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Abstract

AB Electrolux, the world''s second largest consumer and professional appliances maker, offers customer-centred environmentally friendly premium products. Although Electrolux has differentiated itself as a prospector and prided its business on innovation and incorporating cutting-edge technology, it has been unable to maintain sales of high-profit margin appliances in major European markets and China since the global economic recession. Low capacity utilization is a major issue that Electrolux must resolve in order to compete on price against other low-priced competitors. With multiple brands and hundreds of products, the company furthermore finds it hard to differentiate from its competitors. How can Electrolux identify and strengthen its weaker strategic business units in order to maintain its competitive advantage?
Location:
Industry:
Other setting(s):
2009-2010

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Abstract

AB Electrolux, the world''s second largest consumer and professional appliances maker, offers customer-centred environmentally friendly premium products. Although Electrolux has differentiated itself as a prospector and prided its business on innovation and incorporating cutting-edge technology, it has been unable to maintain sales of high-profit margin appliances in major European markets and China since the global economic recession. Low capacity utilization is a major issue that Electrolux must resolve in order to compete on price against other low-priced competitors. With multiple brands and hundreds of products, the company furthermore finds it hard to differentiate from its competitors. How can Electrolux identify and strengthen its weaker strategic business units in order to maintain its competitive advantage?

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Location:
Industry:
Other setting(s):
2009-2010

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