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case studies in international management
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Takenaka komuten Company Ltd.
Case Study in international management
Summary
I. Overview
II. Synopsis of exhibits
III. Overall situation
IV. Atlas Engineering & Construction
V. Existing Situation
VI. Statement of problem
VII.Options
Overview
• Japanese Company located in Osaka
• Architecture engineering and construction firm
• Family Business founded in 1930
• Considered as « Big Five » of the Japanese contractors
• Specialized in public work (i.e. : Tokyo Tower)
• Non diversified company
Overview
Synopsis of exhibits
• Exhibit I: Summary of Jameson’s proposal to
Takenaka Komuten
• Exhibit II: Status of projects undertaken by T.K.
• Exhibits III: Growth summary of T.K.’s gross
sales
• Exhibit IV: Contracts awarded to T.K.
Synopsis of exhibits
• Exhibits V: Types of construction undertaken by T.K.
• Exhibits VI: Financial & Statistical summary of Atlas
Eng&Constr
• Exhibits VII: Types of construction undertaken by
Atlas
• Exhibits VIII: Projects in which Atlas was the sole
Contractor
Overall situation
• 1990’s: Real estate market is decreasing
• Increase of market competition
• Increase of contracted projects
Overall situation
Overall Situation
Strengths Weaknesses
Reputation of excellence
Not enough notoriety
SpecializedCan’t compete
with big corporations
Well established in their domain
Not enough diversified
Company is in good shape
Atlas Engineering & Construction
• Civil engineering company from USA
• Already worked with Takenaka Komuten
• Interested in a joint venture company
• Most of their contracts are shared with other companies
Existing Situation
• Communication
• Intercultural differences
• Management
Communication
Strengths Weaknesses
Understand each other’s
problem
Communication is formal
Already worked
together
Opposition of owners and
employees
Both work in the same
sector
Intercultural differencesStrengths Weaknesses
Both are used to ask
results to their
employees
Japanese are loyal to their
company
Get the results by motivation
Long term relationship
Americans are friendly /
Japanese ate attached to
chair of command
Management
Strengths Weaknesses
In case of merger both companies would stay separate
TK’s president doesn’t seem to care about his director’s
viewpoint
Statement of problem
• Even if the company seems to be in good shape, the real estate market is decreasing
• Jameson’s proposal requires us to make a choice
• You might take a decision
Options
• Joint venture company
• Negotiate terms of contract
• Use of bribery
• Call the Yakuza
• Sell the company before bankrupt