Electrolux is a global manufacturer of household appliances (refrigerators, dishwashers, washing machines, vacuum cleaners and cookers) and appliances for professional use. The company is focusing on the more innovative green and premium segments of the industry which are less competitive and correspond to higher margins. Weak demand in the largest markets has forced the company to adapt by implementing cost reduction programs by reallocating the majority of production to low-cost countries. Market demand for appliances continues to be weak, Electrolux’s strategy for growth is to improve operating income in Europe through a better product mix and strengthen their position in the premium segment in North America. Volatile raw material costs, as well as intense competition in mature markets and a slow global economy remain a large risk to the company’s margins and profits.