Preview

Blue Ridge Spain

Powerful Essays
Open Document
Open Document
1587 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Blue Ridge Spain
Overall comments: need to tie narrative to terms/concepts from the book.
Should stratify comments into uncontrollable and controllable forces. (like Todd did)

Although Blue Ridge Restaurants had success with expansion and joint ventures in Australia, the UK, France, Italy, Brazil and Hong Kong through 1987, many differing factors were at play when Yannis Costas evaluated the market and strategy for the Spain in the 1ate 1990s. Factors described by D. A. Ball, et al, 1, considered relevant in a country screening and assessing market expansion, especially the xx screen, political and legal and the fourth screen, socio-cultural, were not favorable for an aggressive expansion in Spain.

The key issues in the Delta Foods expansion in Spain are:
Probe deeper on these questions: 1. What are the expertise strengths and unique resources that each partner brought to the joint venture? 2. Why does or doesn’t Blue Ridge need a joint venture in Spain? 3. Why does or doesn't Terralumen need a partner to develop such a business in Spain?

Environment for joint venture

* Peculiarities for doing business in Spain-failure to use value chain analysis
What was the competitive cost position at the end of the value chain? * Terralumen is a package good company looking for restaurant partner * Market demand-package foods industry and non-tapas menu items popular with working professionals in urban areas only * Pressing Spaniards on American goals * Spanish economic trials of 1998-2004 * Lack of implementation plan-see keys to resource deployment

Impedances: Socio-Cultural

* Fear of being exploited * Explain uncertainty avoidance and masculinity/femininity concepts for Terralumen and BR/Delta

Cultural differences, as related to doing business, come into play here in the Blue Ridge case Study. Significant cross cultural conflicts between parent companies of different nationalities paved the way for the dissolution of

You May Also Find These Documents Helpful

  • Good Essays

    Richard Gibson (2006, September). Small Business (A Special Report); Foreign Flavors: When going abroad, you should think of franchising as a cookie-cutter business; Unless, of…

    • 895 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Chipotle Case Analysis

    • 958 Words
    • 4 Pages

    GENERAL: 1. Demographic: Population size (O): potential increase in US; Age structure: mainly servicing adult between 18-49 years old; Geographic distribution (O): 39 states in the US, 1 in British and 2 in Canada; Ethnic Mix: N/A; Income Distribution: medium or high income (Customers willing to pay the premium). 2. Economic (T): stagnate, increasing food cost price (demotic 3.9%, global 37%) and customers’ dwindling budgets. 3. Political (T): ICE shifts its focus; PETA asked to use CAK; definition of healthy food. 4. Sociocultural (T): Higher wage for CIW. 5. Technological: Prevailing Social media (O); Tortilla grill machine (T). 6.Global: Cultural differences for new stores (T) in international markets. 7. Physical Environment: N/A.…

    • 958 Words
    • 4 Pages
    Powerful Essays
  • Better Essays

    Ruth Chris Case

    • 989 Words
    • 4 Pages

    There are three basic modes for entry into a new market – Export Entry Mode, Contractual Entry Mode, and Investment Entry Mode. Since the market entry mode for international expansion of restaurant business is not conducive for entry by export mode, Ruth’s Chris international expansion was limited to transferring of knowledge and enterprise to local resources. In other words, Ruth’s Chris entry strategy into any foreign market has to be the Contractual Entry Mode, where franchising to local entrepreneurs made most sense. Also, the current franchises in Taiwan and Mexico are doing well, proven the Contractual Entry Mode as the correct one. Company-owned restaurants might be explored at a later date, but for the initial entry into Japan, Ruth’s Chris should be the exclusive mode. Which will be the next viable international market? The basic selection criteria consisted of the following factors:…

    • 989 Words
    • 4 Pages
    Better Essays
  • Better Essays

    Blue Ridge Spain

    • 2325 Words
    • 10 Pages

    Cultural differences, as related to doing business, come into play here. Significant cross cultural conflicts between parents of different nationalities paved the way for the dissolution of the joint venture between Delta and Terralumen. In a Board of Director’s meeting, the American-Spanish joint venture partners could not work together or agree on common goals and policies, or resolve problems.…

