Black & Decker was recognized as the international leader in the power tool industry in the early 1980s. However, due to the maturity of its power tool business and the competition from companies joining the global market, B&D has grown from a single company to a diversified company. Early success with acquisitions such as GE led the company to acquire Emhart, a highly diversified manufacturer of industrial products. The Emhart acquisition is well-documented and provides a road map for the internal and external challenges and opportunities that companies face when trying to gain market share, increase profits and grow globally. global scale through diversification. Thus, the integration and globalization strategy used by B&D after the acquisition of Emhart will be examined.Globalization Strategy1. What do you think of Grunewald's plan to create a "global locksmith company"? Grunewald's plan to gain market share by acquiring a company that would continue Black & Decker's diversification strategy and allow entry into other international markets had merit. This is actually why he was hired: to grow the company globally (Cummings & Worley, 2009). According to Nolan Archibald, CEO of B&D, Emhart's distribution channels and products such as Kwikset door locks, Price Pfister faucets and Bostik adhesives were aligned with B&D's product lines, in other words, they matched well (Deutsch, 1989). Additionally, both companies have international experience. B&D targets homeowners while Emhart's target market is industrial (Deutsch, 1989). Additionally, the merger will significantly increase B&D's margin. For example, Archibald estimates an increase in revenue of $50 million from moving products through integrated distribution channels (Deutsch, 1989). Finally,...... middle of document ...... its global strategy and to be competitive with existing international companies (Yips, 1996). Conclusion The ability to compete on a global scale is a problem that all businesses face. This requires moving away from traditional ways of operating and being aware of the external and internal forces that can undermine a business's success. Thus, a clear strategic plan developed by experienced and committed managers is necessary. B&D assumed that its past success in diversification and acquisitions had kept it from making a misstep. This bravado, if you will, led B&D to ignore the warning signs when acquiring Emhart; a business that took around ten years to recover from. Therefore, B&D returned to its core strategy of product innovation, quality and focus on profitable business acquisitions in order to remain competitive in the global market..