Business 497A - Strategic Management System » Summer 2023 » Video What Would You Do Ch 9
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Question #1
Based on what you know about the risks and costs associated with entering a new industry, why would you choose to create a joint venture with Chery Automobile?
A.
China has a large population and a growing upper class population. Having a joint venture with Chery automobile allows Jaguar to gain market share in China.
B.
A joint venture with Chery Automobile provides significant cost savings to Jaguar-Land Rover. The vehicles are produced and sold in the same market, cutting down on production and shipping costs.
C.
Chinese demand for Western brands is growing and having a joint venture with Chery Automobile lessens some of the risk for Jaguar-Land Rover
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