Close
    HomeResearch & Knowledgeback to HomeStrategyback to Research & KnowledgeUnilever Ice Cream Europe (A): Taking on the challenges of complexityback to Strategy
    Case Study

    Unilever Ice Cream Europe (A): Taking on the challenges of complexity

    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    7 pages
    December 2009
    Order this case study
    Reference: IMD-3-2082

    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry, with twice the market share of its nearest competitor, but the company was not capturing the full value of its leadership. Overall profitability and the underlying sales growth figures were both below the Unilever average. Kees van der Graaf, appointed in 2001 to head the Unilever Ice Cream and Frozen Foods business in Europe (ICFE), faced the challenge of fixing the business which meant revolutionizing the company’s position in this market. Kees prepared to bring together his top leaders from across the organization to address the first key challenge which was to identify and address the root causes of the issues facing the business. From this opening in the A-case, the 5 part case and video series aims to bring participants on the two year journey which Unilever Ice Cream undertook to address the challenges of complexity and successfully improve both growth and profitability.

    Learning Objective

    Each step in this case and video series builds on the previous one, introducing new challenges, discussion points and learning. Participants begin in the A-case by exploring the challenges of complexity facing Unilever Ice Cream, and can have useful discussions around the causes of complexity, the impact of complexity on the business and the challenges in reducing complexity. These issues and discussions can be directly related to similar challenges facing their own businesses. As the participants move on in the journey with subsequent cases and video footage, they are able to explore how the company successfully tackled complexity, the leadership and organizational challenges it faced in doing so and how these were overcome.

    Keywords
    Complexity, Simplicity, Strategy, Change, Growth, Profitability, Must-win Battles, Food, General Management
    Settings
    Europe
    Unilever
    2001 -- 2003
    Type
    Field Research
    Copyright
    © 2009
    Available Languages
    English
    Related material
    Video
    Case clearing houses
    IMD case studies are distributed through case clearing houses. In order to browse the collection and purchase copies please visit the links below.

    The Case Centre

    Cranfield University

    Wharley End Beds MK43 0JR, UK
    Tel +44 (0)1234 750903
    Email [email protected]

    Harvard Business School Publishing

    60 Harvard Way, Boston MA 02163, USA
    Tel (800) 545-7685 Tel (617)-783-7600
    Fax (617) 783-7666
    Email [email protected]

    Asia Pacific Case Center

    NUCB Business School

    1-3-1 Nishiki Naka
    Nagoya Aichi, Japan 460-0003
    Tel +81 52 20 38 111
    Email [email protected]

    Copyright Information

    IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.

    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    This case study is part of a series
    • Unilever Ice Cream Europe (A): Taking on the challenges of complexity
    • Unilever Ice Cream Europe (A1): Starting conditions (transcript)
    • Unilever Ice Cream Europe (B): The in-home mwb market dive
    • Unilever Ice Cream Europe (C): Winning back at the office
    • Unilever Ice Cream Europe (D): Lessons (transcript)
    Related topics
    Strategy
    Browse all topics
    This case study is part of a series
    • Unilever Ice Cream Europe (A): Taking on the challenges of complexity
    • Unilever Ice Cream Europe (A1): Starting conditions (transcript)
    • Unilever Ice Cream Europe (B): The in-home mwb market dive
    • Unilever Ice Cream Europe (C): Winning back at the office
    • Unilever Ice Cream Europe (D): Lessons (transcript)
    Discover our latest research
    IMD's faculty and research teams publish articles, case studies, books and reports on a wide range of topics
    All case studies
    Unilever Ice Cream Europe (A): Taking on the challenges of complexity
    By Thomas W. Malnight Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2082 ©2009
    Summary
    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry,...
    Read more
    Reference IMD-3-2082
    Copyright ©2009
    Copyright owner IMD Copyright
    Organization Unilever
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Related content
    Case Study
    Unilever Ice Cream Europe (A1): Starting conditions (transcript)

    This case and video is an interview with Kees van der Graaf. He speaks about the start of the journey when he first became head of Unilever ICE and...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2083, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (B): The in-home mwb market dive

