Review the corporate strategy of AB Electrolux: found here: http://group.electrolux.com/en/category/about/
As the social and demographic trends continue to evolve so do the opportunities afforded to Electrolux. The most significant demographic shift globally is the growing middle class in Asia, which includes families with incomes between US$6,000 and US$30,000. It is estimated that by 2030 there will be 3 billion more people in the global middle class than there were in 2013.(Ernst & Young, 2013)
Correlated with rising incomes worldwide, homeownership has also increased at a substantial rate giving rise to increased demand for consumer durables such as refrigerators, washing machines, and dishwashers. (Electrolux, 2013)
Electrolux (2013) Electrolux 2013 Annual Report. Retrieved from http://group.electrolux.com/en/company-overview-271/
Ernst & Young (2013) Hitting the sweet spot. Retrieved from http://www.ey.com/GL/en/Issues/Driving-growth/Middle-class-growth-in-emerging-markets
In a 1000 – 1500 word essay discuss the following:
1) Use Barney’s VRIO framework to analyze the competencies of Electrolux. Discuss whether AB Electrolux can compete with local Chinese consumer manufacturers.
2) Identify whether Electrolux operates in a fragmented or a consolidated industry. How would its competitive strategy differ in each?
3) Identify Porter’s four generic strategies. Discuss which of these would work best for Electrolux.
4) What is the corporate culture of Electrolux? Discuss two distinct attributes of culture within the organization.
This essay should be well-researched, appropriately documented and submitted in APA format.
Your essay may contain no more than 10% quotes from other sources. Paraphrase what you read instead of copying and pasting. You may not re-use work that you have submitted in previous classes. All work in this class must be original.
Essays that contain more than 50% unoriginal content will not earn any credit. Essays that contain between 10% – 49% unoriginal content will receive a substantial point deduction. Paraphrase instead of copying and pasting. Please note there is a difference between unoriginal content and plagiarism. Unoriginal content is correctly quoted and cited. Plagiarized sentences and paragraphs are not correctly quoted or cited. Plagiarism will result in an automatic zero for this assignment.
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