Now I am going to talk about Arcelik's Aspiration to become a global player. In order to understand how Arcelik manage to become a global player and to know what are the strategies it has been using, I have done a SWOT analysis for everyone.
first of all, let us look at opportunities. By being at the mature stage in their domestic market, the only opportunity for them is the huge globalized market, According to the textbook, Arcelik's biggest market is Europe. therefore Arcelik has used different kinds of FDI by either establishing a plant or taking over other established brands in Europe, as shown on this paper. because of the time constraints, I am not going to talk about every step. Just bear in mind, within 15 years frame, Arcelik became a well-know brand within Europe by having tons of subsidiaries. Moreover, according to the latest update which is not in the textbook, nowadays, Arcelik has plants all over the world, such as China and Russia.
When we talk about threats, we should always think of the competitors. Let us have a look at the competitor in Europe. Whirlpool is the market leader in home laundry appliances. Electrolux is the leader in fridges and vacuum cleaners, and BSH is the leader in dishwashers. So, in the long run, Arcelik should look at how to compete these competitors and sustain their brand image.
Now let us look at what are the strengths that make Arcelik confident to become a global player. Those are being knowledgeable about how to produce products for lower income countries, to produce product at a much lower cost and strong after-sale services.
Last but not least, Arcelik does have some weakness that they are striving to overcome; Arcelik is largely unknown outside the Europe based on the textbook. However, our group has done a little bit research, now Arcelik is already the 3rd largest household appliances company in the world. Hence, Arcelik may find out a new weakness later in the future, and Jennifer is going to talk about the future for Arcelik