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
Premium Construction Customer service Customer
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
Premium Technology Management Information technology management
5‚ 2009 CEMEX: Globalization “The CEMEX Way” Donald R. Lessard and Cate Reavis When one wants to globalize a company‚ especially when it is from a developing country like Mexico‚ you really need to apply more advanced management techniques to do things better. We have seen many cement companies that use their capital to acquire other companies but without making the effort to have a common culture or common processes‚ they get stagnant. 1 —Lorenzo Zambrano‚ Chairman and CEO CEMEX On June 7
Premium
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
Premium Financial ratios Generally Accepted Accounting Principles Balance sheet
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
Premium Investment Economics Foreign direct investment
CEMEX: GLOBAL GROWTH THROUGH SUPERIOR INFORMATION CAPBILITIES 1. CEMEX is a cement company. What are the sources of competitive advantage in the cement industry? What is CEMEX’s position in the global cement industry? First‚ the cement business is cyclical. The uncertainty of the number of demand and sales restricts a cement company to gain profits stably. Thus‚ the expansion of the scale of the company is very critical to enhance the competitiveness‚ especially the international expansion to different
Premium Corporation Company
swift international expansion and transformation of Cemex‚ an emerging multinational from Mexico‚ into a Global Latina that has consolidated its position throughout its ’natural markets’ to become the world’s biggest building materials multinational. It provides an example of growth through acquisitions and shows how an emerging multinational conquers the world. The general objective is to study the growth and internationalisation strategies of Cemex with a special focus on: (1) international expansion
Premium Costa Rica Mergers and acquisitions Globalization
. 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
Premium Politics of Indonesia Government Arbitration
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
Premium Investment Foreign direct investment Theory
to be the competitive advantage if CEMEX. Continued innovation High level of commitment to customer service and satisfaction Proven post-merger integration expertise (PMI) Efficient production‚ distribution and delivery processes through information system Ability to identify opportunities in developing countries CEMEX is one of the world’s largest building materials suppliers and cement producers. Founded in Mexico in 1906. They supply cement to CEMEX has operations extending throughout
Premium Management Strategic management Best practice