case 6-3 Essay

Submitted By 512157609163Com1
Words: 621
Pages: 3

Was the country wrong Why India No, I believe the country choose India is correct. At first, the India began the process of liberalization and changed the economy from import to export style. The economy environment became better, which is effectively attracted more foreign investors. Secondly, the India has a huge population, even per personal care product cost was low, but the total cost still a big potential market. And its GDP keep smooth growth, the Indians would be like spend more money on their health. The last one, Eli Lilly can use the lower employee India, it can decrease it product cost, and it also can through India trade way to sell drugs to the Soviet Union. This is hard to sell stuff for an American company in that period. Was deciding to partner wrong Is partnership a good or bad thing In my opinion I think choose a partner is the best choose, We cannot just get a definite answer of partner is good or bad thing. Its depending on different time and different site. I believe it is a good thing for Eli Lilly chooses a partner entry India market in 1992. Even it needs to face more challenges, but it will get more profits. Was the partner choice wrong For Eli Lilly choose Ranbarxy is the best choice. At First, in the early 1990s, Ranbarxy had become a largest manufacture of bulk drugs in India, it means Ranbarxy is a popular brand for India, their products can get trust from the consumers and doctors. Secondly, became partner with Ranbarxy can use its distribution network, it really can save more money. Third, Ranbarxy is Indian own company, it can easier to communicate with government, to get license or other policy protect. Was the JV structure wrong JVs structure is good, it make Eli Lilly and Ranbarxy in balance level. The board of directors formed by six directors, three from each company, it can bring a fair and effectively way to decision. But for this equal level because of the Eli Lilly want Ranbarxy feel good or fair. It can bring a seem fair partner relationship. On the other hand, Eli Lilly support products and employees train service, and Ranbarxy support distribution networks, and Indian company culture. The JV seems separate will both companies, but get help form two companies. The other reason JV can make decision by item self, which can bring effectiveness and timeliness. It is…