest with the sole purpose of winning the jackpot while the rest of us are advised to invest cautiously. A compelling story of flesh and blood financiers, sprinkled with insights from which all economists could learn

—— Mervyn King, former Governor of the Bank of England

Heavyweight and richly detailed, [The Power Law] is both a careering ride through the chaos of startup culture and a sober assessment of how the relationship between founders and their financiers has evolved

—— Mike Jakeman , Strategy+Business

A must-read for anyone seeking to understand modern-day Silicon Valley and even our economy writ large... Phenomenally detailed and engaging

—— Bethany McLean , Washington Post

A gripping fly-on-the-wall story of the rise of this unique and important industry based on extensive interviews with some of the most successful venture capitalists . . . Mr. Mallaby writes a fast-paced narrative. He also has a journalist's eye for revealing details

—— Daniel Rasmussen , Wall Street Journal

Sweeping and authoritative . . . tells an undercovered tale

—— Financial Times

Sebastian Mallaby is the master of unspooling human drama from financial systems. Here, the venture capitalists are the protagonists. Whether it's financiers scrambling to court a pajama-wearing young Mark Zuckerberg or venture capitalist Bill Gurley's efforts to oust Uber founder Travis Kalanick from the company, the stories are almost Shakespearean in their depictions of ambition, jealousy and ego

—— NPR Books

An elegant defence of talent.

—— The Week
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