The case describes the business strategy and incentive system of Lincoln Electric, and it discusses the international strategy options which the firm would have going forward. The firm has enjoyed increasing success in China as an outcome of its aggressive growth through set and a joint venture of bulk-owned plants. The firm is currently determining how it could use the lessons of its expertise, along with the lessons of the Chinese expertise across Europe, Asia, and Latin America, to India.
Firstly, the question arises as to Lincoln Electric should possess a manufacturing business in India. If so, Lincoln Electric could enter the India marketplace by constructing a brand new plant alone, by joint venture, or by acquisition. If the firm should happen to enter by acquisition, it was not clear what kind of valuation to apply to the Indian incumbent firms. If the firm should happen to enter by joint venture, the question was could Lincoln ensure the way it can make crucial business decisions?
PUBLICATION DATE: November 15, 2006 PRODUCT #: 707S26-HCB-SPA
This is just an excerpt. This case is about STRATEGY & EXECUTION