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This point can be debated when you consider it empowers each division to run independently while simultaneously keeping a tight rein on each one’s financial output. Yet, due to the highly-related product attributes across the divisions, I tend to agree with the executives. Newell takes this integrative approach one step further than most when acquiring new companies, since it looks to see if it can leverage preexisting relationships with retailers whenever adding a new business. According to the case, the “most important asset in acquisition is shelf space.” Once acquired, the Newellization process begins
As Newell grew as a company, it switched from a functional to divisional management style...
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