Nobody downloaded yet

International study case - Essay Example

Comments (0) Cite this document
Summary
Introduction The case provided is about the Hero Honda Motors Limited which is actually a merger of two companies in India, one of which is Hero Cycles of India and Honda Motors of Japan. The joint venture was formed in 1984 when India had started to liberalize when it comes to imports and foreign direct investment…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.8% of users find it useful
International study case
Read TextPreview

Extract of sample
"International study case"

Download file to see previous pages The success of Hero Honda has been prominent to such an extent that in the Indian market, when the general public is referring to the two wheeler industry, the first name that comes on top is the Hero Honda Motors Limited. The company has managed to secure the top spot in India when it comes to volumes in the two wheeler industry and the second spot in the world in the same category. Background As mentioned above, the Hero Honda company formed as a result of a joint venture of the Hero Group of India, owned by the Munjal family, and Honda Motors of Japan. The company started with each of the two co-owners possessing 26% of the company with the rest owned by the public and financial institutions. The arrangement to form the joint venture was initially on a 10 year period till 1994 and Honda Motors was supposed to provide the technology and technical expertise while Hero Cycles was responsible to bring in local talent for the company management including the marketing, human resources and finance managers. A period of uncertainty followed in this joint venture when Hero Honda began to lose its market share due to the fact that the Honda research and development department was too slow to introduce new products for the Indian market. Therefore, they initially missed out on the boom in the two wheeler industry from the year 1993 to 1996 but soon recovered as the clauses of contract of Hero Honda were renegotiated and the research and development was given priority. Since then, Hero Honda has been on a constant rise and quickly managed to beat its competitors to become the producer with the highest market share in the industry. Issues As India began to liberalize and foreign direct investment was allowed into the nation, the foreign investors could view the huge population as a major motivator to invest. Soon, the emergence of Hero Honda, Bajaj, TVS, and Yamaha made this industry a very dynamic one where every company was competing against themselves to be the market leader. In the case of Hero Honda however, it was much more complex than its competitors. The competitors including Bajaj and TVS were giving Hero Honda a tough time in the domestic as well as in the international market. Bajaj and TVS had also formed joint ventures of their own and therefore they were not far behind Hero Honda on technological grounds. Along with this, the Indian market prefers to buy a two wheeler at a low price given that it is usually the lower and the middle financial class, who cannot afford to buy cars, that buys the two wheelers. This encouraged the importers to introduce the China-made motorbikes in India which were priced at a much lower level than its Indian counterparts. This made it necessary for the Hero Honda marketing department to position the brand as such to make it the preferred option for the Indian buyer. Unfortunately for Hero Honda, the company had to face not only the external competition but also internal due to poor cooperation between the partner firms. The Honda Motors’ Research and Development department was not located in India and they had little Indian customer insights. This meant that the R & D department was unable to respond to the changing Indian two wheeler market as fast as other competitors were. Along with this, when Honda decided to open its subsidiary firm on its own to produce scooters in India, it was also felt that they may also decide to part ways with Hero group and start ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“International study case Essay Example | Topics and Well Written Essays - 2000 words”, n.d.)
International study case Essay Example | Topics and Well Written Essays - 2000 words. Retrieved from https://studentshare.org/business/1460406-international-study-case
(International Study Case Essay Example | Topics and Well Written Essays - 2000 Words)
International Study Case Essay Example | Topics and Well Written Essays - 2000 Words. https://studentshare.org/business/1460406-international-study-case.
“International Study Case Essay Example | Topics and Well Written Essays - 2000 Words”, n.d. https://studentshare.org/business/1460406-international-study-case.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
Case study - international marketing
...the product as per the need of customers and get aware of the opportunities in the given market (DesignCouncil, n.d.). 4. One important lesson that Whirlpool learned in the market of China and other is that the local market overview is as important as the international overview. Besides this, before venturing on with investments in international markets, be it direct or through a joint venture, the business must know its consumers’ preferences. Starbucks 1. The market expansion strategies used for domestic and international locations are different because there are variables such as culture that create risk for the investor while investing in international markets. In...
6 Pages(1500 words)Essay
International HRM Case Study
... R.Preeti 16/4/2008 INTERNATIONAL HRM Today's fast paced modern world offers a lot more than was previously imaginable! Every aspect of our lives is influenced not just by local, but also national and international factors, that govern our lives today. The enhancement and growth of communication channels, the spreading of production and consumption across the world and the changing lifestyles due to the influence and merging of cultures have become the order of the day. This is known as the New Age of Globalization, wherein the whole world is perceived as a Global Village. This paper talks about this Globalization that has taken over the entire... ...
8 Pages(2000 words)Case Study
