Kodak in China


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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Case Details:

Price:

Case Code : BSTR146 For delivery in electronic format: Rs. 400;
For delivery through courier (within India): Rs. 400 + Rs. 25 for Shipping & Handling Charges

Themes

Entry Strategy, Inorganic Growth
Case Length : 14 Pages
Period : 1984-2004
Organization : Kodak
Pub Date : 2006
Teaching Note : Available
Countries : China
Industry : Imaging

Abstract:

The case explains the entry of Kodak into China and its growth strategies. Kodak established its representative office in China in 1927. Till the late 1990s, Kodak products were imported into China through Hong Kong. As imports were costlier, Kodak wanted to start its manufacturing operations in China. In 1998, with the support of the Chinese government, Kodak acquired three domestic companies. This helped it strengthen its position in the Chinese market. To consolidate further, Kodak acquired a 20 percent stake in Lucky Films, a domestic company. The case also explains the competition between Kodak and Fuji in the Chinese market. The marketing initiatives taken up by both companies are explained. The case ends with the future outlook of Kodak in China.

Issues:

» Understand approach taken by multinationals to tap new markets

» Understand the various issues involved in the setting up of a new company in an international market

» Understand how the political environment in the host country affects the operations of an MNC

» Understand the strategies adopted by an MNC to expand its operations

» Understand the complexity of a growing market like China

» Understand the growth of a US imaging major in China

» Understand the contribution made by an MNC to the host country's economic development

Contents:

  Page No.
Kodak Clicks in China 1
Background Note 2
Growth Strategies 4
Kodak - Fuji Rivalry 7
Future Outlook 8
Exhibits 11

Keywords:

Eastman Kodak, George Fisher, Economies of Scale, Kodak China, Kodak Wuxi, Xiamen Fuda Photomaterials Co., Fuji Film, Lucky Films, Joint Ventures, Legend, Nokia, Kodak Express, Goldman Sachs, Digital Photography and Corporate Social Responsibility.

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