Blue Ridge Spain

In: Business and Management

Submitted By SUM1BYX7
Words 574
Pages 3
Blue Ridge Spain is a joint venture between an American fast food chain and a Spanish agricultural company, Terralumen. Terralumen contributed to most of Delta’s success in foreign markets. After many years of a successful JV, the European managing director of Blue Ridge, Yannis Costas, found out that Delta wanted to end the partnership. Cultural value orientation conflicts between parent companies of different nationalities led the way for the dissolution of the JV. In an American-Spanish JV board meeting, the Spanish representative pushed to dissolve the JV to show his dissapproval of the way the meeting was being conducted. He had more of a problem with relationships rather that contractual related issues. The Delta/Tellalumen relationship deteriorated because Delta wanted to grow through acquisitions, instead of JV’s, while Terralumen felt their goals were too agressive. Delta pushed the issue, Terralumen agreed to half and shattered the relationship. They fail to devote attention to critical international business cultural issues. Costas, is of Greek nationality. According to Hofstede, Greece is high on power distance and uncertainty avoidance. In Greece, people respect and prefer senior managers over younger inexperienced managers. Costas has put a lot of effort into the JV, identifies with his work and genuinily wants to help Blue Ridge. He has a good relationship with the Spaniards who value his ability to establish interpersonal relationships. Decisions are made on subjective feelings and with consensus. Costas values solid interpersonal relationships and trust which he and Francisco Alvarez built over the years in trying to foster a successful JV. Costas was often employed to solve conflicts and mend damaged relationships. He also questioned the ethics of his company’s strategy to secretly achieve the upper hand in buyout negotiations. Alvarez,…...

Similar Documents

Spain

...Spain‘s trade take very important place into the nation‘s economy, the country‘s trade polocy has similarities to the other nations of European Union. Like EU Spain has also non-trade barriers mainly in primary and secondary business. http://www.economywatch.com/world_economy/spain/export-import.html Import and export structure of the economy Spain has a numerous of countries as a partners of export and import of product and the range of these product is even bigger but the focus falls on the main ones . The countries from the European Union are the most important partnes for Spain, in 2013 65% of the foreign trade comes from there, main partners are France with 18% of total exports and 11% of total imports and Germany with 15 % ot total exports and 8 % of exports, othe partners are - Italy, Portugal, United Kingdom, China. The most exported products out of Spain are -  food 13 %, cars 11 % and fuel 5 %. The main import of product are fuel, high added value goods, food and chemicals. http://www.tradingeconomics.com/spain/balance-of-trade http://www.ingcb.com/media/231182/spain.pdf Political system of the economy The global economic crisis hit Spain hard in 2009 and the Prime-minister  José Luis Rodríguez Zapatero of the Spanish Socialist Workers Party then decided to make some changes by increasing the unemployed ebenefits and spend money on public works to slowdown the crisis but instead of that, combined with some some other unpleasant conditions, it led the......

Words: 1198 - Pages: 5

Spain

...Human Rights Report on Trafficking in Persons, Especially Women and Children Spain Population: 40,548,753 (July 2010 est.) Population Growth Rate: 0.045% (2010 est.) Birth Rate: 9.54 births/1,000 population (2010 est.) Life Expectancy: total population: 80.18 years; male: 76.88 years; female: 83.7 years (2010 est.) Literacy Rate: total population: 97.9%; male: 98.7%; female: 97.2% (2003 est.) Net Migration Rate: 0.99 migrant(s)/1,000 population (2010 est.) Unemployment Rate: 18.1% (2009 est.) Gross Domestic Product per Capita: $33,700 (2009 est.) Religions: Roman Catholic 94%, other 6% Languages: Castilian Spanish (official) 74%; Catalan 17%, Galician 7%, and Basque 2% are official regionally Ethnic Groups: composite of Mediterranean and Nordic types Capital: Madrid1 Trafficking Routes Given Spain’s proximity to North Africa, trafficking routes often include Spain as a destination or transit country onto the European continent. Trafficking victims, mainly young women, are recruited from Eastern Europe and South America with the promise of jobs in Spain. The traffickers then force the women into sexual servitude. The Canary Islands remain one of the most used routes for illegal immigrants from West Africa.2 Spain and Italy are among the major receiving countries for persons trafficked from West Africa in general and Nigeria in particular, either for labor, sex, or the removal of their organs.3 The sources of trafficking are not restricted to neighboring regions, as......