    The B-case and video picks up the story of how Kees van der Graaf’s team started coming together to identify and tackle the key challenges ahead. T...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2084, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (C): Winning back at the office

    The C-case and video is an interview with Kees van der Graaf. He speaks about the team’s return to the office following the market dive and how a r...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2085, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (D): Lessons (transcript)

    The concluding case summarizes the key learning points from the journey, which can lead to discussions around how these lessons and the approaches ...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2086, © 2009
    Read more
    Unilever Ice Cream Europe (A1): Starting conditions (transcript)
    By Thomas W. Malnight Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2083 ©2009
    Summary
    This case and video is an interview with Kees van der Graaf. He speaks about the start of the journey when he first became head of Unilever ICE and...
    Read more
    Reference IMD-3-2083
    Copyright ©2009
    Copyright owner IMD Copyright
    Organization Unilever
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Related content
    Case Study
    Unilever Ice Cream Europe (A): Taking on the challenges of complexity

    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry,...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2082, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (B): The in-home mwb market dive

    The B-case and video picks up the story of how Kees van der Graaf’s team started coming together to identify and tackle the key challenges ahead. T...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2084, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (C): Winning back at the office

    The C-case and video is an interview with Kees van der Graaf. He speaks about the team’s return to the office following the market dive and how a r...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2085, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (D): Lessons (transcript)

    The concluding case summarizes the key learning points from the journey, which can lead to discussions around how these lessons and the approaches ...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2086, © 2009
    Read more
    Unilever Ice Cream Europe (B): The in-home mwb market dive
    By Thomas W. Malnight Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2084 ©2009
    Summary
    The B-case and video picks up the story of how Kees van der Graaf’s team started coming together to identify and tackle the key challenges ahead. T...
    Read more
    Reference IMD-3-2084
    Copyright ©2009
    Copyright owner IMD Copyright
    Organization Unilever
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Related content
    Case Study
    Unilever Ice Cream Europe (A): Taking on the challenges of complexity

    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry,...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2082, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (A1): Starting conditions (transcript)

    This case and video is an interview with Kees van der Graaf. He speaks about the start of the journey when he first became head of Unilever ICE and...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2083, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (C): Winning back at the office

    The C-case and video is an interview with Kees van der Graaf. He speaks about the team’s return to the office following the market dive and how a r...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2085, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (D): Lessons (transcript)

    The concluding case summarizes the key learning points from the journey, which can lead to discussions around how these lessons and the approaches ...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2086, © 2009
    Read more
    Unilever Ice Cream Europe (C): Winning back at the office
    By Thomas W. Malnight Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2085 ©2009
    Summary
    The C-case and video is an interview with Kees van der Graaf. He speaks about the team’s return to the office following the market dive and how a r...
    Read more
    Reference IMD-3-2085
    Copyright ©2009
    Copyright owner IMD Copyright
    Organization Unilever
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Related content
    Case Study
    Unilever Ice Cream Europe (A): Taking on the challenges of complexity

    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry,...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2082, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (A1): Starting conditions (transcript)

    This case and video is an interview with Kees van der Graaf. He speaks about the start of the journey when he first became head of Unilever ICE and...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2083, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (B): The in-home mwb market dive

    The B-case and video picks up the story of how Kees van der Graaf’s team started coming together to identify and tackle the key challenges ahead. T...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2084, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (D): Lessons (transcript)

    The concluding case summarizes the key learning points from the journey, which can lead to discussions around how these lessons and the approaches ...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2086, © 2009
    Read more
    Unilever Ice Cream Europe (D): Lessons (transcript)
    By Thomas W. Malnight Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2086 ©2009
    Summary
    The concluding case summarizes the key learning points from the journey, which can lead to discussions around how these lessons and the approaches ...
    Read more
    Reference IMD-3-2086
    Copyright ©2009
    Copyright owner IMD Copyright
    Organization Unilever
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Related content
    Case Study
    Unilever Ice Cream Europe (A): Taking on the challenges of complexity

    In 2001 the profitability and market share of the Unilever Ice Cream Europe (ICE) business were under pressure. ICE was the leader in its industry,...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2082, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (A1): Starting conditions (transcript)

    This case and video is an interview with Kees van der Graaf. He speaks about the start of the journey when he first became head of Unilever ICE and...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2083, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (B): The in-home mwb market dive

    The B-case and video picks up the story of how Kees van der Graaf’s team started coming together to identify and tackle the key challenges ahead. T...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2084, © 2009
    Read more
    Case Study
    Unilever Ice Cream Europe (C): Winning back at the office

    The C-case and video is an interview with Kees van der Graaf. He speaks about the team’s return to the office following the market dive and how a r...

