. Development of Chunlan multinational operation
Chunlan is an internationalistic high-tech big order operating on labor, research, investment and trade. It has a gross keen of 14 billion RMB and a net capital of 8 billion RMB. It is among the 50 largest enterprises in China. Major products include electrical appliance, bicycle, machinery, electronic information, etc. Chunlan has set up ten oversea branches in USA, Japan, France, Singapore, etc., which forms 5 operating zones of Europe, America, Middle East, southwardeast Asia and South Asia. Its products cover 84 countries and territories in the world. Chunlan has set up production bases in 9 countries such as Russia, Spain, Iran, Brazil, etc. and has realized research institutes in Japan, USA and France. In 2002, Chunlan established a large and efficient global purchase and sales interlocking by use of matrix management. This indicates that Chunlan is implementing its global convection dodge to include capable companies of the world into its purchase and sales communicate to achieve higher profits. Chunlan has gone through three stages in multinational operation: (1) product export. In the start of 1990s, Chunlan exported products via agents because its products were non well known in the world. It applied some alone(p) approach known as difficulty first and simmpleness later.
It aimed at the markets in Europe and America and demanded its products to stimulate the strict quality standards in those markets. It then expanded to the markets of growing countries. (2) Establish global sales network. Chunlan started to set up abroad sales network in 1997. It established over 1200 oversea outlets via strategic union and developed the initial Chunlan product international sales network and Chunlan research information international network. In 1998, Chunlan set up the second retail network in Europe via purchase, hence possessed its own sales network. Its export...
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