Words: 2138 - Pages: 9

Spain

...SPAIN It is believed about the name of country Spain that it traces back to Latin name. The name which was used by Romans was Hispania. It is because that after a long time  the Iberian Peninsula became a region of the Roman Empire known as Hispania, that's why they used to call this region as Hispania CHAPTER 1 At 505,992 km2 (195,365 sq mi), Spain is the world's 52nd-largest country. It is some 47,000 km2 (18,000 sq mi) smaller than France and 81,000 km2 (31,000 sq mi) larger than the US state of California. Mount Teide (Tenerife) is the highest mountain peak in Spain and is the third largest volcano in the world from its base. Spain lies between latitudes 26° and 44° N, and longitudes 19° W and 5° E. On the west, Spain borders Portugal; on the south, it borders Gibraltar (a British overseas territory) and Morocco, through its exclaves in North Africa (Ceuta, Melilla, and Peñón de Vélez de la Gomera). On the northeast, along the Pyrenees mountain range, it borders France and the tiny Principality of Andorra. Along the Pyrenees in Girona, a small exclave town called Llívia is surrounded by France. ABSOLUTE LOCATION Lies between latitudes 26° and 44° N, and longitudes 19° W and 5° E. RELATIVE LOCATION Strategic location along approaches to Strait of Gibraltar; Spain controls a number of territories in northern Morocco including the enclaves of Ceuta and Melilla, and the islands of Penon de Velez de la Gomera, Penon de Alhucemas, and Islas Chafarinas | | ...

Words: 1082 - Pages: 5

Spain

...culture and custom differences to the United States. I found the changes fascinating. I always think that the small differences, while sometimes being irritating at the time, add to the charm of the city I visit. In Spain I visited Barcelona, Seville, Madrid and Toledo. It gave me a good overview of the culture differences between the various regions of the country. Activity: Most people in Spain have a very different schedule than us in the United States. Here we tend to get up around 6:30am in the morning and go to sleep around 10:00pm at night. In Spain they get up later in the day. We couldn’t even find milk or coffee in the morning until after 9am. The streets are deserted except for a few workers heading off to their jobs. At 2:00 in the afternoon until 5 or 6pm, the streets once again become barren. The entire city takes a “siesta” while they eat their large lunch and rest during the hottest part of the day. Only a few shops stay open for the tourist trade. The stores then open at 6 and stay open until around 9. The people would stay out until all hours of the evening and head off to bed around 2 or 3am. No matter how we tried, we never got used to the schedule. This was the hardest part of visiting Spain. Food: I found the eating times in Spain to be very interesting. You could find a very light breakfast of a croissant or pastry with juice or coffee around 9am. We actually saw some Spaniards having green olives for breakfast – Imagine that! Usually......

Words: 1323 - Pages: 6

Case Study Blue Ridge Spain

...CASE FRAMEWORK for Charles Sends an Email | Requirement | Your Mark | Out of | Instructor Comment | 1. What is the problem? What was Foster’s intention in sending the email?Answer: Foster’s problem was the unavailability of the new drive XD19 which was having good momentum. His intention in sending the email was to stock the inventory as soon as possible and to resolve the safety issues concerned with the new drive. | | 3 | | 2. Who cares about the problem? How did each recipient interpret the email?Answer: The primary person who cared about the problem was Charles Foster (Sales manager) and the secondary people who were related to the problem were Richard Howe (Vice-president of sales), Maurice LeBlanc (Head of SBU) and Ahmad Hassan (President of JV). Richard understood that there is limited stock so he wanted JV to expedite the manufacturing process as they were losing orders because of stock unavailability. Maurice thought that the US office is only concerned about the safety issues and they believe that JV doesn’t follow the same safety standards as US does. Ahmad thought that Foster is spoiling his business by saying so many negative things in an email to his boss. | | 1 | | 3. How did the problem come about? Provide some background. What cultural assumptions underlie Foster’s email and the phone call and email from Hassan? Answer: The problem arises from the forecast made by the marketing and manufacturing team. The manufacturing team doesn’t......

