Newell Company Mini Case
Newell Co. is considered to be a conglomerate with multiple business focusing on the home and office industry. What’s special about Newell is that they specialize in producing goods that are timeless and are in demand year-round, low cost, and low technology. This combination allows Newell to be successful across its corporate level operations and business.
Some examples of this includes how Newell can sell their multiple products in packages from various businesses under their name, specialize in shipping efficiencies and cost reductions, and the value added from the connections they have with major volume merchandisers. Even with these few examples, Newell proves itself to be a great completive business difficult to replicate and one that is highly reliable, efficient, and timely. However, Newell Co. does have a few shortcomings with the inconsistency they have with their profits and revenues each year. The growth in both of these areas vary and isn’t necessarily healthy for the business in a long-term lens. Newell must address this by allowing room for error and flexibility to try new techniques that will …show more content…
has been on a great track and has made quite a few business acquisitions. Calphalon and Rubbermaid were two businesses that Newell Co. and are by far the largest acquisitions due to the potential growth the company has with them. These businesses are relatively smaller companies for Newell Co. to gain, yet it presents the large value from the product differentiation and access they now have to new markets. Newell’s market value could potentially reach $10 billion in addition to a potential increase in attention from shareholders. As long as Newell can manage a balance between their growth and profitability, these mergers should lead to long term success for Newell Co. However, Calphalon and Rubbermaid’s financial data shows that Newell Co. will have to cut down some of the costs in order to keep stability for long-term
Some examples of this includes how Newell can sell their multiple products in packages from various businesses under their name, specialize in shipping efficiencies and cost reductions, and the value added from the connections they have with major volume merchandisers. Even with these few examples, Newell proves itself to be a great completive business difficult to replicate and one that is highly reliable, efficient, and timely. However, Newell Co. does have a few shortcomings with the inconsistency they have with their profits and revenues each year. The growth in both of these areas vary and isn’t necessarily healthy for the business in a long-term lens. Newell must address this by allowing room for error and flexibility to try new techniques that will …show more content…
has been on a great track and has made quite a few business acquisitions. Calphalon and Rubbermaid were two businesses that Newell Co. and are by far the largest acquisitions due to the potential growth the company has with them. These businesses are relatively smaller companies for Newell Co. to gain, yet it presents the large value from the product differentiation and access they now have to new markets. Newell’s market value could potentially reach $10 billion in addition to a potential increase in attention from shareholders. As long as Newell can manage a balance between their growth and profitability, these mergers should lead to long term success for Newell Co. However, Calphalon and Rubbermaid’s financial data shows that Newell Co. will have to cut down some of the costs in order to keep stability for long-term