Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

AEG, Electrolux, Eureka, Frigidaire, Westinghouse, and Zanussi are the company's eight strategic brands. AEG has a leading role in appliances in declining order of importance

AEG, Electrolux, Eureka, Frigidaire, Westinghouse, and Zanussi are the company's eight strategic brands. AEG has a leading role in appliances in declining order of importance in Germany, Austria, the Benelux countries, and Scandinavia thanks to tradition and a firm emphasis on architecture and efficiency. Electrolux is a well-known brand in most of Europe and Latin America. Frigidaire is the brand name for mass-market appliances in North America. Aside from these strategic brands, there are several smaller regional and local brands. The aim is to gradually reduce the number of labels. Westinghouse is the most well-known Electrolux brand in Australia. Consumer purchasing choices for home products are constantly being influenced by visits to numerous websites and blogs, as well as the use of social media. As a result, the Electrolux websites are among the most effective platforms for persuading consumers. it shows that each countries and sub region demand for the different brand of Electrolux appliances and not for Electrolux appliances only as Electrolux have acquired multiple brands between 1962 until 2015. For example, AEG as a leading brand in Germany, Austria, the Benelux Countries and Scandinavia while in most of Europe and Latin America, the leading brand is Electrolux. Aside from these strategic brands, there are smaller regional and local brand that Electrolux aim to gradually reduce the number of labels. So, this is the alternative strategies for that problem Alternative one is changing the name of the different brands into Electrolux only. It will make Electrolux to be easily remember and widely known as there is only one name use. To this, Electrolux should show an informative advertising and claim that it is the same product and there are only changes to the name of the brand. Also, this change should be done when there is new product development for the products so this way the existing product will be advertise as a new fresh look that is better and improved and should be done one by one, rather than releasing it all by once as it need to be accepted by group-by-group and country-by-country. However, this may be difficult as it may cause a controversy in changing the name of the brand. Loyal consumers of the brand may have difficulty in trusting the brand even though it was the same product. So, my question is: If the strategy is implemented what are the advantages or positive outcome of the alternative strategies. Please explain it

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managing Controlling and Improving Quality

Authors: Douglas C. Montgomery, Cheryl L. Jennings, Michele E. Pfund

1st edition

471697915, 978-0471697916

More Books

Students also viewed these Marketing questions