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Joint Venture Operations

JOINT VENTURE OPERATIONS BETWEEN AMERICANAND JAPANESE AUTOMOBILE MANUFACTURERS

Through the earlyfall of 1990, joint venture cooperative efforts between American and Japanese automobile manufacturers were quite limited in number. The Japanese automobile manufacturers, however, have an extensive record of joint venture cooperation with European automobile manufacturers.

Some joint venture activity between American and Japanese automobile manufacturers, however, has been initiated. Ford Motor and Nissan Motor have entered into a joint venture operation to manufacture a sportutility vehicle in Spain.37 The vehicle will be sold primarily within the European Economic Community.

Ford and Nissan are also proceeding toward the initiation of a joint venture agreement to be sited in the United States.38 This joint venture operation will produce minivans to be marketed in the United States.

37R. Johnson, "Ford and Nissan Will Build SportUtility Vehicle in Spain," Automotive News, 24 July 1989, 6.

38L. Kertesz, and L. Clark, "FordNissan MiniVan Venture," Automotive News, 11 September 1989, 3, 57.

Ford is also enlisting the cooperation of Mazda in the revamping of its Escort/Tracer production program.39 Mazda is assisting Ford in the redevelopment of the Escort/Tracer production processes around the world.

General Motors is somewhat belatedly entering into discussions concerning joint venture operations with the Japanese, although nothing has yet been decided.40 Chrysler has in place an agreement with Mitsubishi to sell some Japanese manufactured automobiles under Chrysler brand names; however, the American company, as yet, has no firm plans for entering into joint venture negotiations with the Japanese.

39L. Clark, "Japanese Methods Flourish at Ford," Automotive News, 19 March 1990, 1, 2, 47.

40J. R. Olson, "Baseball, Sushi, and Chevrolet," Across the Board, April 1990, 1314.

SUMMARY AND CONCLUSION...

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Joint Venture Operations. (1969, December 31). In LotsofEssays.com. Retrieved 04:29, April 25, 2024, from https://www.lotsofessays.com/viewpaper/1684189.html