    Strategy
    By Thomas W. Malnight, Tracey S. Keys and Kees Van der Graaf
    Case reference: IMD-3-2085, © 2009
    Read more
    Keep reading
    Article
    Here’s what we predicted for 2024… how did we do?

    Did our predictions for 2024 come true, a turbulent election year, bitcoin and CBDC, COP29 and electric cars, China, EU integration and Euro football

    Finance Future Readiness Geopolitics Strategy Sustainability
    By Robert Hooijberg, Arturo Bris, David Bach, José Parra Moyano, Michael R. Wade, Julia Binder, Howard H. Yu, Simon J. Evenett, Alyson Meister, Salvatore Cantale and Stefan Michel
    in I by IMD
    Read more
    Book Chapter
    The strategic imperative

    In a world where change is the only constant, the strategic imperative for sustainability is not just a theoretical construct – it’s a call to action. This section of the book delves into the core strategies that will enable businesses to thrive i...

    Business Transformation Innovation Strategy
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 59-62 / Hoboken: Wiley, 2025
    Read more
    Book Chapter
    Framing the conversation

    In late 2020, as the world began to emerge from the worst of the COVID-19 pandemic, Wärtsilä, a Finnish corporation specializing in power systems, made a bold decision. Despite being a well-established company with a strong track record in...

    Strategy Leadership Disruption
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 1-7 / Hoboken: Wiley, 2025
    Read more
    Case Study
    NTT at a crossroads (A): Quest for growth

    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2351, © 2024
    Read more
    Case Study
    NTT at a crossroads (B): Mapping growth options

    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in bil...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2352, © 2024
    Read more
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (A): Leadership lessons

    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircra...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2618, © 2024
    Read more
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (B): Sustainability lessons

    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircra...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2619, © 2024
    Read more
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (C): China market lessons

    Daikin’s success in the Chinese air conditioning market serves as a compelling case study in strategic adaptation and collaboration. Following its entry into the market in the 1990s, Daikin faced formidable competition from well-established domest...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2620, © 2024
    Read more
    Article
    Busting the myth of flashy innovation

    Learn why flashy innovation often fails and how a strategic, fact-based approach can drive real innovation success in corporate environments. Insights from industry experts.

    Strategy
    By Joep de Caluwé
    in I by IMD
    Read more
    Article
    Busting the myth of flashy innovation

    Learn why flashy innovation often fails and how a strategic, fact-based approach can drive real innovation success in corporate environments. Insights from industry experts. In this final article in a series of three articles, Joep De Caluwé (EMB...

    Strategy Innovation
    By Joep de Caluwé
    in I by IMD
    9 December 2024
    Read more
    Here’s what we predicted for 2024… how did we do?
    By Robert Hooijberg Arturo Bris David Bach José Parra Moyano Michael R. Wade Julia Binder Howard H. Yu Simon J. Evenett Alyson Meister Salvatore Cantale and Stefan Michel
    in I by IMD
    Summary
    Did our predictions for 2024 come true, a turbulent election year, bitcoin and CBDC, COP29 and electric cars, China, EU integration and Euro football
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Finance
    Future Readiness
    Geopolitics
    Strategy
    Sustainability
    Browse all topics
    The strategic imperative
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 59-62 / Hoboken: Wiley, 2025
    Summary
    In a world where change is the only constant, the strategic imperative for sustainability is not just a theoretical construct – it’s a call to action. This section of the book delves into the core strategies that will enable businesses to thrive i...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Business Transformation
    Innovation
    Strategy
    Browse all topics
    Framing the conversation
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 1-7 / Hoboken: Wiley, 2025
    Summary
    In late 2020, as the world began to emerge from the worst of the COVID-19 pandemic, Wärtsilä, a Finnish corporation specializing in power systems, made a bold decision. Despite being a well-established company with a strong track record in...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Leadership
    Disruption
    Browse all topics
    Related content
    Book
    Leading the sustainable business transformation A playbook from IMD

    Based on extensive research conducted in the past several years at the International Institute for Management Development in Switzerland (IMD), Leading the Sustainable Business Transformation: A Playbook from IMD helps readers understand why susta...

