Discuss why Carrefour failed to sustain its operations in South Korea
Assignment Solutions, Case study Answer sheets
Project Report and Thesis contact
ARAVIND – 09901366442 – 09902787224
International Business
Case Studies
CASE STUDY (20 Marks)
Background checks are an issue faced by
many companies, as sensitive information is now more public than ever. Office
Drop is no exception, as the company scans paper into digital files, including
patient records and minister sermons, most of which require
trustworthy employees who can handle
documents discreetly. Many companies offer quick, superficial checks, but for
Office Drop owner Prasad Thammineni, more information was required. He found a
company that would allow research to delve into a number of different sources
and perform a more comprehensive search. Other business owners offered somewhat
critical opinions of Thammineni's choice, pointing out that instead of Googling
to find a background check company, he should have asked his business network
who they were using. They also recommended that he took advantage of free
resources, including online searches and checking out social media sites to
learn more about job candidates.
Answer
the following question.
Q1.
Why background checks of job candidates are necessary?
Q2.
Why the Office Drop owner Prasad was very particular about background checks of
employees?
CASE STUDY (20 Marks)
The cases discusses, UK based home
improvement retailer, B&Q's foray into China. B&Q entered the Chinese
market in the year 1999 by opening a store in Shanghai through a joint venture
with Home Decorative Building Materials Limited, a Shanghai basedproperty
developer. At that time, the DoitYourself(DIY) concept had not gained
popularity in China. Overcoming the initial challenges, B&Q was able to
establish itself firmly in the Chinese market. B&Q modified its stores to
suit the Chinese consumers and introduced the concept of 'BuyitYourself.' The
company's growth coincided with the rapid infrastructural development in the country,
and increased activity in the housing sector. The rapid growth of the Chinese
home improvement industry led several leading international companies like IKEA
to expand their operations in the country. By late 2006, B&Q faced stiff
competition from foreign as well as local companies like Orient Home. The case
examines the entry and expansion strategies of B&Q in China and how the
company is positioned to face increasing competition in the Chinese home
improvement industry.
Answer
the following question.
Q1.
Analyze the entry and expansion strategies of B&Q in China.
CASE STUDY (20 Marks)
The case discusses the entry and the
subsequent exit of the USbased electronics retailer Best Buy in China. Best Buy
entered China by opening a procurement office in 2003. After studying the
market for quite some time, it decided to acquire Jinangsu Five Star Appliance
Co, (Five Star), the fourth largest electronics retailer in the country, in
order to have a wide presence in the market. In China, Best Buy followed the
dual brand strategy that it followed in the Canadian market. As per this
strategy, the company operated Five Star as a separate brand, different from
the Best Buy stores, the first of which was opened in 2006 in Shanghai. In
China, electronic retail stores usually consisted of vendor representatives who
promoted their own products. Customers could bargain and get the product at a
lower price. This led to a highly chaotic environment in the stores. Best Buy
refrained from using this model and positioned it differently from the local
vendors. It did away with the vendor representatives and had its own
salespeople manning the stores. The salespeople in the Best Buy stores did not
interfere with the customers and provided assistance only when asked for. In the
Chinese stores, the products were displayed in glass cases. Best Buy, in
contrast, displayed products in such a way as to enable the customers to touch
and feel the product. Though Best Buy's first store was highly successful and
went on to become one of thetop 10 Best Buy stores in the world, it could not
sustain the momentum. It could not open stores as rapidly as it had planned to
and the opening of the second store was delayed. Also, though customers
appreciated the modern shopping experience at Best Buy they still preferred to
shop at local stores as they offered lower prices. Though Best Buy opened nine
stores by 2010, the local competitors ended up opening hundreds of stores. Due
to high competition and the high costs of operations, Best Buy decided to exit
the market in February 2011. Without examining the strategies adopted by the
competitors in the market, Best Buy's adopted pre entry strategies, its entry
into the market, the strategies it adopted in the Chinese market, and its
subsequent decision to exit the market.
Answer
the following question.
Q1.
Explain the nature of problems faced by retailers like Best Buy in emerging
markets like China.
Q2.
Examine the reasons that prompted Best Buy to exit the market.
Q3.
Analyze the retail industry in China.
CASE STUDY (20 Marks)
The case describes Carrefour's entry
and expansion strategies into the South Korean market and the reasons that led
to its exit from the country. The company failed to localize its stores and the
products sold according to the needs and preferences of Korean consumers.
Carrefour chose to venture into the Korean market on its own without a local
partner, due to which it failed to understand the market and was unable to
select good locations for its stores. The company employed most of the top
management personnel from France and this was not viewed favorably by the local
employees, and Carrefour too often faced problems from local labor unions.
After a decade of unsustainable operations and cutthroat competition, Carrefour
finally announced the sale of its South Korean business in April 2006.
Answer
the following question.
Q1.
Discuss why Carrefour failed to sustain its operations in South Korea.
Q2.
Analyze the entry and expansion strategies of Carrefour in South Korea.
Assignment Solutions, Case study Answer sheets
Project Report and Thesis contact
www.mbacasestudyanswers.com
ARAVIND – 09901366442 – 09902787224
Comments
Post a Comment