International Law Case Study
...International Law Introduction International law can be defined as the body of laws governing relations between nations. It defines the structure and conduct of sovereign states and intergovernmental organizations. United Nations have formulated lot of laws for the peaceful negotiation of international disputes between different countries. But in most of the dispute cases, even the member countries of the UN, violate these laws whenever they get a chance. This report is prepared as a memo to analyse five different disputes or incidents in which the international law has been violated or justified. Invasion of Whiteland by Redland In the give...
15 Pages(3750 words)Case Study
International Business Case Study
...169061 How can Bernard Arnault improve the LVMH Group 's ability to take the Western Art de Vivre into Asia in the 21st century LVMH with World known brands and a high developmental potential, already a World leader providing luxury goods with 56,000 employees worldwide, is run by Bernard Arnault who brought radical changes into the company, earning the name 'terminator'. The company can be taken by its able administrator to Asia in the 21st century by selected distribution, communication, adding selected value, direct production and marketing. The company is well known in Asia and Arnault has to explore existing business opportunities by sharing basic values and keeping rigid brand autonomy. Asian markets respect exclusive brands...
3 Pages(750 words)Case Study
International Trade Case Study
...<International Trade> and Section # of A BUSINESS OPPORTUNITY ANALYSIS OF A NEW INTERNATIONAL BUSINESS VENTURE THE FIRM MIGHT UNDERTAKE Company Background The company which has introduced the sports caf is called Interfresh Ltd. The company is located in Harare, Zimbabwe. Interfresh Limited is in the business of producing, processing and marketing agricultural, horticultural, agro-industrial and allied food products in both the local and export markets. Opening up of the sports caf means total market diversification for the company, since it has never dealt with such a business before. Therefore, the sports caf is one of the endeavors of the Interfresh Ltd Company to provide entertainment to the customers along with great food service... and this will harm the...
14 Pages(3500 words)Case Study
International finance case study
...International Finance Case Study and Section # of Contents Contents 2 INTRODUCTION 3 LACK OF HARD CURRENCY 3 HIGHER INFLATION 4 FIXING EXCHANGE RATE 5 HIGHER WAGE RATES 6 CAPITAL EXPENDITURE APPRAISAL 6 BETTER POLICIES FOR THE LOCALS 7 DIFFERENCE IN NATIONAL GROWTH RATES 7 TYPE OF FDI 8 EXCHANGE CONTROL 9 COMPLICATIONS IN CURRENCIES MANAGEMENT 10 CONCLUSION 11 Bibliography 12 INTRODUCTION The foreign investment by the company represents entry of the company into a new venture. Since the beginning, all the manufacturing was done by the company on the homeland of United Kingdom. Board of Directors has always considered the entry of company into a foreign venture to be riskier than...
10 Pages(2500 words)Essay
International Marketing Case Study
...can be positive or negative depending on the brand image in the minds of the customers (Philip Kotler, 2008). So, by using a famous national sports star like Li Ning, a brand succeeds in building a strong brand personality which eventually becomes a source for brand equity. Positive brand equity enhances the value of the brand and makes the brand name a source of sustainable competitive advantage for the company. On the flip side using a brand ambassador who is a national hero may have limited appeal if the brand is an international one and is targeting audiences in different nations of the world. In such cases the company should rely on multiple brand ambassadors who are heroes in their countries of...
5 Pages(1250 words)Coursework
Case Study International Business
...and apparent that IBM is wholeheartedly pursuing a level of diversification, change, globalization, and development. Even though the industry could clearly be categorized as an established firm that has been able to accrue a wide level of profitability from various consumers in the past, it understood the fact that the global structure within the world was changing at a rapid pace. Furthermore, rather than merely relying upon the talent at home and seeking to leverage this talent as a means of delivering upon products and services that international clients demanded, IBM came to the realization that immediate change and diversification with a globalized clientele must take place in order for the firm to become more...
2 Pages(500 words)Essay
INTERNATIONAL ORGANIZATIONAL CASE STUDY
...International Organizational Case Study Affiliation: An understanding of the complexities of globalization and implications for this organization Globalization for any multinational corporation brings many positives and negatives. A company in its headquarters has its own organizational culture which is in line with the culture of the country. However, once the country becomes global, it may be forced to change these organizational cultures to be in line with the culture of the foreign nation if the culture demands so. This is so if there is to be success, growth and development for the global company. Nestle is one of these companies that was affected by the culture of China and had to...
3 Pages(750 words)Case Study
International Expansion (Case Study)
...International expansion What decision criteria were being used in the selection of potential nations for expansion? Astable liquid net worth of at least US$1 million Verifiable experience within the hospitality industry Ability and desire to develop multiple locations The cost of a franchise estimated at US$100,000 per restaurant franchise fee, five percent gross sales royalty fee and a two percent of gross sales fee as a contribution to the national advertising campaign eliminated qualified prospects. Are there other criteria the company should have included? Demand for the services. The income level of people in the country Availability of the same services in potential countries 2. Of the four potential options,...
2 Pages(500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic International study case for FREE!
Contact Us