    Business Transformation Sustainability Organizational Design
    Edited by Julia Katharina Binder and Knut Bjarne Haanaes
    Published by Wiley, © 2025
    Read more
    NTT at a crossroads (A): Quest for growth
    By Patrick Reinmoeller
    Case reference: IMD-7-2351 ©2024
    Summary
    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of the 2000s, Japan faced challenges with an aging population and a stagnant economy. Recognizing disruption in the ICT sector, CEO Satoshi Miura understood the need for the dominant players in the ICT industry to integrate emerging business domains beyond their existing frameworks. To secure leading global positions in ICT and the new paradigm of cloud computing, Miura needed to make strategic choices to revive growth. Case A provides information on NTT, its rivals, the global market and cloud computing disruptions. The case ends with NTT’s CEO exploring strategic growth options to prepare NTT for the future.
    Reference IMD-7-2351
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Nippon Telegraph and Telephone
    Industry Services, Telecommunications;Information Technology
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    General Management
    Digital
    Disruption
    Browse all topics
    Related content
    Case Study
    NTT at a crossroads (B): Mapping growth options

    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in bil...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2352, © 2024
    Read more
    NTT at a crossroads (B): Mapping growth options
    By Patrick Reinmoeller
    Case reference: IMD-7-2352 ©2024
    Summary
    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in billion $ write offs and stopped international acquisitions. However, after reviewing the disruptive changes facing the ICT industry and considering the shareholders’ views, CEO Miura committed to internationalization. The B case details NTT’s growth strategy focused on internationalization, while considering the need for new capabilities and technologies. It provides more insights into NTT, its opportunities and the Japanese experience with M&As and ends with Miura’s determination to quickly grow through international expansion to prepare NTT for the future.
    Reference IMD-7-2352
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Nippon Telegraph and Telephone
    Industry Services, Telecommunications;Information Technology
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    General Management
    Digital
    Disruption
    Browse all topics
    Related content
    Case Study
    NTT at a crossroads (A): Quest for growth

    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2351, © 2024
    Read more
    Overcoming adversity through innovation – Daikin at 100 (A): Leadership lessons
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2618 ©2024
    Summary
    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircraft components. However, the company pivoted towards refrigeration technology in response to emerging market demands, notably during Japan’s post-World War II economic boom. By leveraging R&D in fluorocarbons and innovative cooling technologies, Daikin established itself as a leader in the air conditioning sector. The case highlights key leadership eras, notably the transformative periods under Noriyuki Inoue. Under Inoue’s stewardship, the company emphasized execution capabilities, prioritizing operational excellence alongside technological advancement. His leadership drove Daikin’s globalization strategy, enabling the company to become the second-largest fluorocarbon producer globally and the foremost player in the air conditioning market. As Daikin approaches its 100th anniversary, it faces contemporary challenges such as climate change and increasing consumer demands for energy-efficient products. The company’s commitment to innovation remains pivotal as it seeks to balance profitability with environmental responsibility. This case prompts discussion on Daikin’s strategic responses to evolving market conditions and the importance of leadership in sustaining growth.
    Reference IMD-7-2618
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Daikin Industries
    Industry Consumer Goods, Home Appliances
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Global Business
    Strategy
    Browse all topics
    Related content
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (B): Sustainability lessons

    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircra...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2619, © 2024
    Read more
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (C): China market lessons

