Renault and Nissan are two major automobile brands working independently as well as are in a 19-year old alliance where Renault holds 43.4 percent stake in Nissan and Nissan owns 15 per cent in Renault. The Renault-Nissan Alliance is the first of its kind involving Japanese and a French company. Renault was identified for modern design and Nissan for the excellence of its engineering. The two companies had just decided to a most important strategic alliance in which Renault would take for granted $5.4 billion of Nissan’s Debt in return for a 36.6% equity share in the Japanese company. Before the alliance it was concluded that the combined company would be the world’s largest car-maker. In the case of Renault-Nissan, it is preferable to have an alliance than merger for many reasons. Alliances would facilitate more than mergers the entrance for companies to new geographical phases where there are Continue reading
Business Analysis Case
Case Study of FedEx: A Powerful Partnership of Strategy and Corporate Communication
FedEx, an international company that provides shipping by air and ground and a range of logistics and trade consulting services, must provide speed and dependability globally not only for its core businesses with customers but also in its communications with constituencies about key business objectives. Employees at FedEx work in 200 countries 7 days a week, 24 hours a day. The corporate communication function must operate in as broad a landscape with speed, high impact, and precision. Given the company’s core businesses, communication challenges can arise in many quarters–in anything from crisis management, such as managing communications in the aftermath of a plane crash or computer outage, to e-commerce initiatives, to the rapid implementation of a new business model. According to corporate vice president Bill Margaritis, the corporate communication function needs to add significant value to the business and must be fully aligned with those making high-impact strategic decisions for Continue reading
Case Study: A Critical Analysis of Restructurings by Sony Corporation
Restructuring is considered to be the corporate management term of reorganizing an organisations ownership, operations, legal and other structures within in order to make the company more profitable and more organized with its needs to be successful. There are many reasons for why restructuring includes the changes of the owner ships or the organisational structure, or a reaction towards a crisis or a change such as a change in the financial position, the company becomes bankrupt or it repositions or it bought out. Sony had restructured themselves approximately five times over nine years. They have reorganized operation systems, they have restructured management teams, and they have added structures in the purpose to make profits. Due to all their problems they faced, Sony tried to correct them by changing structures and even eliminating some to try solving the problems. Sony has restructured itself firstly by restructuring of electronics business, It has Continue reading
Case Study: The International Growth of Zara
The emergence of global fashion has transformed the way fashion is perceived in the contemporary world. In the recent years, there has been a surge of global fashion brands; triggered by the intensive involvement of internationalization processes in the fashion industry. Large retailers in search of sustained growth increasingly decide to expand overseas, responding and contributing to the globalization process. Operating internationally is an increasingly common option for organisational growth. The process becomes a necessity when the domestic market shows increasing levels of competition and commercial saturation. Incidentally, there are increasing numbers of born-global companies deciding to internationalize their businesses from the beginning of their activities, regardless of the domestic market situations. The desire to benefit from the exposure of exclusive brands to foreign markets was one of the key motive for internationalization. Notwithstanding, internationalization strategies differ across retailers and also their results. During the initiation of an internationalization strategy, Continue reading
Starbucks Porter’s Five Forces Analysis
Starbucks Coffee Company’s success in the coffee business echoed resoundingly across the globe. Starbucks Corporation is an international coffee and coffeehouse chain based in Seattle, Washington, United States. Starbucks is the largest coffeehouse company in the world, with 16,635 stores in 49 countries, including 11,068 (6,764 Company Owned, 4,304 Franchised) in the United States, followed by nearly 1,000 in Canada and more than 800 in Japan. Starbucks sells drip brewed coffee, espresso-based hot drinks, other hot and cold drinks, snacks, and items such as mugs and coffee beans. Through the Starbucks Entertainment division and Hear Music brand, the company also markets books, music, and film. Many of the company’s products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered at grocery stores. Starbucks marketed itself as the “Third Place” — a place where people can go aside from home and the Continue reading
Case Study: Acquisition of Jaguar and Land Rover by Tata Motors
In 2008 Tata Motors, an Indian automaker wanted to expand its product portfolio and diversify its market base. It acquired the two iconic British brands Jaguar and Land Rover from the American automaker Ford Motor Corporation. This acquisition gave the company access to premium cars, a chance to add two iconic luxury brands to its stable and a global footprint. It gave struggling Ford a chance to rid itself of two loss-making vehicle units. The deal was transformational. It catapulted Tata Motors from a commercial vehicle and small-car manufacturer to a global player with marquee brands in its portfolio. The scale of the acquisition also was large relative to the size of Tata Motors. The purchase especially that of Jaguar, by an Indian company was viewed as toppling of the world order and many critics expressed doubts about Tata’s ability to retain the quality and standard of Jaguar Land Rover. Continue reading