Schneider Electric in India: Power Backup Products

Published 27 Jul 2012
Reference 5882
Topic Strategy
Region Asia
Summary

By 2011, Schneider Electric has built a substantial uninterruptible power supply business in India by adapting global products. But another power backup opportunity - the inverter sector - is more India-specific. The question is whether to prioritize this and, if so, whether to build it organically or by acquiring an Indian competitor.

Teaching objectives

This case illustrates globalization vs. localization forces in international business, sources of competitive advantage for multinational companies vs. emerging market players, achievement of frugal innovation in countries like India, strategic choices in international expansion, diversification strategies and use of organic growth vs. acquisition as modes of market entry and growth.

Keywords
  • Emerging Markets
  • Power Backup and Energy management
  • Corporate Strategy and Diversification
  • Frugal Innovation
  • International Business
  • Multinational Strategy
  • Competitive Advantage
  • Mergers and Acquisitions
  • Q41112