is a global company which designs, produces, and distributes appliances to more than 70 countries around the world. The company was incorporated in 1946 in Mexico City. Mabe was initially dedicated to manufacture kitchen furniture. In the 1950s, Mabe began manufacturing various appliances such as gas ranges and refrigerators. Rapid growth allowed Mabe to become the leading exporter of appliances in Mexico
The United Mexican States , commonly known as Mexico , is a federal constitutional republic in North America. It is bordered on the north by the United States; on the south and west by the Pacific Ocean; on the southeast by Guatemala, Belize, and the Caribbean Sea; and on the east by the Gulf of...
as early as 1960.
In 1986, Mabe entered into an important joint venture with General Electric
General Electric Company , or GE, is an American multinational conglomerate corporation incorporated in Schenectady, New York and headquartered in Fairfield, Connecticut, United States...
Co. to produce appliances for the US market. As part of an effort to move away from controlling Mexican operations from the US, GE decided to enter into the joint venture with a 48 per cent minority stake. While GE hoped to gain access to Mexico’s low cost labour pool, Mabe was given greater access to the world’s largest consumer market through GE’s US distribution network. By the mid '90s, more than two-thirds of all gas ranges and refrigerators imported into the United States were designed and manufactured by Mabe in Mexico, while 95 per cent of those sold under the General Electric names were designed in Mabe's San Luis Potosi
San Luis Potosí officially Estado Libre y Soberano de San Luis Potosí is one of the 31 states which, with the Federal District, comprise the 32 Federal Entities of Mexico. It is divided in 58 municipalities and its capital city is San Luis Potosí....
plant, the biggest kitchens plant in the world http://www.mabe.com.ar/portal/main.aspx?pid=Em9%2BbCT8JDuqzJ4o%2BKiHUA&idioma=143&parent=BfgdjnGyzOImolhvfwaBsOPkYqVb1Ot2
. As a result, Mabe became the leading brand in Mexico, moving ahead of Vitro’s Acros brand with a domestic market share of 50 per cent.
As the company continued to grow, exports and production remained concentrated in Latin America. By the mid '90s, Mabe was one of the leading appliance manufacturers in the world with annual growth between 15 and 20 per cent. In Mexico, Mabe all but dominated the market, while in Latin America, Mabe commanded a 70% market share
Market share is the percentage of a market accounted for by a specific entity. In a survey of nearly 200 senior marketing managers, 67 percent responded that they found the "dollar market share" metric very useful, while 61% found "unit market share" very useful.Marketers need to be able to...
in home appliances.
The group also entered into several joint ventures and alliances with other regional manufacturers. Solid sales growth in Latin America all but eliminated the impact of the peso crisis in 1995.
In Latin America, Mabe held the rights to distribute their products under a variety of well known brands, such as GE and a number of regional brands. The regional brands were well established in their respective countries.