Newell Corporation. A SWOT Analysis and the Newell Rubbermaid Corporation

Lastly, Newell Company routinely reached within the acquired companies to share what Newell perceived to be a BKM; Newellization. Even if proven successful financially through a track record (which they did not), Newellization counteracted the intent to increase profits through premium margins. Premium profits can be derived as a symptom to the real value of the supplier; intangible offerings between supplier and buyer within a relationship. As a stand alone company with a culture and philosophy to meet customer needs and most importantly customer specifications, these relationships were destroyed through Newellization. Change can mean good business and extremely positive but only as positive as perceived by the customers. Some of the target companies Newell acquired were in a state of poor quality such as the case with Rubbermaid. The strategy here for acquisition made the worst sense of all. Already alienating their customers through poor shipping operations, the perception grew to that of a belief of complete failure. By the time Newell acquired Rubbermaid, the symptoms of the problem already spread to this failing belief in the core of Rubbermaid.…