Hon Chuan ‘s international strategy led to it expanding from Taiwan to mainland China and then into Southeast Asia (Indonesia, Thailand and Vietnam) and finally Africa.
business
Description
ASSIGNMENT 4
International Business
CASE
STUDY
Based on the case study “From Asia to Africa: the
international expansion of Hon Chuan enterprise East”, answer ALL questions. It is recommended that the answer to
each question be approximately 500 -600 words in length. (Introduction and
conclusions are not required)
Question
1
Hon Chuan ‘s
international strategy led to it expanding from Taiwan to mainland China and
then into Southeast Asia (Indonesia, Thailand and Vietnam) and finally Africa.
Conduct an environmental assessment of doing business in Thailand and Africa.
How would Hong Chuan mitigate the cultural risk in Africa? (use examples from
the case study)
Question
2
Hong Chuan uses various entry mode
strategies in its international expansion. For example, in China and Southeast
Asia it established strategic alliances with local beverage manufacturers using
the in-house model. In Africa, Hong Chuan went into a joint venture arrangement
with Shimada and created Hon Shi Mozambique Lda. Hon Chuan held 60 per cent of
the shares and took charge of the operations and management.
Drawing on relevant entry mode
theories, discuss the factors influencing Hon Chuan’s preference for joint venture
as a choice of entry mode.
