Discussion board

Purpose: This activity helps you understand international strategic alliances and joint ventures, (CO10) and market assessment and business organization, (CO5) (CO11), as well as entry strategies for international production and sourcing, (CO6).

GLOBAL SITUATION: This video offers a case history into Caterpillar’s 30+ year history of FDI (Foreign Direct Investment) and IJVs(International Joint Ventures) in China and gives an overview of their newest IJV in China, An Qing CSSC.

Part A: Watch the video below

Watch Video Caterpillar Joint Venture – China

User: n/a – Added: 5/25/12

YouTube URL: http://www.youtube.com/watch?v=UDCNmNNIgos

and answer the following questions in short paragraph form. It may be helpful to research and add an outside resource or two. (Always note your sources).

  1. What business is Caterpillar in?
  2. Why did they choose China?
  3. How did they choose their IJV partners?
  4. What are Caterpillar’s criteria for IJV success?
  5. How do the Chinese view Caterpillar as their IJV partner?