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Week 3 Discussion

The document discusses a joint venture between Eicher Trucks and Bus and Volvo Trucks called VECV. [1] The purpose of the venture was to provide high-quality, technology-focused commercial vehicles to India at affordable prices. [2] Eicher benefited from Volvo's processes, quality standards, and global expertise, while Volvo gained from Eicher's low-cost manufacturing and distribution network. [3] The joint venture modernized India's transport industry and allowed both companies to succeed by creating a valuable supply chain.

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Prakash Nallaiah
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40 views

Week 3 Discussion

The document discusses a joint venture between Eicher Trucks and Bus and Volvo Trucks called VECV. [1] The purpose of the venture was to provide high-quality, technology-focused commercial vehicles to India at affordable prices. [2] Eicher benefited from Volvo's processes, quality standards, and global expertise, while Volvo gained from Eicher's low-cost manufacturing and distribution network. [3] The joint venture modernized India's transport industry and allowed both companies to succeed by creating a valuable supply chain.

Uploaded by

Prakash Nallaiah
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Week -1 Assignment 1

Week -1 Assignment

MGT658C Business Strategy and Policy

National University

Prakash Nallaiah
Week -1 Assignment 2

Week – 3, Discussion

For this week, I would like to say details about my professional work experience
and learning from VECV, on value chain analysis. Eicher Trucks and Bus and Volvo
Trucks were in joint venture in the name of VECV. The purpose of the venture is to
provide global quality and technology products to Indian customers in affordable price on
heavy commercial vehicle sector. Eicher got the technology growth, well defined process,
Quality from the global expertise Volvo which is the brand respected all over the world.
Volvo could get benefit of Eicher’s network and frugal manufacturing in light and
medium vehicles which in turn paved way for Volvo to sell their own vehicles and
manufacture engines and power train at Eicher’s manufacturing plant in low cost and sell
them abroad (VECV, ). This joint venture brought modernization and improve the
transport commercial industry in India and many other countries. According to me, the 2
companies are successful in their joint venture from the time they joined hands together
since 2008 by creating value chain in terms of low cost and high-quality products
(Rothaermel, 2017).

References

Frank T. Rothaermel (2017), Strategic Management.

VECV Joint Venture. http://www.vecv.in/about-us.

https://search-proquest-com.nuls.idm.oclc.org/docview/2420104460?pq-
origsite=primo&accountid=25320
Week -1 Assignment 3

Question for Immigration officer

1, I94 expired Whether if I change my student status, can I maintain legal status.

2, While

1,Relevancy

2, Tradability

3,Closeness

4, Integration

Strengthen competitive position.


■ Enter new markets.
■ Hedge against uncertainty.
■ Access critical complementary assets.
■ Learn new capabilities.

Horizontal Integration – Acquiring a competitor.

Reduction in competitive intensity.


■ Lower costs.
■ Increased differentiation.

REDUCTION IN COMPETITIVE INTENSITY. Looking through the lens of Porter’s five


forces model with a focus on rivalry among competitors (introduced in Chapter 3), horizontal
integration changes the underlying industry structure in favor of the surviving
firms. Excess capacity is taken out of the market, and competition tends to decrease as a
consequence of horizontal integration, assuming no new entrants. As a whole, the industry
structure becomes more consolidated and potentially more profitable. If the surviving
firms find themselves in an oligopolistic industry structure and maintain a focus on
non-price competition (i.e., focus on R&D spending, customer service, or advertising),
the industry can indeed be quite profitable, and rivalry would likely decrease among
existing firms
Week -1 Assignment 4

Reply.

Hi Enrique

I got to know from your post that GA is manufacturing remotely piloted aircraft
which is a niche segment on aircraft industry. Rather than outsourcing the project,
building the project on their own premises makes them niche and being successful with
economics of value. Also, it increases the economics of scope as the other firms cannot
copy the design or the procedure when the products are built without outsourcing. As you
said, design for new sensor is done with the help of Northrop Grumman and other
companies as sensor designing is the strength of those companies. This adds the
economics of value as the new sensors adds value to the product. However, the OEM is
in the name of GA and the brand of GA stands out in the niche market of aircraft
industry. For example, Airbus and Boeing gets engine from GE/Rolls-Royce as these
companies produce the engine in larger production scale with lower costs which creates
economic of scale for Boeing and Airbus. Economies of scale can be achieved by both
internal and external and GA is achieving it with in the firm by inhouse production and
also with external vendors.

Regards,

Prakash Nallaiah

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