Shui Fabrics

1379 WordsNov 11, 20126 Pages
Describe the differences between Ray Betzell’s and Chiu Wai’s perspectives on Shui Fabrics’ ROI in terms of the GLOBE Project value dimensions. Shui Fabrics is a joint venture between Rocky River Industries, an Ohio based company and Shanghai Fabric Ltd., of China. Ray Betzell, the general manager of Shui Fabrics along with deputy manager, Chui Wai, both share difference of opinions pertaining to the direction of the company. According to the case, Wai appeared very pleased with the overall direction that the company is headed in. Wai feels that the company has had a positive impact on the local government and it has also created jobs for a number of people in addition to boosting the economy (Daft, 2010). Although Ray Betzell…show more content…
In my opinion, both companies came to the conclusion that a joint venture could help their businesses grow faster, increase productivity and generate greater profits. It’s also apparent to me that both companies should be reminded that partnering with another business can be complex and it takes time and effort to build the right relationship. For example, problems are likely to arise if: the objectives of the venture are not totally clear and communicated to everyone involved; the partners have different objectives for the joint venture; there is an imbalance in levels of expertise, investment or assets brought into the venture by the different partners; different cultures and management styles result in poor integration and co-operation; and the partners don 't provide sufficient leadership and support in the early stages (“Joint ventures and partnering,” 2011). Develop a strategy for addressing the situation and explain how it would help appease Ray’s boss back in the U.S. Success in a joint venture depends on thorough research and analysis of aims and objectives. This should be followed up with effective communication of the business plan to everyone involved (“Joint ventures and partnering,” 2011). The development of a new individualized marketing strategy or global marketing strategy could possibly improve the profit margin of
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