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Case Study

Decent Essays

Case III: LATE MOVER ADVANTAGE? Questions 1. Why has the ‘late corner’s strategy’ of Toyota failed in China, though it succeeded in India? 2. Why has Toyota failed to capture the Chinese market? Why is it trailing behind its rivals? 1.ans – Toyota failed to get a strong hold in the Chinese market due to poor understanding of the market. The reasons being mainly due to high pricing of the vehicle with which it entered the market in China as Toyota followed the price skimming strategy while entering China. The existing car companies like Volkswagen, Honda, and Hyundai had priced their vehicles keeping in mind the price sensitive customers in China. Toyota entered into a joint venture with First Auto Works Group In Japanies …show more content…

WOI conducted a thorough study of the Indian market which proved to be beneficial in understanding the market and capturing the market. * Continuous product innovation is a must to attract customers towards ones product. Which WOI followed by offering consumers exactly what was needed and so the consumers don’t mind in paying a higher price. * Entering into a joint venture with a local based company can also prove to be advantageous as this company knows the functioning of the market. * CASE: I ARROW AND THE APPAREL INDUSTRY : 1. Why did Arvind Mills choose globalization as the major route to achieve growth when the domestic market was huge? Ans. The scenario of the apparel industry in India was in process of development as compared to foreign countries. The methods used for the apparel industry was outdated while in the cases of foreign countries used modern technologies which were more efficient, less time consuming and less wastage of fabrics. India The domestic market was huge but followed the traditional methods to manufacture clothes. Through globalization Arvind Mill was in an advantage of bringing in in modern technologies in India. Arvind Mills through good work was able to leave a mark in the foreign markets by which the company was able to beg orders from well known brands like Tommy Hilfiger. Through which the company made good profit. Many foreign companies strated outsourcing from Arvind Mills. India

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