Sunday, April 19, 2015
Çh.9: Collusion
Another large business sector for Dupont is in seeds development and agriculture technologies. In an effort to compete against Monsanto in 2006, Dupont and Syngenta signed a partnership arrangement to compete directly with Monsato, as apposed to each other. Indirect collusion is refereed to as tacit, while direct collision (such as price fixing) is illegal.
Ch.8: Flexibility
Acquisitions have been a large part of Duponts historical strategy for product diversity. Merging is a means for expediting the process of developing new profitable product lines. An example is Duponts acquisition of the Danish chemical company Danisco. The strategy was to gain short cut entrance into the industry of designer enzyme development. Danisco was known for making advances enzymatic digestion of cellulose material for fermentation and ethanol formation.
https://books.google.com/books?id=OR24BAAAQBAJ&pg=PA16&lpg=PA16&dq=Dupont+company+portfolio+flexibility&source=bl&ots=_Qfn4s0Au0&sig=6XduPjQZKal_kT5JdwlwDm9podQ&hl=en&sa=X&ei=ZkA0VZrPGcmrgwTu6YFI&ved=0CF0Q6AEwBw#v=onepage&q=Dupont%20company%20portfolio%20flexibility&f=false
https://books.google.com/books?id=OR24BAAAQBAJ&pg=PA16&lpg=PA16&dq=Dupont+company+portfolio+flexibility&source=bl&ots=_Qfn4s0Au0&sig=6XduPjQZKal_kT5JdwlwDm9podQ&hl=en&sa=X&ei=ZkA0VZrPGcmrgwTu6YFI&ved=0CF0Q6AEwBw#v=onepage&q=Dupont%20company%20portfolio%20flexibility&f=false
Sunday, April 12, 2015
Ch. 7: Product Diversification
Dupont was the first company in the world to incorporate a structural solution to product diversification. Following strategic expansion in 1921, Dupont decentralized into separate divisions for each product line. These "business units" operated under unique management and budgets. Example units included agriculture, nutrition, electronics, communication, safety and protection, home and construction, transportation, and apparel. Many sectors containing value added products and customer solutions, but that did not exactly relate well with one another in terms operation. These units differed in capital requirement, industrial maintenance intensiveness, vendors, logistics, and even market strategy. For these reasons it can be highly effective to manage the product lines separately. This form of diversification is common in many corporations today.
https://books.google.com/books?id=IvKYhrXAfRUC&pg=PA422&lpg=PA422&dq=Dupont+product+diversification&source=bl&ots=7nFFqkk2YL&sig=vmJvfU8E6PrsR6jQpFrAinF9QjU&hl=en&sa=X&ei=IyIrVZXfLoPAggS99ICIDw&ved=0CE0Q6AEwBQ#v=onepage&q=Dupont%20product%20diversification&f=false
https://books.google.com/books?id=IvKYhrXAfRUC&pg=PA422&lpg=PA422&dq=Dupont+product+diversification&source=bl&ots=7nFFqkk2YL&sig=vmJvfU8E6PrsR6jQpFrAinF9QjU&hl=en&sa=X&ei=IyIrVZXfLoPAggS99ICIDw&ved=0CE0Q6AEwBQ#v=onepage&q=Dupont%20product%20diversification&f=false
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