Browsing by Author "Fernandes, Maria Teresa Monteiro"
Now showing 1 - 1 of 1
Results Per Page
Sort Options
- Analysis of a competitive market relocation to China for a private automotive manufacturing company through an internationalization strategyPublication . Fernandes, Maria Teresa Monteiro; Romeiro, Paulo Alexandre Mendes RamosThe auto industry globalization influences all the supply chain, and, in fact, research has shown that the industry’s giant players, specifically the OEMs (Original Equipment Manufacturers), are demanding global suppliers. We analyzed an European private familyowned automotive interior fabric and foils manufacturing company with two production plants located in Europe, it needs to be capable of follow its main clients’ strategies. The company is currently exporting its products through local agents to fulfill its clients’ requirements in China. However, after a market analysis, to export seems not be a sufficient strategy to have a sustainable growth in China in the long run. In order to both fulfill the market requirements and be congruent with the company’s organizational culture there were analyzed, additionally, four relocation strategies, to have local warehouses, to sell the technology to a Chinese company, and to produce abroad, through a wholly owned subsidiary or a JV agreement. Combining the two conditions with the company past experiences, to do a JV agreement was chosen as the most suitable strategy. Indeed, to have a Chinese partner has many advantages in such highly competitive and unknown market. A production plant inland allows the company to defend its European clients in China, and, besides, opens the door to future growth opportunities, being China the world biggest automotive market.