Kodak in China

Kodak in China
Case Code: BSTR146
Case Length: 14 Pages
Period: 1984-2004
Pub Date: 2006
Teaching Note: Available
Price: Rs.400
Organization: Kodak
Industry: Imaging
Countries: China
Themes: Entry Strategy, Inorganic Growth
Kodak in China
Abstract Case Intro 1 Case Intro 2 Excerpts

Abstract

The case explains the entry of Kodak into China and its growth strategies. Kodak established its representative office in China in 1927. Till the late 1990s, Kodak products were imported into China through Hong Kong. As imports were costlier, Kodak wanted to start its manufacturing operations in China. In 1998, with the support of the Chinese government, Kodak acquired three domestic companies. This helped it strengthen its position in the Chinese market. To consolidate further, Kodak acquired a 20 percent stake in Lucky Films, a domestic company. The case also explains the competition between Kodak and Fuji in the Chinese market. The marketing initiatives taken up by both companies are explained. The case ends with the future outlook of Kodak in China.

Issues

The case is structured to achieve the following teaching objectives:

  • Understand approach taken by multinationals to tap new markets
  • Understand the various issues involved in the setting up of a new company in an international market
  • Understand how the political environment in the host country affects the operations of an MNC
  • Understand the strategies adopted by an MNC to expand its operations
  • Understand the complexity of a growing market like China
  • Understand the growth of a US imaging major in China
  • Understand the contribution made by an MNC to the host country's economic development

Contents

Keywords

Eastman Kodak, George Fisher, Economies of Scale, Kodak China, Kodak Wuxi, Xiamen Fuda Photomaterials Co., Fuji Film, Lucky Films, Joint Ventures, Legend, Nokia, Kodak Express, Goldman Sachs, Digital Photography and Corporate Social Responsibility

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