Savonia Business
China’s Foreign Investment Analysis
Case Study of Geely Acquired Volvo
Zhang Huihui
Business Administration Bachelor’s Thesis
Degree Programme
International Business
April 2012
SAVONIA UNIVERSITY OF APPLIED SCIENCES
SAVONIA BUSINESS
Degree Programme, option
Degree Programme in International Business
Author(s)
Zhang Huihui
Title of study
China’s Foreign Direct Investment Analysis
Case Study of Geely’s acquisition of Volvo Car
Type of project
Date
Pages
Thesis
10 April 2012
42 + 3
Supervisor(s) of study
Executive organization
Abdelazim Hannoura , Anneli Juutilainen
Abstract
The objective of this research was to analyze the acquisition case of Volvo Car by Geely including the environment scanning, strategic management and acquisition implementation.
The theoretical overview to strategic management explained the acquisition decision making process with various management tools. Furthermore, the benefits and principles of foreign direct investment which were presented in this part are sound base for the detailed discussion about foreign direct investment in China.
The study was accomplished mainly on qualitative research method due to the research limitation.
Secondary sources are largely collected from a variety of publications, websites, journals, magazines etc. Meanwhile, the intensive case study provided a comprehensive picture of the acquisition case in a decision making process.
The result of the case study indicated the strategic goals for the acquisition between Geely and
Volvo Car. It also pointed out the possible problems Geely are coping.
Keywords
foreign direct investment, acquisition, strategic management, Geely, Volvo Car
Note
FIGURES AND TABLES
FIGURE 1
SWOT Matrix
FIGURE 2
PEST Matrixes
FIGURE 3
BCG Growth-Share Matrixes
FIGURE 4
Porter’s Five Force Model
FIGURE 5
Porter’s Diamond of National
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