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    Case Study for Mike Gillespie Invest

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    Based on the attached Case Study...

    Should Mike Gillespie invest in a new factory in Indonesia? If yes, should he do it alone or through a joint venture? Should he transport Lincoln's unique corporate culture to Indonesia? Why or why not?

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    https://brainmass.com/business/international-business-management/case-study-mike-gillespie-invest-414966

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    Yes, Mike Gillespie should invest in a new factory in Indonesia because trade barriers and the cost of transport made consumables more difficult to import profitability than equipment. Tariffs of about 30% and shipping cost of about 7%of factory cost made it impossible for Lincoln to compete in Indonesia's low margin stick consumables segment without having a local manufacturing base. The new factory would also allow the Lincoln's strategy to become realized in the country of Indonesia. The strategy was to build brand awareness and loyalty by importing and selling equipment to other company that were users of ...

    Solution Summary

    The expert determines if Mike Gillespie should invest in a new factory in Indonesia. Whether the expert should transport Lincoln's unique corporate culture to Indonesia.

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