The following SWOT analysis illustrates Electrolux’s internal and external environment to address the company’s current situation, for further adaptable use, e.g. strategic capability affecting the business’ strategy planning.
• Electrolux’s undeniable quality concentrates on sustainability issues, for instance, the green range products; subsequently, the company increases its reliable corporate picture by its thoughtfulness regarding sustainability issues, as it may help with other issues including social, well-being, monetary and universal security concerns (Kim, 2012) with its substantial sustainability activities. For example, the company picks up energy investment funds of up to USD 100 million a year. Likewise, the company migrated 60% of its assembly to Mexico and China (Morschett, et al., 2015, p.339). These two nations are the very cost-effective with regards to manufacturing costs.
•…show more content… The company expands it working margin by choosing low-cost manufacturing. It also performs more broad assessment of work and transportation cost to get new suppliers and broaden the market (Electrolux, 2016). The company’s strategy finds medium or high-cost organization, because of the benefits of the innovation development of those nations, for instance nations in the European locale. For marketing, the company keeps its high costs through the worldwide recession, for instance, during the 2009 recession in America and Europe, while having solid marketing procedures, the company also continued their marketing strategy by including door-to-door deals and progressing innovative product