Corporate Strategy of AB Electrolux
Review the corporate strategy of AB Electrolux: found here: http://group.electrolux.com/en/category/about/
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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.
Unoriginal Content:
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.
Grading Rubric:
| Criterion | Unsatisfactory (Below 80%) | Satisfactory (80% – 89%) | Exceptional (90% – 100%) | Percentage | Points Possible | Points Earned |
| VRIO | Did not use Barney’s VRIO framework to analyze the competencies of Electrolux. Did not sufficiently discuss whether Electrolux can compete with local Chinese consumer manufacturers. | Clearly used Barney’s VRIO framework to analyze the competencies of Electrolux. Clearly discussed whether Electrolux can compete with local Chinese consumer manufacturers. | Clearly used Barney’s VRIO framework to provide a thorough analysis of the competencies of Electrolux. Thoroughly discussed whether Electrolux can compete with local Chinese consumer manufacturers. Research is well-documented. | 100 | 20 | 20 |
| Competitive Strategy | Did not sufficiently discuss whether Electrolux operates in a fragmented or a consolidated industry. Did not address how its competitive strategy would differ in each. | Provided a clear discussion on whether Electrolux operates in a fragmented or a consolidated industry. Clearly addressed how its competitive strategy would differ in each. | Provided a thorough discussion on whether Electrolux operates in a fragmented or a consolidated industry. Thoroughly addressed how its competitive strategy would differ in each. Research is well-documented. | 100 | 20 | 20 |
| Porter’s Strategies | Did not sufficiently discuss Porter’s four generic strategies. Did not sufficiently discuss which of these would work best for Electrolux. | Provided a clear discussion Porter’s four generic strategies. Clearly discussed which of these would work best for Electrolux. | Provided a thorough discussion of Porter’s four generic strategies. Clearly discussed which of these would work best for Electrolux, and why others would not. Research is thorough and well-documented. | 100 | 20 | 20 |
| Corporate Culture | Did not sufficiently discuss the corporate culture. | Provided a clear discussion on the corporate culture of Electrolux. Clearly discussed two distinct attributes of culture within the organization. | Provided a thorough discussion on the corporate culture of Electrolux. Thoroughly discussed two distinct attributes of culture within the organization. Research is thorough and well-documented. | 100 | 15 | 15 |
| Provided research to support arguments | No evidence of research. Significant instances of missing citations. More than 20% unoriginal content. Use of non-credible sources. Did not use at least one source from the University library. | Most of the essay is supported by research. Used at least four credible sources, one of which is from the University library. | All arguments supported by research. Used five or more credible sources, at least two of which are from the University library. | 100 | 10 | 10 |
| APA Formatting | Essay is not double- spaced or is missing a title page or reference page. References appear on reference list but not cited in essay. | Most citations are in APA format. | Essay is double- spaced, contains a title page and a reference page. | 100 | 5 | 5 |
| Mechanics | Frequent grammatical, punctuation, and spelling errors. Use of first and second person, instead of third person | Minor grammatical, punctuation, and spelling errors. | Technically flawless, mechanically and grammatically correct. | 100 | 10 | 10 |
| Final Score | 100 | 100 |
Submission
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