    Daikin’s success in the Chinese air conditioning market serves as a compelling case study in strategic adaptation and collaboration. Following its entry into the market in the 1990s, Daikin faced formidable competition from well-established domest...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2620, © 2024
    Read more
    Overcoming adversity through innovation – Daikin at 100 (B): Sustainability lessons
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2619 ©2024
    Summary
    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircraft components. However, the company pivoted towards refrigeration technology in response to emerging market demands, notably during Japan’s post-World War II economic boom. By leveraging R&D in fluorocarbons and innovative cooling technologies, Daikin established itself as a leader in the air conditioning sector. The case highlights key leadership eras, notably the transformative periods under Noriyuki Inoue. Under Inoue’s stewardship, the company emphasized execution capabilities, prioritizing operational excellence alongside technological advancement. His leadership drove Daikin’s globalization strategy, enabling the company to become the second-largest fluorocarbon producer globally and the foremost player in the air conditioning market. As Daikin approaches its 100th anniversary, it faces contemporary challenges such as climate change and increasing consumer demands for energy-efficient products. The company’s commitment to innovation remains pivotal as it seeks to balance profitability with environmental responsibility. This case prompts discussion on Daikin’s strategic responses to evolving market conditions and the importance of leadership in sustaining growth.
    Reference IMD-7-2619
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Daikin Industries
    Industry Consumer Goods, Home Appliances
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Global Business
    Strategy
    Browse all topics
    Related content
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (A): Leadership lessons

    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircra...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2618, © 2024
    Read more
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (C): China market lessons

    Daikin’s success in the Chinese air conditioning market serves as a compelling case study in strategic adaptation and collaboration. Following its entry into the market in the 1990s, Daikin faced formidable competition from well-established domest...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2620, © 2024
    Read more
    Overcoming adversity through innovation – Daikin at 100 (C): China market lessons
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2620 ©2024
    Summary
    Daikin’s success in the Chinese air conditioning market serves as a compelling case study in strategic adaptation and collaboration. Following its entry into the market in the 1990s, Daikin faced formidable competition from well-established domestic brands like Gree and Midea. Despite the initial challenges of breaking through in a fragmented and competitive landscape, Daikin’s innovative inverter technology became a distinguishing feature of its product offerings. The watershed moment in Daikin’s trajectory occurred in 2008 when it formed a strategic partnership with Gree, China’s largest air conditioner manufacturer. This collaboration enabled Daikin to tap into Gree’s expansive distribution network and manufacturing expertise, significantly enhancing its own market reach. The partnership proved mutually beneficial; Gree capitalized on Daikin’s advanced inverter technology while Daikin secured a foothold in a market driven by increasing consumer demand for energy-efficient solutions. By 2012, inverter air conditioners claimed over 60% of the Chinese market share, a figure that surged to over 90% by 2024, illustrating the success of their joint efforts. Furthermore, Daikin’s commitment to sustainability was manifested in its pioneering use of HFC-32 refrigerant, known for its low global warming potential. By openly licensing HFC-32 patents globally, Daikin not only positioned itself as an environmental leader but also fostered industry-wide innovation. This case highlights the critical importance of strategic partnerships and innovation in overcoming competitive challenges and underscores Daikin’s role as a transformative force in the global air conditioning market.
    Reference IMD-7-2620
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Daikin Industries
    Industry Consumer Goods, Home Appliances
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Global Business
    Strategy
    Browse all topics
    Related content
    Case Study
    Overcoming adversity through innovation – Daikin at 100 (A): Leadership lessons

    This case study examines the remarkable evolution of Daikin Industries, a company that demonstrated resilience and innovation over nearly a century. Founded in 1924 by Akira Yamada in Osaka, Japan, Daikin originally focused on manufacturing aircra...

    Global Business Strategy
    By Kazuo Ichijo and Yunfei Feng
    Case reference: IMD-7-2618, © 2024
    Read more
    Busting the myth of flashy innovation
    By Joep de Caluwé
    in I by IMD
    Summary
    Learn why flashy innovation often fails and how a strategic, fact-based approach can drive real innovation success in corporate environments. Insights from industry experts.
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Busting the myth of flashy innovation
    By Joep de Caluwé
    in I by IMD 9 December 2024
    Summary
    Learn why flashy innovation often fails and how a strategic, fact-based approach can drive real innovation success in corporate environments. Insights from industry experts. In this final article in a series of three articles, Joep De Caluwé (EMB...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Innovation
    Browse all topics