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Purpose: This activity helps you understand international strategic alliances and joint ventures, (CO10) and market assessment and business organization, (CO5) (CO11), as well as entry strategies for international production and sourcing, (CO6).

GLOBAL SITUATION: This video offers a case history into Caterpillar’s 30+ year history of FDI (Foreign Direct Investment) and IJVs(International Joint Ventures) in China and gives an overview of their newest IJV in China, An Qing CSSC.

Part A: Watch the video below

Watch Video Caterpillar Joint Venture - China


User: n/a - Added: 5/25/12

YouTube URL: http://www.youtube.com/watch?v=UDCNmNNIgos

and answer the following questions in short paragraph form. It may be helpful to research and add an outside resource or two. (Always note your sources).

  1. What business is Caterpillar in?
  2. Why did they choose China?
  3. How did they choose their IJV partners?
  4. What are Caterpillar’s criteria for IJV success?
  5. How do the Chinese view Caterpillar as their IJV partner?

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Explanation & Answer

Attached.

1

Caterpillar Joint Venture – China

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2

Caterpillar Joint Venture – China

1. What business is Caterpillar in?
Caterpillar is a company that deals in the manufacturing of engines and has been
at the forefront of engine manufacturing for many years making it the world’s
leading manufacturer of construction and mining equipment, industrial turbines,
natural gas engines and also a financial services provider included in the
company’s portfolio.
2. Why did they ...


Anonymous
Great study resource, helped me a lot.

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