Black and Decker
This case exemplifies the challenges, decisions, and intricacies involved when a company dives into mergers and acquisitions operations. The emergence of a global economy is no secret to anyone. Globalization offers outstanding opportunities for those companies that take advantage. Of course, globalization offers many challenges for companies to compete both domestically and globally. Black & Decker’s (B&D) global endeavor exemplifies this statement completely. The purchase of Emhart could provide for lucrative product diversification opportunism. For Power Tools, Black and Decker has become an international linchpin. This acquisition provides opportune to achieve a similar status with door locking products. If successful, this integration could be used as a standard model for future global endeavors. Emhart is spread out widely, independently among many countries. The case focuses on the high level strategy and restructuring devoted to integrating and consolidating these separate companies’ operations under B&D’s global marketing umbrella.
B&D is a global company, but this acquisition of Emhart Corporation seems to have perhaps morphed the company into the transnational type with a set of loosely bound, mostly inwardly focused hardware companies. This isn’t necessarily where the company wants to go. Grunewald’s initiatives seem to be building a strategy to collapse these transnational, distinct companies into a tighter marketing umbrella. Integrating the companies is this manner will take advantage of operational efficiencies and generate marketing economies, hopefully. This could be a viable strategy assuming that the lock businesses can be approached in the same ways as other ventures in years past. It’s vital that the company understands the diversity involved here: Differing products, like power tools and lock sets, could