Assuming that there is no change in prices
International Business
Questions:
CASE 1 (20 Marks)
Kodak started selling photographic equipment on Japan 1889 and by the 1930s it had a dominant position in the Japanese market. But after World War II, U.S occupation forces persuaded most U.S companies including Kodak to leave Japan to give the war torn local industry a chance to recover. Kodak was effectively priced out of the market by tariff barriers; over the next 35 years Fuji gained 70% share of the market while Kodak saw its share slip to miserable 5%. During this period Kodak limited much of its activities in Japan.
Q1. What was the critical catalyst that led Kodak to start taking the Japanese market seriously?
Q2. From the evidence given in the case do you think Kodak’s charges of unfair trading practices against Fuji are valid? Support your answer.
CASE 2 (20 Marks)
Q1. Which company is truly Multinational ? Why?
Q2. List three differences between Company , Multi National company and Trans Multi National Company ?
CASE – 3 (20 Marks)
Strategic R & D by TNCs in Developing Countries
Q1. Explain why MNCs have located R & D centres in developing countries?
Q2. Mention the areas where R & D activities can easily be decentralised.
CASE -4 (20 Marks)
VK Ltd a multi-product Company, furnishes you the following data relating to the year 2000.
First Half of the year Second Half of the year
Sales Rs. 45,000 Rs. 50,000
Total Cost Rs. 40,000 Rs. 43,000
Assuming that there is no change in prices and variable costs and that the fixed expenses are incurred equally in the two half years periods calculate for the year 2000.
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