organizational structure and management. Electrolux was and wanted a decentralized structure within the company. After the acquisition, a management development workshop was held. The goal was to help improve communication within the organization and to improve team spirit. Also from this workshop came out the new mission and principle of Zanussi, which was now much more focused on the customer satisfaction and service. Finally, Electrolux implemented for this acquisition its studied game plan and showed that is vital to look at all the possible issues before deciding whether to acquire a company or not.5) What strategic and organizational challenges remain for Electrolux in 1988? What are the main options?After the acquisition of Zanussi was completed, Electrolux was now facing another important issue. It had to smoothly integrate Zanussi's products and define their position in the market. One of the main reasons why this acquisition was successful was the attitude, which Electrolux assumed toward Zanussi. It almost never seemed to be an acquisition but rather a partnership. Electrolux and Zanussi kept their respective names in the countries were they had the most success for brand recognition purposes. Now, the new company had to expand. After Europe and partially the United States, there was still much to do. Therefore the company looks at the Far East as a possibility. The only possible way to enter the Asian market was through a joint venture. Expansion would only increase the global presence of Electrolux especially in an industry in which competitors are not waiting for your next move. One of the most threatening and serious competitors of Electrolux is Whirlpool, which in Europe is gradually taking market share away from Electrolux thanks to its line of more economic appliances that compete directly with Zanussi's products. Electrolux must take advantage of economy of scale; it must be able to produce in large quantity and at a...
