blog




  • Essay / Black & Decker International: Evaluating the Plan for a...

    Evaluating the Plan for a Global Lock Company Fred Grunewald's plan to create a single global lock company is ambitious but achievable. Grunewald's experience in different countries makes his project feasible, particularly with the acquisition of Emhart Corporation. These two factors provide a solid basis for planned technostructural and strategic changes (Cummings & Worley, 2009). The acquisition of Emhart Corporation brought eight distinct brands and their individual experiences to Black & Decker, both domestically and internationally. Grunewald's plan to consolidate the eight companies to form a global lock company to improve efficiency by horizontally linking the eight companies and leveraging the companies' knowledge and expertise has significant benefits in terms of market share (Mesquita and Lazzarini, 2006). With enablers come obstacles; The problems standing in the way of Grunewald's overall project are the eight distinct brands, their long-standing traditions and their fragmented thinking about market opportunities. Other obstacles exist; the lack of integrated and common processes in recruiting, training, pricing and market demand forecasting creates inconsistency for the global lock industry. Additionally, there is a lack of marketing materials such as catalogs, price lists, technical data, advertising and sales support documentation needed to operate effectively. A significant challenge lies in the ability of competition to innovate and capitalize on the same business model. Grunewald draws on its experience and vision to implement all structural and strategic changes within one year; Grunewald might be so determined about what it takes to make the changes that he might overlook middle of paper...... Management, (75), 24.Mesquita, L., & Lazzarini, S. (2006 ). Vertical and horizontal relationships in an industrial cluster: implications for firms' access to global markets. Proceedings of the Annual Meeting of the Academy of Management, L1-L6. doi:10.5465/AMBPP.2006.22896792Okhuysen, G. and Eisenhardt, K. (2002). Integrating knowledge in groups: how formal interventions enable flexibility. Organization Science, 13(4), 370-386. Pedersen, T. and Petersen, B. (2004). Knowing foreign markets: are new businesses exposed to a “shock effect”? Journal Of International Marketing, 12(1), 103-123.Raina, R. (2010). Timely, ongoing, and credible communication and perceived organizational effectiveness. Indian Journal of Industrial Relations, 46(2), 345-359. Rantakari, H. (2008). Governing adaptation. Review of Economic Studies, 75(4), 1257-1285. doi:10.1111/j.1467-937X.2008.00518.x