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What were the primary motivative factors behind Electrolux decision to expand aggressively into Asia, Eastern Europe and Latin America in 1990?
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Introduction This case is concerned with Electrolux's expansion into Asia, Eastern Europe, and Latin America through Foreign Directive investment (FDI) in 1990s. Electrolux is based on Sweden, a small country having a population of 8.8 million. But Electrolux is the world's largest producer of appliances that was selling more than 85 percent of its sales outside of Sweden by 2000. Electrolux has had to find new market in order to maintain its growth. They are selling 50 percent of its sales in Western Europe and another 30 percent in North America. The sale in Asia, Eastern Europe and Latin America is increasing with rapidity in recent years. This is because they are concentrating on expanding their market share in the emerging market. We discussed and researched about the reason for Electrolux to decide to aggressively expand into new emerging markets such as Asia, Eastern Europe, and Latin America, the form of FDI...
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