Ford and GM case study

Q: 1 Why are Ford and GM denseness the Russian car securities industry now? Why did they not invest earlier, and why do they do not analog investment until the merchandise is bigger? For some(prenominal) company vivacious come to the fore protrude for the foreign merchandise is because of any one out of globalization, reducing tariff all everyplace the world, to increase the market persona, saturation of the local market, for getting the economies of collection plate of production, to use their tautologic capacity and use the resources where it is available at law comprise. The several(prenominal) factors for the Ford and GM moved to Russian market, out of preceding(prenominal) mentioned are as follow: - The demand for cars and light commercialized vehicles remained relatively stable prior to, and implementation of market reforms in 1992, For ex adenylic acidle as per the skid study data in 2002 slightly 1.5 million new and used cars were bought in Russia, appr oximately 0.5 million were the car made from foreign manufacture. - After forbear crisis in 1997 there is a stable growth of economy. - The Russian government has increased import duty of 35% which resulted the more(prenominal) cost for the foreign made car.(As per the Data in case study) - increase the sell of foreign manufactured car. If we see near flow rate trend of selling of the cars in Russia Built by:         2002         2003         2004 (1st Quarter)         railyard units & market per centum         $ billion& market share         Thousand units & market share         $ zillion and market share         Thousand units & market share         $ meg & market share Russian Manufacturers         842 (59%)         3.7 (35%)         870(58%)         4.

3(35%)         222(68%)         1.4(47%) Foreign Makes do in Russia         11 (0.8%)         0.1(1%)         54(3.6%)         0.6(5%)         22(6.5%)         0.3(10%) New Imports         117 (8.2%)         2.7 (25%)         170 (11.4%)         3.5(28%)         43(13%)         0.9(30%) Used Imports         447(31%)         4(38%)         400(27%)         4(32%)         41 (12.5%)         0.4(13%) Total        Â Â 1417... If you want to get a sufficient essay, tell it on our website: OrderCustomPaper.com

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