The strategy of a forklift giantLinde Material Handling said in its 2005 annual report its goal was to strengthen the brand name globally by taking into account regional requirements and opportunities.
Hah …???? It means going overseas… lol AYIn the
USA and Asia, Linde’s market shares are
below five per cent. The bulk of Linde's forklift sales - more than 80 per cent - come from Europe.
In 2005, 23 per cent of Linde’s forklift sales came from Germany, 61 per cent from Europe, 4.5 per cent from Asia,
3.9 per cent from North America, 3.1 per cent from Australia/Africa and 1.5 per cent from South America.
The
US market is estimated at 200,000 units this year and Linde wants a double-digit market share in US in three to five years.
Through its acquisitions, Linde now boasts a complete line of forklifts: front stackers, sideloaders, container handlers, retractable mast stackers, high-shelf stackers, vertical and horizontal order pickers, high and low-level lift trucks, tow tractors and platform trucks, automated transport systems and explosion-proof forklifts.
200.000 x 0.04 = 8.000
8.000 equals 3.9% of Linde sales, then total sales equals app. 200.000 units (???)
This is a lot….. These guys are simply too big… I guess the logic is - the bigger, the better....AYLinde’s acquisitions were key to the company spreading its international presence.
(So, the logis is - the bigger, the better ... Remember this statement, we will come to that later.AYA Linde Material Handling spokesperson declined to comment on
synergies between the three brands or the Komatsu partnership.
There is no synergy in business. There are economies of scale and scope, and learning curve. The "Synergy" is when 1 + 1 >2 The synergy effect is created when somebody is playing withnumbers. An ENRON effect. It is just sucks!!! And the Linde&Komatsu sucks even more!!! AY
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And this is what appears in the Fortune magazine:
Tearing up the Jack Welch playbook" ... Sorry, Jack, but we don't buy it. The practices that brought Welch, Goizueta, and others such success were developed to battle problems specific to a time and place in history.
.... Accounting tricks, acquisition mania, outright thievery - executives went overboard.
"
It became all about 'real men make their numbers,' " says one CEO. "What were we thinking?"
....The biggest feat of the decade is not making the elephant dance, as Lou Gerstner famously did at IBM, but inventing the iPod and transforming an industry.
New rule: Agile is best; being big can bite you.
Old rule: Big dogs own the street. Technological advances and changing business models have diminished the importance of scale, as outsourcing, partnering, and other alliances with specialty firms (with their own economies of scale) have made it possible to convert fixed costs into variable ones.
Jack Welch Linde strategy
