Marks and Spencer Case Study
Introduction
Ford was founded by Henry Ford in 1903 ford is present in more than 200 countries and had 245,000 staff worldwide manufacturing in about 100 factories around the world. Ford was the only manufacturer that did not borrowed money from government at 2009-09 financial crisis. This was because it had successfully negotiated on a favorable terms on a substantial loan just before the banking crisis become apparent. Substantially it sold the significant part of the stack it owned in Mazda, and later divested the Volvo brand further reinforcing its balance sheet. Ford also owned a sound portfolio of models, many highly successful.
S.W.O.T Strength of Joint Venture (JV): The main reason seeking alliance type such as JV is to maximize profits. Profits are strength allowing the companies to improve their operation by having more capital to invest in departments assets or having advanced employee training projects thus improving business. Team work becomes strength because both parties are operating as one in order to achieve the same goal. When operating in JV it makes easy to penetrate the local market because now JV has strength of local knowledge that makes it easy to identify customer base, segments and so on by having a local team of analysts in the field. Two heads are better the one JV has increased problem solving ability due to creation of this alliance. Partners will share expenses and tax and technically reducing their effect that benefit JVs business operations.
There are some weaknesses to JV. Managers will disagree between each other decisions making decision making slow and frustrating. Management style is very different therefore some employees will experience lose in motivation and low performance at work place leading to failure. Culture difference is a barrier for example: An American manager will expect more individualism and less power distance from its employees where as Chinese employees cultured to inherit high power distance
Ford was founded by Henry Ford in 1903 ford is present in more than 200 countries and had 245,000 staff worldwide manufacturing in about 100 factories around the world. Ford was the only manufacturer that did not borrowed money from government at 2009-09 financial crisis. This was because it had successfully negotiated on a favorable terms on a substantial loan just before the banking crisis become apparent. Substantially it sold the significant part of the stack it owned in Mazda, and later divested the Volvo brand further reinforcing its balance sheet. Ford also owned a sound portfolio of models, many highly successful.
S.W.O.T Strength of Joint Venture (JV): The main reason seeking alliance type such as JV is to maximize profits. Profits are strength allowing the companies to improve their operation by having more capital to invest in departments assets or having advanced employee training projects thus improving business. Team work becomes strength because both parties are operating as one in order to achieve the same goal. When operating in JV it makes easy to penetrate the local market because now JV has strength of local knowledge that makes it easy to identify customer base, segments and so on by having a local team of analysts in the field. Two heads are better the one JV has increased problem solving ability due to creation of this alliance. Partners will share expenses and tax and technically reducing their effect that benefit JVs business operations.
There are some weaknesses to JV. Managers will disagree between each other decisions making decision making slow and frustrating. Management style is very different therefore some employees will experience lose in motivation and low performance at work place leading to failure. Culture difference is a barrier for example: An American manager will expect more individualism and less power distance from its employees where as Chinese employees cultured to inherit high power distance