Words: 844 - Pages: 4

Blue Ridge Spain

...* Refer to the spreadsheet on BB about the valuation of Carnaud Metalbox (CMB). The key variables that will determine how much Crown Cork & Seal (CCS) should offer are listed at the top.  As you change these variables, the implied value of the company per share will adjust at the bottom right. I have input values for the three highlighted (in blue) assumptions about sales growth and cost reductions to arrive at one realistic scenario for the current valuation of Carnaud Metalbox at approximately Ffr. 186.58 per share. Play around with these values to see how much changing the sales to something different each year, or making the cost savings higher or lower, affects the implied value. Here, we are seeking to understand how continued improvement within CMB after the recent merger might justify their current valuation.  <!--[if !supportLists]-->a.     <!--[endif]-->Next, vary the assumptions to match Avery’s estimates of the cost savings provided by an acquisition by CCS, to make the implied value equal approximately the proposed offer price of Ffr. 225. Here, you are evaluating the synergy Avery plans to create, resulting in his willingness to pay a premium for ownership of CMB. Copy and paste the three highlighted lines into your Word document so I can see your answer. Do not upload the spreadsheet.  <!--[if !supportLists]-->b.     <!--[endif]-->Write a short paragraph summarizing your interpretation of the offer price, considering the......

Words: 376 - Pages: 2

Spain

...Spain trip: Day One: Today I caught my flight into Spain. I took a red eye flight to ensure that I had lots of time for sight seeing and getting acquainted with the beautiful regions. We landed in our first destination of Barcelona at around 11 o'clock am. After my flight I took a taxi to my hotel and unpacked my stuff for the week. After that I went for a late lunch at a downtown cafe. It was called Bar CASI and had very good and inexpensive. After that I took a tour bus to Palau Güell, a local tourist attraction.  It is a mansion designed by the architect Antoni Gaudí for the industrial tycoon Eusebi Güell, and built between 1886 and 1888. It is situated in the Carrer Nou de la Rambla, in the El Raval neighbourhood of the city of Barcelona in Catalonia, Spain. After that I got dinner at the restaurant in the attraction and then I went back to my hotel for the evening. Day Two: When I woke up I had breakfast ordered to my room. Since this was my only full day in Barcelona I planned to get lots done and seen. I started with visiting some of the local markets to get a feel for the culture and ethnicity. After that I went to take a private limo tour of the city. This was I was able to see everything without the worry of being lost trying to navigate. After that tour I stopped for a quick lunch at Restaruante Lasarte. I read great reviews about it online and was dying to try it. After my lunch I went went biking down by the water with the deviant bikes company. This was......

Words: 775 - Pages: 4

5-1 Blue Ridge Manufacturing

...Case I: 5-1 Blue Ridge Manufacturing 1. Blue Ridge’s competitive strategy appears to be cost leadership, focusing on a narrow product type and offering for sale only in the southeastern states. Blue Ridge’s limited offering of products, only a sports towel for limited use and distribution, give it an edge in determination as there are only so many materials, designs, and processes required for this one type of product. Though Blue Ridge does focus on just the sports towel, there are still some aspect of differentiation which causes the firm’s competitive strategy to also deviate a bit towards product differentiation. Blue Ridge offers variations of its sports towels aside from its three customary sizes (regular, hand, and midrange), offering the options of a custom “special” by request, and variations in color, printing, offering custom design or logo printing with a licensing fee, as well as embroidery. In addition to Blue Ridge’s sports towel customization options, it is also considering using a new type of EPA friendly ink along with a better quality towel. Both these changes would increase the cost of sports towels, but provide for a higher end product, allowing Blue Ridge to expand its operations nationally. Blue Ridge’s competitive strategy in the future may branch more into product differentiation, but for now, Blue Ridge’s competitive strategy emphasizes cost leadership, attempting to provide its clients with the most cost effective sports towels for their......

Words: 1154 - Pages: 5

Spain

...Located at the crossroads of the Atlantic and the Mediterranean, Europe and Africa, Spain's history and culture are made up of a rich mix of diverse elements. Through exploration and conquest, Spain became a world power in the 16th century, and it maintained a vast overseas empire until the early 19th century. Spain has had peaceful transition to democracy following the death of Dictator Francisco FRANCO in 1975, and rapid economic modernization in 1986, which gave Spain a dynamic and rapidly growing economy and made it a global champion of freedom and human rights. More recently the government has had to focus on measures to reverse a severe economic recession that began in mid-2008. In this report I will discuss the history, demographics, major products Spain benefits from, attitudes, beliefs and religions practiced in the country, their main language societal organization and economic development of the country. At the conclusion of this report, it will be known that Spain is a country that the U.S. and other countries will continue to do business with. Spain has a long rich history with earliest signs of inhabitants going back to 800,000 BC. By 1200 BC North African and Celtic tribes settled on the peninsula creating a Celt-Iberian race. In turn, areas of Spain were colonized and fought over by the Phoenicians, Greeks, Carthaginians, Romans and the Goths. Moorish armies from North Africa invaded the peninsula in the 8th century AD and defeated the last Visigoth King......

