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Case Title:

Corporate China Shopping for Global Brands: Prospects and Perils

Publication Year : 2005

Authors: K. Rajesh Kumar & Souvik Dhar

Industry: General Business

Region:China

Case Code: GGL0020

Teaching Note:  Not Available

Structured Assignment:  Not Available

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Abstract:
With the Chinese government's financial and policy backing, many Chinese companies looking for global presence, were acquiring well-known brands. But several analysts were sceptical about the strategy being followed by the Chinese companies. They were of the opinion that Chinese companies, with little experience in managing global brands and distribution channels, were trying to build global brands in a hurry. As a result more than 70% of such acquisitions had failed. But others were of the opinion that the Chinese companies were following the right strategy and expected these companies to continue acquiring global brands.

Pedagogical Objectives:

  • To discuss the strategy of Chinese companies’ strategy of acquiring global brands for their growth.

Contents:

  • Corporate China Shopping for Global Brands
  • The Prospects for Chinese Companies
  • The Perils

Keywords : Global brands, Mergers and acquisitions, Global brand acquisition, Government and Business Environment Case Study,Organic growth, Market saturation, Global players, Growth imperative, Global manufacturing hub, Business culture, International regulatory environment, US Committee of Foreign Investments

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