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CZM Foundation Equipment: From Brazil to the USA, to…Europe?
內容大綱
CZM Foundation Equipment (CZM) was a manufacturer of foundation drilling rigs founded in Brazil in 1976. The company set up a subsidiary in the USA in 2012, which was so successful that it turned into the headquarters. Twelve years later, CZM’s executives were considering expansion in Europe, which could provide CZM with opportunities to enhance the design and development of its machines, improve the efficiency of its global supply chain, and open the door to new markets. It already had an engineering department in Italy and relationships with suppliers in Italy, France, and Germany. However, CZM executives were concerned about the highly competitive environment in Europe, which could make establishing a European subsidiary a risky choice. They also faced two related decisions: a) which country to choose, and b) which entry strategy to use, either a wholly owned subsidiary or an equity alliance with a partner.
學習目標
This case can be used in international management and international marketing courses/modules at the senior undergraduate or graduate levels. After working through the case and assignment questions, students will be able to do the following:<ul><li>Assess the main drivers of international expansion.</li><li>Compile the opportunities and threats associated with international expansion.</li><li>Analyze cultural, administrative/institutional, geographic, and economic dimensions that guide location choices in foreign market entry decisions.</li><li>Compare different strategies for foreign market entry and choose the best alternative.</li></ul>