Product details

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Abstract

With the collapse of the erstwhile Soviet Union in 1991, IRKUT Corporation (IRKUT), which was established in the 1930s to manufacture military aircrafts in Russia was witnessing formidable problems. IRKUT was privatised in 1992 and with the decline of defence expenditure of the Russian government, the company decided to focus on manufacturing commercial aircrafts. To raise the necessary funds required for its new venture, IRKUT decided to launch its initial public offering (IPO) by the end of March 2004, the first ever IPO in the defence industry of Russia. The case highlights the expansion strategies adopted by IRKUT to transform itself from a state controlled military aircraft manufacturer to a profitable commercial producer.
Location:
Other setting(s):
2004

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Abstract

With the collapse of the erstwhile Soviet Union in 1991, IRKUT Corporation (IRKUT), which was established in the 1930s to manufacture military aircrafts in Russia was witnessing formidable problems. IRKUT was privatised in 1992 and with the decline of defence expenditure of the Russian government, the company decided to focus on manufacturing commercial aircrafts. To raise the necessary funds required for its new venture, IRKUT decided to launch its initial public offering (IPO) by the end of March 2004, the first ever IPO in the defence industry of Russia. The case highlights the expansion strategies adopted by IRKUT to transform itself from a state controlled military aircraft manufacturer to a profitable commercial producer.

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Location:
Other setting(s):
2004

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