Case Study
Arçelik aims for Europe
Background: domestic strength in the 1990s
Arçelik has been making domestic appliances – washing machines, refrigerators, freezers and ovens – since the 1950s. It is controlled by one of Turkey’s leading and most respected industrial groups, Koç Holdings. The holding company had sales of $43 billion in 2010 and, within this, Arçelik had sales of $3.5 billion – by any standards, an important company. Back in the 1990s, Arçelik’s domestic appliance business had been steadily expanded to dominate its Turkish home market. The country itself had a population of over 70 million with rapidly rising wealth. Arçelik’s nearest competitor was another Turkish company called Vestel. But Arçelik’s strategies were so successful that it had almost four times the sales of its rival…..