Ford Takes Control of Sollers Company

Description of case\nIn an article publish in Reuters, the word was upset(a) that fording Motor Co had countn control its lineage furcatener, the Russian cable elevator automobile troupe Sollers because of the sharp slump in sales in Russian motorcar market. Due to the sanctions from U.S. And European Union for the Ukraine crisis, the ruble became light(a) and car sales in Russia decreased sharply. What is more, the huge simplification of multinational oil outlay have a sobering effect on Russian economy in plump year. As a result, the crossroad-Sollers take a chance suffer net waiver of $107 million dollars. It is estimated that the decline sales in Russian car market allow pass on until the next few years. interbreeding Motor resolved to take control its conjecture in Russian market by the acquisition of preferred shares, which pass on offer more superior to push the venture ahead. later that, pass over-Sollers also are trusty for the Ford brand car sa les, domestic production and imports in Russian market, but the Ford Motor will birth the rights to buy out Sollers influence the venture in the future. Actually, overleap the cooperation with Ford Motor, Sollers also has say ventures with lots of Japanese car manufactures such as Honda, Isuzu and Toyota.\n\n contact to International Business\nIn this brisks, it shows a example of the international integration schema, the juncture venture. Ford Motor use this strategy to make expansion in Russian car market. A joint venture is a business agreement that the dickens or more companies decide to form a recent entity for economic or strategic purpose. They will control the new association together by sharing the engine room and carrying on the both revenues and expenses. In the news, Ford Motor has joint venture with Russian car company Sollers. As a part of Ford global expansion, joint venture with Russian car company will overhaul Ford to occupy Russian car market share. It brook provide the unique technology and experts for Sollers to make production and sales. Sollers will use its advantag...