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Abstract

Students are asked to consider the position of Mr Trai, the General Director of a Vietnamese owned beverage bottler, International Beverage Corporation (IBC). The case is designed to accompany a discussion of co-operative strategies in international, emerging markets and it caters on the negotiations that take place between Pepsi and IBC as they attempt to establish a joint venture. IBC''s market in Vietnam appears to have a lot of long term potential, but intense competition from Coke has left the company in the need of additional capital. Pepsi is willing to supply the capital in exchange for increased control over the joint venture. Key issues that arise include what each partner should contribute to the joint venture in terms of marketing, finance, operations and government relationships. After careful analysis, the student is asked whether or not Mr Trai should accept the increased level of control from Pepsi in return for the needed capital. This case was sponsored by the Indiana University CIBER Case Collection.
Location:
Industry:
Size:
Large
Other setting(s):
1998

About

Abstract

Students are asked to consider the position of Mr Trai, the General Director of a Vietnamese owned beverage bottler, International Beverage Corporation (IBC). The case is designed to accompany a discussion of co-operative strategies in international, emerging markets and it caters on the negotiations that take place between Pepsi and IBC as they attempt to establish a joint venture. IBC''s market in Vietnam appears to have a lot of long term potential, but intense competition from Coke has left the company in the need of additional capital. Pepsi is willing to supply the capital in exchange for increased control over the joint venture. Key issues that arise include what each partner should contribute to the joint venture in terms of marketing, finance, operations and government relationships. After careful analysis, the student is asked whether or not Mr Trai should accept the increased level of control from Pepsi in return for the needed capital. This case was sponsored by the Indiana University CIBER Case Collection.

Settings

Location:
Industry:
Size:
Large
Other setting(s):
1998

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