Shui Fabrics Introduction Over the past five years, Ray Betzell has been the general manager of a joint venture between Ohio-based Rocky River Industries and Shanghai Fabric, LTD. Ten years ago, Rocky River launched Shui Fabrics as a 50-50 joint venture between a U.S. Textile manufacturer and a Chinese company to produce and dye coat fabric that would be sold to both Chinese and
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Ray Betzell’s and Chiu Wai’s perspectives on the SHOU Fabrics’ ROI in terms of the GLOBE project value dimensions. It will explain which of the differences is most central to the issue at hand and why and develops a strategy for addressing the situation. It will also explain how the strategy will appease Ray’s boss back in the U.S. Lastly the specific benefits to the strategy will be laid out. Shui Fabris Perspectives on Shui Fabrics ROI of the Globe Ray Betzell who is the general
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the president of Rocky River failed to research, and understand what business values his joint venture company Shui Fabrics believes in. CULTURAL CHARACTERISTICS There are cultural characteristics that influence organizations, those characteristic include language, religion, social organization, education and attitudes. Attitude is a big factor in the Rocky River and Shui Fabric joint venture, mainly understanding each other’s value. As noted in the textbook Understanding Management “Attitude
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SHUI FABRICS Introduction Shui Fabrics is a fabric company based in China. The company is a 50%-50% joint venture between Shanghai Fabric Ltd., Chinese company and Rocky River Industries, U.S. Textile manufacturer. The company produces dye and coat fabric for domestic and international sportswear markets. There are several differences between the American and Chinese views of the company. Let’s discuss some of the ways the two countries differ in regards to the GLOBE project value dimensions
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Shui Fabrics Strayer University October 28, 2012 Ray Betzell and Chiu Wai’s perspective on Shui Fabrics Economy Ray general manager of the American company feels the disappointment of the low Return of Interest (ROI). In launching this business on Chinese soil there were many barriers from Chinese government. Economically the business venture is more advantageous to the Chinese government rather than the American business because of the high tariffs placed upon American
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Rana, Erec C. Management Dynamics SHUI FABRICS: A CASE STUDY I. PROBLEM Low return on investment is the main problem of Shui Fabrics as to US standards. It has stuck to 5% for three years and the Rocky River President expects 20%. II. OBJECTIVE To increase the return of investment of Shui Fabrics to 20% or better. III. ANALYSIS OF RELEVANT FACTS 1. Shui Fabrics is a 50-50 joint venture between the US textile manufacturer
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complained. "And we've been stuck there for three years now. At *ris poin! I'd expected to be looking at something more on the order of 20 percenl" He pointed out that greater efficiency plus inco{poratiag more sophisticated technology would allow Shui to reduce its workforce substantially and put it on the road to a more acceptable ROI. "I'm well awalre of the fact that the Chinese work for a fractian of what we'd have to payAmerican worker€, and I do appreciate the pressure ttrc govemment is putting
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Shu Fabrics Case Study Cecily Rodgers Modern Management Charles Milazzo Oct. 28 , 2012 I. Ray Btzell vs. Chiu Wai Shui Fabrics was a joint venture between America-based Rocky River Industries and Shanghai Fabrics. After loss of investments and obstacles were overcome, Shui fabrics began profiting after several years passed. In response to the profits, Ray Btzell and his bosses were more concerned with the performance orientation. Btzell and the American investors were concerned
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Shui Fabrics: A Case Study Critical Analysis Executive Summary Managers of multinational organizations and joint ventures have to negotiate, operate, and develop strategic plans that adapt to the cultural differences in each environment. Cultural differences among the United States and China often shape the design and implementation of a strategic plan. To increase the probability of success for joint ventures, an understanding of each country’s sociocultural, economic, and legal-political
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Shui Fabrics Ray Betzell, the general manager of a joint venture between Ohio-based Rocky River Industries and Shanghai fabrics Ind. After many years of production, Rocky River’s President Paul Danvers wasn’t satisfied with the annual return of 5%; he desired an annual return of around 20%. But from the view of Chui Wai, deputy general manager, believed that Shui was generating just the right level of profit-not too much and not too little. When operating on an international basis, it is important
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