CANON CASE
1. Relate Canon's introduction of copiers to Europe with companies' usual internationalization process.
Pattern of internationalization can be measured along five scales:
- Degree of similarity: first only in home-market (Japan), as the internationalization process continued, they started to go to other less familiar markets
- Number of countries: first only in Japan, later in Europe (1957) and the US (1955)
- Operations/handling:
o originally, copiers only sold in Japan
o than exporting copiers to Europe
o later international by selling through dealer network in Europe and the US, distributors initially independent and free which product they wanted to sell
o 1972 takeover of Giessen FDI
o in 1975 replacing distributors with integrated Canon marketing subsidiaries
o logical step, as company becomes more internationally committed, internal handling of foreign operations
o 1982 second plant in Liffre
2. Explain any differences and similarities you observed in question 1.
Relief map of Europe and surrounding regions
Prime Minister Winston Churchill gives the "Victor...
English: 0- Approach Canon used was quite similar to the usual internationalization pattern
- Canon did not engage in mergers and licensing
- Reason: mergers (and licensing), e.g. means loss of control and knowledge
3. Use the "Porter Diamond" to evaluate the conditions for the new facility in Giessen.
- Demand conditions:
o Start production near observed market
o Till 1972, Canon did not sell copiers in Europe, but attractive market with high market potential and established distributor network was already established
o True especially for EC countries, thus logical choice to set up production facility there (i.e. Giessen)
- Factor conditions:
o Most production factors available at facility in Giessen
o Skilled labour, required knowledge and experience available in aimed facility
o Germany is highly industrialized: capital, technology, equipment as production factors should be available
- Related and supporting industry:
o Canon contracted 80 suppliers locally to provide services and...