MNB3702
PORTFOLIO Semester 2 2025
2 2025
Unique Number:
Due date: 3 November 2025
1. INTRODUCTION
Mantashe Auto Components is a South African SME that manufactures brake systems and
suspension parts for the automotive industry. The business is planning to expand into
Kenya, a country known for its strong automotive import-assembly market and its position as
a regional hub in East Africa. This assessment explores Mantashe’s international expansion
strategy through a Joint Venture with a local partner in Kenya. The following sections will
examine whether this entry mode is suitable for the business, how it can address local skills
gaps, what leadership styles and cultural challenges may arise, and how technology can
improve the supply chain. The report will end with a summary of the main points and
personal reflections on the learning experience.
2. ENTRY MODE
Mantashe Auto Components plans to enter the Kenyan market through a Joint Venture (JV)
with a local partner. This strategic entry mode can offer both benefits and risks. According to
Peng and Meyer (2019), JVs are a common entry mode when businesses want to share
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, For additional support +27 81 278 3372
1. INTRODUCTION
Mantashe Auto Components is a South African SME that manufactures brake
systems and suspension parts for the automotive industry. The business is planning
to expand into Kenya, a country known for its strong automotive import-assembly
market and its position as a regional hub in East Africa. This assessment explores
Mantashe’s international expansion strategy through a Joint Venture with a local
partner in Kenya. The following sections will examine whether this entry mode is
suitable for the business, how it can address local skills gaps, what leadership styles
and cultural challenges may arise, and how technology can improve the supply
chain. The report will end with a summary of the main points and personal reflections
on the learning experience.
2. ENTRY MODE
Mantashe Auto Components plans to enter the Kenyan market through a Joint
Venture (JV) with a local partner. This strategic entry mode can offer both benefits
and risks. According to Peng and Meyer (2019), JVs are a common entry mode
when businesses want to share risks, reduce costs, and gain access to local
knowledge. For Mantashe, a JV is likely to help overcome entry barriers in Kenya by
using the local partner’s networks, understanding of regulations, and market access.
One key advantage of a JV is the ability to combine resources. In Mantashe’s case,
this includes pooling manufacturing expertise, supply chains, and skills. This can
lead to a stronger competitive position in Kenya’s growing automotive industry (Peng
& Meyer, 2023). Another benefit is shared financial risk. Entering a foreign market
alone can be costly, but with a partner, Mantashe can reduce start-up and
operational costs.
However, JVs also have limitations. If the goals or values of the two partners do not
align, the partnership may experience internal conflict, reduced trust, and operational
inefficiencies (Peng & Meyer, 2019). The danger of over-reliance on the local
partner's systems may also prevent Mantashe from building its own local capacity,
creating future dependency and weakening long-term sustainability.
PORTFOLIO Semester 2 2025
2 2025
Unique Number:
Due date: 3 November 2025
1. INTRODUCTION
Mantashe Auto Components is a South African SME that manufactures brake systems and
suspension parts for the automotive industry. The business is planning to expand into
Kenya, a country known for its strong automotive import-assembly market and its position as
a regional hub in East Africa. This assessment explores Mantashe’s international expansion
strategy through a Joint Venture with a local partner in Kenya. The following sections will
examine whether this entry mode is suitable for the business, how it can address local skills
gaps, what leadership styles and cultural challenges may arise, and how technology can
improve the supply chain. The report will end with a summary of the main points and
personal reflections on the learning experience.
2. ENTRY MODE
Mantashe Auto Components plans to enter the Kenyan market through a Joint Venture (JV)
with a local partner. This strategic entry mode can offer both benefits and risks. According to
Peng and Meyer (2019), JVs are a common entry mode when businesses want to share
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
, For additional support +27 81 278 3372
1. INTRODUCTION
Mantashe Auto Components is a South African SME that manufactures brake
systems and suspension parts for the automotive industry. The business is planning
to expand into Kenya, a country known for its strong automotive import-assembly
market and its position as a regional hub in East Africa. This assessment explores
Mantashe’s international expansion strategy through a Joint Venture with a local
partner in Kenya. The following sections will examine whether this entry mode is
suitable for the business, how it can address local skills gaps, what leadership styles
and cultural challenges may arise, and how technology can improve the supply
chain. The report will end with a summary of the main points and personal reflections
on the learning experience.
2. ENTRY MODE
Mantashe Auto Components plans to enter the Kenyan market through a Joint
Venture (JV) with a local partner. This strategic entry mode can offer both benefits
and risks. According to Peng and Meyer (2019), JVs are a common entry mode
when businesses want to share risks, reduce costs, and gain access to local
knowledge. For Mantashe, a JV is likely to help overcome entry barriers in Kenya by
using the local partner’s networks, understanding of regulations, and market access.
One key advantage of a JV is the ability to combine resources. In Mantashe’s case,
this includes pooling manufacturing expertise, supply chains, and skills. This can
lead to a stronger competitive position in Kenya’s growing automotive industry (Peng
& Meyer, 2023). Another benefit is shared financial risk. Entering a foreign market
alone can be costly, but with a partner, Mantashe can reduce start-up and
operational costs.
However, JVs also have limitations. If the goals or values of the two partners do not
align, the partnership may experience internal conflict, reduced trust, and operational
inefficiencies (Peng & Meyer, 2019). The danger of over-reliance on the local
partner's systems may also prevent Mantashe from building its own local capacity,
creating future dependency and weakening long-term sustainability.
