We had been right, after Whirlpool, now it’s up to Electrolux to be at the center of the world risk of the majaps.
As we anticipated on FIRSTonline when announcing the agreement between Whirlpool and Arçelik, to be in sale it is the entire Swedish white goods giant, not only, as it seemed at first glance, the US branch which is doing decidedly badly and which has not been that treasure chest for years, from which the entire Swedish group drew precious resources for the European market less and less profitable.
Midea in pole position for the acquisition
With the fall of the North American market (and the layoff of over 4,000 workers) these resources have disappeared while the European market is becoming increasingly heavy, competitive, prey to frenzied promotions, sales and slumps in purchases. Not only. We can anticipate that it is precisely the big Chinese Mideawould-be buyer of Whirlpool Emea and always looking for established brands, a be in pole position and this time with excellent chances of winning because, among other things, it is buying up managers in the sector.
This is a sign of profound and substantial corporate changes in sight. Midea is, like almost all Chinese giants, above all a manufacturing giant and in fact it is the first supplier of Electrolux, with mega factories in China. But as for brands, notoriety, managers, strategies, tactics and ideas necessary for a company that has to operate on world markets, it is decidedly unguarded. Especially if it has to face competitors that are growing through mergers, joint ventures and acquisitions.
With the joint-venture just signed between Whirlpool and Arçelik, Europe, the Middle East and Africa are increasingly dominated by the Turkish giant which -among other things- is part of the holding company Koç, capable of supporting very fast and very broad growth with solid financial resources. Other Chinese giants plus the Koreans are competing for the best markets, managers and the most important and decisive eco-sustainable innovations to face the emergencies to come, i.e. the European markets. And with North and Sub-Saharan Africa and South Africa growing.
Bosch reigns in Europe
Today, the European market sees only one protagonist stand out, the German group Bosch which has been investing in the brand, innovations and eco-sustainability for years now. The growth of the group in 2022 – not yet disclosed – should be around 4-5% with Bosch Italia growing more than the group’s European and world average, with an excellent 5.7%, despite the fact that in 2022 the group German large supplies of household appliances have failed due to logistical difficulties and non-arrivals of components. But in the meantime also the sector of small appliances is in turmoil, with the French SEB which bought the brilliant Segafredo brand, San Marco, a specialist in the segment of lever-operated espresso machines. And since coffee and its surroundings make a lot of money and are booming, the Chinese group is finally making a move Hillhouse Capitalwhich, two years ago, bought the sector from Philips Philips Domestic Appliances with Italian jewels Gaggia And Faema. The group will be called – with an at least questionable name – Veruni and as such it will land in Europe. Another Chinese giant arriving in Europe, albeit with the make-up of a new brand under the Philips Domestic Appliances label.
