In Q3 2020 SSGA engaged with the senior management of Stanley Black & Decker, Inc. to discuss both the challenges and opportunities the company faced due to the COVID-19 pandemic. Black & Decker began to recognize the risks related to COVID-19 as early as January 2020 due to the companyâ€™s extensive Chinese supply chain; given the US-China trade war and the pandemic-related economic shutdown in China around the Lunar New Year, the company experienced significant supply chain disruption. This disruption motivated the company to accelerate moving its supply chain closer to the end consumers, particularly in the US. COVID-19 was a challenge for Black & Decker, but it also created business opportunities for the company as well. The pandemic caused many consumers to adopt a â€œdo it yourselfâ€ approach to home projects, leading to more first-time Black & Decker customers.
The company is now working to maintain this customer loyalty, especially among its newest customers, and to also penetrate markets where Black & Decker has not had a strong presence in the past, such as Europe or Asia.