Information Technology Management CEMEX : GLOBAL GROWTH THROUGH SUPERIOR INFORMATION CAPABILITIES Team No. 8 : Q1) How do you describe IT impact Map for CEMEX? 1)Picture 1. The impact of IT on Strategy and Operations ▪ Description Goals Support Local Improvements Core Business Improvement Activities - Building and acquiring plants. - Diversifying business into mining‚ hotels and petrochemical. - Developing information technology. - Investing in a satellite telecommunication
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QUESTION 3 Read the management Focus on Cemex and then answer the following question: a. Which theoretical explanation‚ or explanations‚ of FDI best explains Cemex’s FDI? b. What value does Cemex bring to a host economy? Can you see any potential drawbacks of Cemex’s inward investment in an economy? c. Cemex has a strong preference for acquisition over greenfield ventures as an entry mode. Why? d. Why do you think Cemex decided to exit Indonesia after failing to gain majority control of Semen
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theoretical explanation of FDI best explains Cemex’s FDI? The theory that best explains Cemex’s foreign direct investment (FDI) activity is that of internalization due to limitations of licensing or also known as the market imperfection approach. Cemex wanted to expand horizontally because it wanted to reduce its reliance on its home market and provide some stability in the demand for their product. Also‚ they saw opportunities abroad and it could provide their service‚ which required building
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This case study is about CEMEX‚ a Mexican firm that emerged from being a family owned business to a multinational giant‚ becoming world’s third largest cement company. The case focuses on the strategy adapted by CEMEX‚ its globalization and how it was attained. The case also discusses about the cement industry in general and international competition within the industry. ISSUES ADDRESSED Issues discussed in the below analysis are the following: Motivation that drove CEMEX abroad. Means by which
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CEMEX In little more than a decade‚ Mexico’s largest cement manufacturer‚ Cemex‚ has transformed itself from a primarily Mexican operation into the third largest cement company in the world behind Holcim of Switzerland and Lafarge Group of France with 2004 sales of $7.1 billion and more than $2billion in cash flow. Cemex has long been a power house in Mexico and currently controls more than 60% of the market for cement in that country. Cemex’s domestic success has been based in large part on an obsession
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CEMEX: TRANSFORMING A BASIC INDUSTRY COMPANY Case Study Questions 1. How is CEMEX Mexico providing added value to its customers? R: As cement is a commodity market‚ CEMEX realized that they should provide added value by developing customer services and offering solutions for the needs/wants of their customers. See Appendix 1: CEMEX - Customer Services 2. How has CEMEX developed and leveraged its strengths to enhance its market position and profitability? R: The Company was extremely
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. Cemex has a stronger preference for acquisition over greenfield ventures as an entry mode. Why? Cemex believed that it could create significant value by acquiring inefficient cement companies in other markets and transferring it skills in customer service marketing information and technology and production management to those units . Also they want to be a unique company in worlwide. Therefore they need to purchase all the competitor companies and converted their sysytem to them. d.Why do
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Cemex S.A.B. de C.V. (Cemex) Executive Summary This paper presents fundamental and financial analysis of Cemex. The analysis is performed by analyzing the company ’s financial data for the period beginning December 2002 through December 2005. The paper introduces Cemex by presenting the company ’s information and a brief summary of its main activities. Following the introduction‚ the paper will perform an extensive industry and company analysis and summarize
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CASE STUDY: CEMEX CONSTRUCTING A BRIGHTER FUTURE WANGYI FAN(IVAN) AIYANG LIU(WILLIAM) Charles(BJ) How did Cemex build its dominance in Mexico? 1. Merger small companies‚ increase their market share and competitiveness‚ make Cemex growing fast. 2. Cooperate with the government‚ had a privileged position. 3. Listed as a public company and prepared for merger more companies. How was Cemex able to expand so rapidly in global markets? 1. Concentrate on developing countries and got benefit from
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11/1/2013 OREIGN Learning Objectives IRECT • Examine how FDI is implemented in different types • Identify the factors that influence FDI • Understand why and how host government encourage FDI inflow NVESTMENT 1 2 1 FDI occurs when a firm invests directly in facilities to produce and/or market a product in a foreign country 2 3 4 3 4 1 11/1/2013 5 2 11/1/2013 – Investment in the “same” industry – Nokia & Samsung build factories in Bac Ninh
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