A Prelimininary Investigation of Success of IJVS in the Automobile Sector in India
Abstract
The global business paradigm has opened innovative ways of alliances for those who want to avail the fruits of free flow of resources across national boundaries; international joint ventures are amongst the many such strategic moves. The present Paper investigates four automobile companies whicha re market leaders in a particular area. The study has assessed the survival/success of IJVs and found that a 66.8% success rate can be achieved through improvement in process and operations, cost reduced at output levels and legal-economic aspects. The paper dwells on the concept of IJV and tests the same in the context of the automobile industry in India analyzing the operational issues. The paper is conceptual in nature and a generic model is proposed to show how synergy can be created in operations and processes by creating IJV. The results are discussed and some implications for the management are made.
Authors
Dr Dileep Singh, Dr Geetika