Words: 2328 - Pages: 10

Spain

...* History of Spain makes it different * Even today, culture + politics are different * How was this difference shown in different representations throughout the time : 18th marruecas, 19th Alhambra et ford, 20th hemingway fiesta, 21st? Furthermore, these different cultures are so specific that they want to claim independence from one another. It is for example the case of Cataluña, a region that seeks to be proclaimed independent from Spain. http://0-www.palgraveconnect.com.pugwash.lib.warwick.ac.uk/pc/doifinder/10.1057/9780230592643 http://encore.lib.warwick.ac.uk/iii/encore/search/C__Sfranco%20spain__Orightresult__U?lang=eng&suite=cobalt http://imagenturistica.wordpress.com/estereotipos-y-retos/ http://www.theguardian.com/commentisfree/2011/apr/01/spain-different-no-more tales alhambra http://books.google.co.uk/books?id=l-QLAAAAYAAJ&pg=PA275&lpg=PA275&dq=tales+of+the+alhambra+que+pais+es+espana&source=bl&ots=3xSfZYXpEY&sig=w590UWVckRSD_WfbcP_iC__jZEA&hl=fr&sa=X&ved=0ahUKEwj2uazyvevKAhVDnw4KHe6UCDEQ6AEITDAG#v=onepage&q=tales%20of%20the%20alhambra%20que%20pais%20es%20espana&f=false gatherings ford http://archive.org/stream/gatheringsfromsp00ford#page/286/mode/2up/search/what+to+observe+in+spain During the 19th century, travellers undertaking the Grand Tour changed their itineraries to discover and directly experience a new category of aesthetic taste establishing a “Picturesque Tour” through......

Words: 1916 - Pages: 8

Blue Ridge Manufacturing - Cost Accounting

...Assignment II – Blue Ridge Manufacturing INTRODUCTION: Blue Ridge Manufacturing produces and sells sport towels in the USA market. The firm knits all the towels it sells and tracks costs for towel production separately from the cost to customize the towels. Seventy-five percent of its orders include logo design, while the balance are print only and require the payment of a licensee fee for the logo used. Towels are made in four different sizes: Regular, hand, mid-range and hand. The normal production cycle for an order of white towels is three days. If a customer wants a colored towel, the basic white towel made by Blue Ridge is sent to a dyeing firm for 3 days more. The company sells its products to 986 different customers, which are divided into 3 types of groups: Large (8), medium (154), and small (824). They use different approaches to serve different customers: Large Customers, primarily national chains, are supported by a small in-house salespeople; Medium Customers, which are small chains, large single store, licensing, sport teams, are supported by independent representatives (on commissions); and Small Customers, primarily single stores, attracted by Advertisements in magazines and newspapers, who call or mail in their orders. Blue Ridge does not give discounts and ships all orders FOB point of origin. GENERAL ASSUMPTION: 1. We do not take into consideration the value of 85 units for other process as stated in the table 2 since there is no......

Words: 1997 - Pages: 8

Spain

...B.. Business Horizons, Jul/Aug91, Vol. 34 Issue 4, p39, 10p. 4. The Social Responsibility of Business is to Increase its Profits. Milton Friedman, The New York Times Magazine September 13, 1970 | Feb 3 | Lecture: Performance and Industry and Competitive Analysis | * SCC Chapter 3 | | 5. CREATING SHARED VALUE. By: Porter, Michael E.; Kramer, Mark R.. Harvard Business Review, Jan/Feb2011, Vol. 89 Issue 1/2, p62-77, 16p 6. Profits without prosperity. Authors: LAZONICK, WILLIAM, Harvard Business Review. Sep2014, Vol. 92 Issue 9, p46-55. 10p. 7. Is Your CEO’s High Salary Scaring Away Customers? Harvard Business Review. Sep2015, p1-7 | Feb 8 | Discussion: Industry and Competitive Analysis | * Cola Wars 2010 | | 8. BLUE OCEAN STRATEGY. By: Kim, W. Chan; Mauborgne, Renée. Harvard Business Review, Oct2004, Vol. 82 Issue 10, p76-84, 9p, 9. Red Ocean Traps. Authors: Kim, W. Chan; Mauborgne, Renée. Harvard Business Review. Mar2015, Vol. 93 Issue 3, p68-73 | Feb 10 | Discussion: Industry and Competitive Analysis | * Cola Wars Continued * Tesla and the Automobile Industry (Case in the BSG packet) | | 10. How Industries Change; McGahan, Anita M.; Harvard Business School Publishing; Harvard Business Review; 10/01/2004; (9 pages) 11. How to design a winning business model. By: Casadesus-Masanell, Ramon; Ricart, Joan E. Harvard Business Review. Jan/Feb2011, Vol. 89 Issue 1/2, p100-107. 8p. 12. A Dynamic View of Strategy. Markides. MIT Sloan......

