expansion plans; you be the international management consultant

 

CASE STUDY:

Kranden & Associates is a very successful porcelain-manufacturing firm based in San Diego. The company has six world-renowned artists who design fine-crafted porcelain statues and plates that are widely regarded as collectibles. Each year, the company offers a limited edition of new statues and plates. Last year, the company made 30 new offerings. On average, 2500 items of each line are produced, and they usually are sold within six months. The company does not produce more than this number to avoid reducing the value of the line of collectors; however, the firm does believe that additional statues and plates could be sold in some areas of the world without affecting the price in North America. In particular, the firm is thinking about setting up production facilities in Rio de Janeiro, Brazil, and Paris, France.

The production process requires skilled personnel, but there are people in both Rio de Janeiro and Paris who can do this work. The basic methods can be taught to these people by trainers from the U.S. plant, because the production process will be identical.

The company intends to send three managers to each of its overseas units to handle setup operations and get the production process off the ground. This should take 12 to 18 months. Once this is done, one person will be left in charge, and the other two will return home.

The company believes that it will be able to sell just as much of the product line in Europe as it does in the United States. The South American market is estimated to be one-half that of the United States. Over the last five years, Kranden has had a return on investment of 55 percent. The company charges premium prices for its porcelain but still has strong demand for its products because of the high regard collectors and investors have for the Kranden line. The quality of its statues and plates is highly regarded, and the firm has won three national and two international awards for creativity and quality in design and production over the past 18 months. Over the last 10 years, the firm has won 17 such awards.

 

Questions

1.     In managing its international operations, should the firm use centralized or decentralized decision making?

 

2.     Would direct or indirect controls be preferable in managing these operations?

 

3.     What kinds of performance measures should the company use in controlling these international operations?

 

511 Words

3 Sources

APA Format

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more
Need help?