Egyptian Swedish Air Conditioning Co. S.A.E.
Mohamed Farag:
Ali Kafafi:
Nellie El Enany:
Manufacturing
November 2019
Strategy
Egyptian Swedish Air Conditioning (ESAC) is a locally operated company specializing in energy-efficient, industrial-grade air-conditioning (AC) units. Throughout the turn of events that guide us through this story, ESAC’s management are bewildered by a labyrinth of environmental factors which, on the one hand, threaten the operational efficiency of the company over the short term, while, on the other, eat away at its long-term prospects. As such, the case at hand becomes a business study about change management and the need to adapt according to the environmental context in which a company is submerged. Specifically, the prominence of this case study is due to the company’s ability to successfully determine the need to change, and, in a likewise professional manner, manage its transition into the previously unexplored terrain of a new business model. The latter point is of exceptional importance, as ESAC has high levels of committed capital, manifested by plant and operating machinery. In that sense, the paper seeks to examine the mental processes that guide a successful venture of business transformation (i.e., to understand the framework behind such success).
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