Subject category:
Strategy and General Management
Published by:
Ivey Publishing
Version: 2005-11-17
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Abstract
This case described the evolution and growth of Gome Home Appliance and its recent restructuring in the context of the fierce competition in the home appliance retail industry. In just 15 years, Gome''s founder Huang Guangyu had led the company to grow to the largest home appliance retail chain (HARC) in China in terms of sales. In spite of this impressive performance, however, the company had felt pressures coming from internal management and from external competition. To respond to these challenges and the changing environment of the industry, Gome started a major organisation restructure in October 2002.
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Abstract
This case described the evolution and growth of Gome Home Appliance and its recent restructuring in the context of the fierce competition in the home appliance retail industry. In just 15 years, Gome''s founder Huang Guangyu had led the company to grow to the largest home appliance retail chain (HARC) in China in terms of sales. In spite of this impressive performance, however, the company had felt pressures coming from internal management and from external competition. To respond to these challenges and the changing environment of the industry, Gome started a major organisation restructure in October 2002.