Newell Rubbermaid Case
Newell drives growth through relentless acquisition of related firms, and is now in the process of merging with Rubbermaid. Whereas previous acquisitions have been of smaller firms taken under Newell’s management, the Rubbermaid merger will result in a new company: Newell Rubbermaid. Based on Newell’s current strategy and Rubbermaid’s market standing, this merger appears to be a value trap due to inherent conflicts between the firms strategically and culturally, which may complicate the process of “Newellization.”
Newell Overview. Newell is currently pursuing a strategy of service quality superiority with its divisional businesses, which are part of the firm’s related diversification to bolster its growth. Newell acquires