Words: 9916 - Pages: 40

Blue Ridge Spain

...Contents Executive Summary 1 Dissolution of Blue Ridge Spain 1 Restructuring Management Based on Growth 2 LARGE GROWTH POTENTIAL 2 MEDIUM GROWTH POTENTIAL 2 SUSTAINABLE SIZE MARKETS 2 Growth Plans for Spain 3 Strategic Alternatives 3 EQUITY BASED STRATEGY 3 NONE-EQUITY BASED STRATEGY 4 Executive Summary International business meshes across multiple domains most notably market entry strategies and sociocultural variances. Factoring in those two critical aspects and giving them the right amount of attention is the separating line between success and failure. Terralumen, Blue Ridge, and Delta are all successful companies; However, by not observing the basic requirements of international business, the security of this otherwise prosperous enterprise is at stake. Both Terralumen and Delta have shortcomings in the area of international business and Blue Ridge is the only stakeholder in this mix who has the necessary experience and expertise to manage this crisis and find a resolution. Considering the overall profitability of the Blue Ridge brand in Spain and existing investments by each joint venture member, the position from this white paper is to recommend a restructure of the business model to leverage the strengths within the joint venture organization and tailor the Blue Ridge total product more closely to the Spanish market. Dissolution of Blue Ridge Spain Delta and Blue Ridge do not have adequate knowledge of the......

Words: 1913 - Pages: 8

Blue Ridge

...BLUE
RIDGE
MANUFACTURING
 ACTIVITY‐BASED
COSTING
AND
CUSTOMER
PROFITABILITY
ANALYSIS
 1.
Allocate
SG&A
Costs
to
SG&A
Activities SG&A
Costs Administration Selling TOTAL Actitives
&
Costs
allocated
 Enter
P.O Commissions Shipping
Activities Invoicing Cost
to
Make
Sales
Calls Checking
Credit Samples,
Catalog
Info Special
Handling
Charges Distribution
Management Marketing
by
Customer
Type Advertising/Promotion Marketing Administrative
Office
Support Licenses,
Fees TOTAL Total
 Shipping Sales Marketing
 Other Assigned Note 












 17,000 












 37,400 










 20,400 










 56,100 









 130,900 From
Table
3 












 15,500 










 117,800 












 9,300 










 12,400 









 155,000 












 32,500 










 155,200 










 29,700 










 68,500 









 285,900 


















‐ 


















‐ 












 85,360 
















‐ 55.00% 












 6,850 











92,210 Percentage
x
Total
Cost
Of
Each
Function 10.00% 












 15,520 
















‐ 10.00% 
















‐ 











15,520 












 21,125 


















‐ 65.00% 
















‐ 
















‐ 










 10,275 











31,400 15.00% 


















‐ 


















‐ 


















‐ 


















‐ 










 13,700 











13,700 20.00% 












 46,560 
















‐ 30.00% 












 6,850......

Words: 1064 - Pages: 5

Blue Ridge

...Blue Ridge Manufacturing Blue Ridge Manufacturing is one of a dozen companies that produces and sells towels for the U.S. “sports towel” market. The firm designs, knits, prints, and embroiders towels. The towels are made in three different sizes; regular (18”x30”), hand (12”x20”), and mid-range (15”x24”). These towels are then sold to their 986 customers, who are predominantly from the southeastern states. The volume purchased by each customer does vary a bit. So, the management team has classified them into three groups; large (8 customers), medium (154 customers), and small (824 customers). The small group consists of customers who call in their orders after seeing ads placed in magazines or catalogues. We have been hired by the firm to conduct an analysis of profitability on their activity-based costing system. Blue Ridge Manufacturing is concerned about how profitable their company truly is. They have hired us to look at their financial activities and advise them of what to do in the future. Blue Ridge has been using activity-based costing for production of their towels for the last few years. They would like us to help them decide not only which products are the most profitable but also which customer group. Currently, Blue Ridge tracks all production costs and customization costs separately from each other. This allows them to follow these costs throughout the production process, making it easier to evaluate the profitability of each product. However...

Words: 370 - Pages: 2

Aquarion Logos | HD Star Wars (1977) | WhatsApp Messenger v2.18.351 APK Premium