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Lenzing AG's joint venture (SPV) in Indonesia

As discussed, please find question 1 below.

Identify and assess the importance of the non-market factors that have influenced the operation of Lenzing AG's joint venture (SPV) in Indonesia.

Solution Preview

The non-market factors that have influenced the operation of Lenzing's AG's joint venture are
(1) SPV's Purwakarta location in West Java, a province of Indonesia, offered an abundant water supply. Water is an important aspect of rayon production (see http://www.fibersource.com/f-tutor/rayon.htm). Being near ...

Solution Summary

The importance of the non-market factors that have influenced the operation of Lenzing AG's joint venture (SPV) in Indonesia are reiterated.

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