Copra Cola Corporation

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Copra Cola Corporation

• MGT 448
• Global Business Strategies
• Sarah Smith, Tina Chapman, Ben Lawson, Ronn Jones

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Copra Cola

• Staff Members
• Sarah Smith Marketing mix, marketing plan,
  market indicators and trends
• Tina Chapman Budget and financial overview and
  financial analysis
• Ben Lawson Centralized organization, and
  evaluation of exit strategies
• Ronald Jones Viability of business plan and
  contemporary trends in the global environment

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Copra Cola

• Organization overview
• Las Vegas office and manufacturing plant
• 75 employees
• Product description
• Carbonated coconut vitamin beverage
• Mission Statement
• Copra Cola Corporation pledges to provide a
  refreshing and delicious carbonated beverage,
  which includes the highly nutritious and
  flavorful benefits of coconut, and to maintain a
  positive and diverse atmosphere in which our
  employees can achieve success.

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Marketing Mix

• Product modification
• Pricing
• Placement
• Promotional programs
• Distribution channels
• E-business

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Financial Health

• The Hon. Bart Philemon, Minister for Finance
  Treasury
• Speech Improving peoples lives through strong
  economic leadership
• Restore Fiscal Management Improve Economic
  Conditions
• Macroeconomic stability has been restored
• Future Improvements
• Earning potential
• Service delivery
• Utilize Resources
• Copra Cola Corporation will contribute to the
  improvement of PNG!
• Jobs
• Delivering a healthy product
• Utilize coconut resources

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Domestic International Sources

• Loan from Bank of Papua New Guinea (BPNG)
• Requirement for exchange control authority for an
  overseas account

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Investment Levels

• Maintain a level balance of debt and equity
• Finance the manufacturing operations
• Use profits to finance administrative
  technology expenses
• Minimize cash balances by purchasing locally
• Funds also furnished by U.S. investors

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Estimated Budget Percentages
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Process Profits and Repatriation of Funds

• PNG Government encourages foreign run businesses
  to keep profits in PNG
• However they do allow repatriation of funds
• PNG Prime Minister states there is a very
  relaxed foreign exchange controls for
  repatriation of funds

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Favorable Financial Structure

• Management team is very positive about the
  success of their new venture in PNG
• Management will make sound investment decisions
  about what activities to finance
• Financing decisions about how to finance the
  activities will be carefully planned
• By making effective money management decisions,
  the financial resources will be used to benefit
  Copra Cola Corporation

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Copra Cola CorporationOrganizational Chart
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What you may know

• Entry Mode
• Joint Venture
• Strategy
• Transnational
• HR Staffing
• Ethnocentric

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Recommendations

• Centralization
• Arguments for
• Decentralization
• Arguments for

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Recommendations (cont.)

• Exit Strategies
• Divestiture of Assets
• Diversification
• Shutting Down Operation
• Handing over to Joint Venture (JV) Partner

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Recommendations (cont.)

• Handing over to Joint Venture Partner
• Buy-Sell
• Lock-out periods
• Triggering events
• Reverse Buy Sell
• Forced Sale
• Conversion of Interest to Non-Voting Interest
• Dissolution and Liquidation

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• The International Monetary Fund facilitates
  international trade and foster global monetary
  cooperation.
• Copra Cola Corporation will
• - access financial services to help with health
  and medical insurances
• - secure and overdraft facility in case of
  emergency

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• Mode of Entry
• - Wholly-owned subsidiary
• Parent firm located in Las Vegas, NV
• - New operation projected in PNG

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Human Resources Development

• Ethnocentric Method
• Polycentric Method
• Geocentric Method

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Four Main Reasons for Global Business Failures

• Operation inefficiencies
• Lack of strategic planning
• Lack of market research
• Unethical behavior

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Conclusion