    • 2325 Words
    • 10 Pages
    Better Essays
  • Good Essays

    Porcini Case

    • 535 Words
    • 3 Pages

    Tom Alessio, Marketing Vice President at Porcini’s Inc., of Boston, was pondering issues raised by a potential expansion of his company’s restaurant business. The domestic market for full-service chain restaurants was nearing its saturation point at both in-city and shopping mall locations. The big chains were looking overseas for growth, but as a small regional player, porcini’s had neither the resources nor the brand power to pursue that option. Food and service quality were only two aspects of the challenge. Porcini’s a slow growing, privately held enterprise would eed to roll out its new restaurants quickly in order to establish itself as a powerful brand. With limited capital and access to prime real estate sites, however, that seemed unlikely unless it adopted either a franchising or a syndication model of ownership. The first risked the company’s quality reputation; the second might produce a pace of growth that the company was ill-equipped to handle. These included an innovative process for selecting, appraising, and rewarding employees, and the use of wireless technology to eliminate time from consumer billing. In Alessio’s mind, all parts of the Pronto concept—service quality, food quality, pricing, branding, location, and ownership form had to be coordinated and mutually supportive. It had to meet or exceed the company’s 6% hurdle rate. That was a big order.…

    • 535 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    M. E. Sharpe Beamish, P. W. and Lupton, N. C. 2009. Managing Joint Ventures. Academy of Management…

    • 1312 Words
    • 16 Pages
    Powerful Essays
  • Better Essays

    As consultants for the restaurant The Cheesecake Factory, we have decided that we are going to expand the ever-popular restaurant chain to Spain by means of a joint venture. We are choosing to expand internationally by partnering with a trendy American- style restaurant that operates in Europe, Foster’s Hollywood. The benefits of choosing this mode of entry is that Cheesecake Factory will be able to enter into the restaurant industry in Spain with ease by gaining valuable knowledge about the culture, society, legal restrictions, and business practices that exist in the country. Having first hand knowledge about the country will make it easier for Cheesecake Factory to establish a solid and respected presence in the Spanish restaurant industry.…

    • 3339 Words
    • 14 Pages
    Better Essays
  • Best Essays

    This case study allows you to explore real world cultural issues related to the merger of two companies that basically offer the same services, but have two very different organizational structures and cultures. Note, one video has been provided here, there are many more on youtube as well as a number of articles you can find via additional research.…

    • 1388 Words
    • 6 Pages
    Best Essays
  • Good Essays

    From the e-Activity, determine two specific resources and two specific competencies that give the organization that you researched a competitive advantage.…

    • 591 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Food Retail in the Us

    • 6947 Words
    • 28 Pages

    United States - Food Retail © MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED…

    • 6947 Words
    • 28 Pages
    Powerful Essays
  • Good Essays

    International Expansion

    • 327 Words
    • 2 Pages

    Discuss how the strategic partnerships that have experience in local markets will help to make international expansion possible.…

    • 327 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    Question of Management

    • 336 Words
    • 2 Pages

    6. Why are interorganizational partnerships so important for today’s companies? What elements in the current environment might contribute to either an increase or decrease in interorganizational collaboration? Discuss.…

    • 336 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Eli Lily Case Study

    • 489 Words
    • 2 Pages

    3) How would you assess the overall performance of the JV? What did the partners learn from the experience?…

    • 489 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Management Information

    • 511 Words
    • 3 Pages

    2. Identify and describe at least four business benefits of collaboration? Which do you feel is the most important and why?…

    • 511 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Doing Business

    • 5033 Words
    • 21 Pages

    This is defined to the group of “Two or more persons” combine “their resources and expertise” to operate an event to be a more “efficient unit” (Adrian Palmer & Bob Hartley, 2009, p.218). Wall & Ress tell the true “Few firms can afford to be sophisticated in all areas” (Stuart Wall & Bronwen Ress, 2001, p.19). Hereby, normally partnership…

    • 5033 Words
    • 21 Pages
    Powerful Essays