Case Study: Kent Chemical

CASE WRITE UP ““Kent Chemical: Organizing for international growth

Prepared by: Emilio Ramirez Zuñiga 000126489, Nov 2015

INTRODUCTION
Kent was established in 1917 as a rubber producer. During the 1940s Kent had diversified into plastics and expanded trough acquisitions to become one of the country’s largest producers and marketers of plastic additives and other specialty chemicals.
Kent offered a wide range of products focusing in niche market needs in the construction, electronics, medical products, and consumer industries.

PROBLEM STATEMENT
Kent Chemicals was very successful in the beginning, but it was encountering some challenges due to the speedy growth of the business in regions other than the US headquarters.

The president had

Sterling had recommended the following, and Kent got useful benefits on paying the fee, as the implementations of the following strategies would definitely be useful in achieving international growth and remove all barriers cited earlier in conducting smooth operations. -
1. Kent should adopt a “Decision Matrix”

Internet linked communications
3. Accountability
4. Decentralization with knowledge of ownership.
5. Shared vision and planning efforts by the headquarter and subsidiary groups.
6. Company should apply the Porter’s Five Forces Model.

RECOMMENDATIONS

4. What should Luis Morales recommend? What should Chairman Ben Fisher decide?

The consultant recommendations should be taken into consideration, because as I mention before they will bring an order and a step-by-step program to take decisions and taking all the points of view into consideration.
It is critical for the company to go global and to try to achieve EOS by taking global decisions and start integrating as a whole in order to reach a competitive advantage. But they should have in mind that there are some companies that will have issues and that not all companies are the same; so different approaches should be taken otherwise they will continue to have missteps as the ones before.

ALTERNATIVE STRATEGIES

1. - Separate completely the administration from each product division.
Advantages a) each division will have their own responsible b) financial independence c) costumers and supplier’s independence
Disadvantages a) less EOS b) don’t have a consolidated