Lung Cheong International: How to Survive in a Changing Business Landscape Harvard Case Solution & Analysis

Lung Cheong International Holding Co., Ltd. was founded in 1979 as an original equipment manufacturer (OEM) of toys in Hong Kong. As mainland China's economy began in the 1980s and 1990s, China was the great rear cheap land and labor, low-tech manufacturing, as well as a huge and growing consumer market. Lung Cheong felt continuously challenges changing business landscape. Should it move its production lines to the mainland or elsewhere with the same low cost? How should it deal with its major Western and Japanese customers, to maintain a good relationship? Whether it should enter into the huge mainland Chinese market sales? If so, how could it compete with the mainland-based manufacturers, which are reducing production costs and can sell goods very cheap? How could that have to deal with rampant copyright issues in the mainland market? Or whether it should focus instead on the West - particularly in the U.S. market "Hide
by Bennett Yim, Vincent Mak Source: University of Hong Kong, 7 pages. Publication Date: June 24, 2003. Prod. #: HKU281-PDF-ENG

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