0717513144 MNB3701
DISCLAIMER
The MNB3701 Report 2 is based on an MNE from BRICS. Therefore, students
can buy and submit since after one sell the document shall be pulled down.
Those who need further assistance must contact the given details:
CONTACT NUMBER:
071 751 3144
EMAIL
Page 1 of 32
,0717513144 MNB3701
Table of Contents
Executive summary .................................................................................................... 5
Literature search ........................................................................................................ 6
Background ................................................................................................................ 7
Joint Ventures and Exportation as internationalisation strategy by JAC ................. 8
Institutional based view .............................................................................................. 9
Formal institutions ...................................................................................................... 9
Economic system .................................................................................................. 10
Exchange rate regime ........................................................................................ 10
Interest rates ...................................................................................................... 11
Political ideology ................................................................................................... 11
Corruption .......................................................................................................... 12
Implications to management ................................................................................. 13
Informal institutions .................................................................................................. 14
Culture .................................................................................................................. 14
Ethics .................................................................................................................... 15
Relativism in ethical standards .......................................................................... 16
Implications to management ................................................................................. 16
RESOURCE BASED VIEW ...................................................................................... 16
JAC resource identification ................................................................................... 17
Primary resources ................................................................................................. 17
Tangible assets of JAC ......................................................................................... 17
Financial resources............................................................................................ 17
Physical resources............................................................................................. 18
Page 2 of 32
,0717513144 MNB3701
Intangible assets of JAC ....................................................................................... 18
Brand reputation ................................................................................................ 18
Technological assets ......................................................................................... 19
Human resources.................................................................................................. 20
JAC capabilities .................................................................................................... 20
Capabilities in logistics and service ................................................................... 20
Capabilities in corporate coordination ................................................................ 21
Evaluation of JAC resources under VRIO Framework .......................................... 21
Value creation .................................................................................................... 21
Rarity ................................................................................................................. 22
Imitability ............................................................................................................ 22
Organisation ...................................................................................................... 23
JAC motors VRIO FRAMEWORK ......................................................................... 23
Managerial implication ......................................................................................... 24
Challenges faced by JAC trading internationally ................................................... 24
Economic problems .............................................................................................. 24
Exchange rates .................................................................................................. 25
Inflation .............................................................................................................. 25
Low incomes ...................................................................................................... 25
Changes in interest rates ................................................................................... 26
Managerial implications ........................................................................................ 26
Foreign Direct Investment (FDI) ............................................................................ 26
Internalisation advantages (OLI paradigm) ........................................................ 27
Locational advantages ....................................................................................... 28
Internalisation advantages ................................................................................. 28
Page 3 of 32
, 0717513144 MNB3701
Conclusion ............................................................................................................ 29
References ............................................................................................................... 31
Page 4 of 32
DISCLAIMER
The MNB3701 Report 2 is based on an MNE from BRICS. Therefore, students
can buy and submit since after one sell the document shall be pulled down.
Those who need further assistance must contact the given details:
CONTACT NUMBER:
071 751 3144
Page 1 of 32
,0717513144 MNB3701
Table of Contents
Executive summary .................................................................................................... 5
Literature search ........................................................................................................ 6
Background ................................................................................................................ 7
Joint Ventures and Exportation as internationalisation strategy by JAC ................. 8
Institutional based view .............................................................................................. 9
Formal institutions ...................................................................................................... 9
Economic system .................................................................................................. 10
Exchange rate regime ........................................................................................ 10
Interest rates ...................................................................................................... 11
Political ideology ................................................................................................... 11
Corruption .......................................................................................................... 12
Implications to management ................................................................................. 13
Informal institutions .................................................................................................. 14
Culture .................................................................................................................. 14
Ethics .................................................................................................................... 15
Relativism in ethical standards .......................................................................... 16
Implications to management ................................................................................. 16
RESOURCE BASED VIEW ...................................................................................... 16
JAC resource identification ................................................................................... 17
Primary resources ................................................................................................. 17
Tangible assets of JAC ......................................................................................... 17
Financial resources............................................................................................ 17
Physical resources............................................................................................. 18
Page 2 of 32
,0717513144 MNB3701
Intangible assets of JAC ....................................................................................... 18
Brand reputation ................................................................................................ 18
Technological assets ......................................................................................... 19
Human resources.................................................................................................. 20
JAC capabilities .................................................................................................... 20
Capabilities in logistics and service ................................................................... 20
Capabilities in corporate coordination ................................................................ 21
Evaluation of JAC resources under VRIO Framework .......................................... 21
Value creation .................................................................................................... 21
Rarity ................................................................................................................. 22
Imitability ............................................................................................................ 22
Organisation ...................................................................................................... 23
JAC motors VRIO FRAMEWORK ......................................................................... 23
Managerial implication ......................................................................................... 24
Challenges faced by JAC trading internationally ................................................... 24
Economic problems .............................................................................................. 24
Exchange rates .................................................................................................. 25
Inflation .............................................................................................................. 25
Low incomes ...................................................................................................... 25
Changes in interest rates ................................................................................... 26
Managerial implications ........................................................................................ 26
Foreign Direct Investment (FDI) ............................................................................ 26
Internalisation advantages (OLI paradigm) ........................................................ 27
Locational advantages ....................................................................................... 28
Internalisation advantages ................................................................................. 28
Page 3 of 32
, 0717513144 MNB3701
Conclusion ............................................................................................................ 29
References ............................................................................................................... 31
Page 4 of 32
