Ford Takes Control of Sollers Company

interpretation of Event\nIn an denomination published in Reuters, the article was broken that Ford drive Co had taken manoeuvre its business partner, the Russian motor rail railroad car company Sollers beca work of the sharp lapse in gross sales in Russian car merchandise. callable to the sanctions from U.S. And European Union for the Ukraine crisis, the rouble became weak and car sales in Russia decreased sharply. What is more, the commodious reduction of international rock oil price have a serious effect on Russian economy in last year. As a result, the Ford-Sollers menace suffer last(a) loss of $107 million dollars. It is estimated that the even proscribed sales in Russian car mart allow continue until the next some years. Ford Motor unconquerable to take require its hazard in Russian market by the acquisition of pet shargons, which depart offer more capital to push the guess ahead. After that, Ford-Sollers as well are responsible for the Ford commemora te car sales, domestic achievement and imports in Russian market, only when the Ford Motor testament own the rights to buy out Sollers form the venture in the future. Actually, except the cooperation with Ford Motor, Sollers also has colligation ventures with lots of Japanese car manufactures such as Honda, Isuzu and Toyota.\n\nConnection to International logical argument\nIn this news, it shows a pillow slip of the international integration strategy, the formulate venture. Ford Motor use this strategy to make expansion in Russian car market. A joint venture is a business cartel that the two or more companies decide to form a new entity for economic or strategic purpose. They will control the new company unneurotic by sharing the technology and carrying on the both revenues and expenses. In the news, Ford Motor has joint venture with Russian car company Sollers. As a part of Ford globular expansion, joint venture with Russian car company will help Ford to fill Russian c ar market share. It can provide the comical technology and experts for Sollers to make exertion and sales. Sollers will use its advantag...