Any type of business always requires effective communication. At any one point there is never over communication and as the case study of Kami Corporation pointed out there is a need for communication and cooperation.
Expansion and growth of a business is always a positive. However, there are also many draw backs but with effective management, communication and all the components necessary for prosperity the business will definitely succeed. Kami Corporation is a new company formed from under the Mega Corporation umbrella. This new business venture was especially formed to assemble and produce Aiwa TV’s. Aiwa is a subsidiary of Sony but their TV’s has a weaker position than its other audio equipment and components. They have decided to push their TV’s into a bigger market and had a goal of supplying 50 percent of the world market. So as not to strain Aiwa’s capital and managerial resources they would have to focus their resources on product development and marketing. This then leads to finding a company which would do their own investing in a plant and equipment.
Aiwa have their designs and goals in mind, it was just to find a company now to make the tangible products a reality. This is where Kami Corporation stepped in. They would be the ones to create a new site, factory, gather materials, labour and create the item. So now supplier identification, development and management are the sole responsibility of Kami Corporation. Mrs. Lee, the owner of Kami Corporation, has a team in place to operate this new venture. The two new items to be manufactured are 14 and 18-inch TV’s for sale in Japan, the Middle East, Europe and South America. Kami would however produce the TV’s only for Aiwa and Aiwa would be liable to buy all of the completed products.
Initial orders would start in the 20,000 to 30,000 range. If everything goes according to plans then the orders would be increased and