Cemex Globalisation

world(prenominal) Strategic Management Mini Cases Series CEMEX Global Expansion From a relatively modest Mexican family-owned conglomerate, CEMEX was since 1996, the third largest cementum caller-out in the world measured by cement doing capacity. Having completed the acquisitions of Southdown in the USA and RMC in the UK, the sort was a well established three-legged player in America, atomic number 63 and Asia. However planetary contest was tough and CEMEX was not positioned in the two emerging jumbo markets of China and India. CEMEX outline to last one of the leading players in the world of cement took tail in three major(ip) steps: (1) consolidating its front the Mexican market, (2) inter subject fieldization, (3) global management 1) Mexico In1985, when Lorenzo Zambrano was appointed to head CEMEX, the company was reasonably oft as any other developing farming conglomerate. Founded in Mexico in 1906, CEMEX had grown from a regional cement manufacturing bus iness to a diversified group of companies with interests in tourism, oil colour in and mining projects, and was listed on the Mexican stock exchange. The signing of the GATT pact in 1985 turned Mexico, the worlds 13th largest cement consumer, into an open marketplace and at the same time an send away expansion terrain for cement multi study companies (MNCs).

The demographics, the attractive market characteristics and the tolerate infrastructure development all gave Mexico a huge harvest-home potential. With the increased competition from more efficient international players, a consolidation movement was inevitable. Zambrano implemented a deliberate dodge to make cement its agg regate business. CEMEX divested most all non! content cement related businesses, reinvesting the proceedings into cement assets. It acquired the two major cement manufacturers in Mexico, thus becoming the main national player and the tenth largest cement company in the world. 2) world(a) Cement is a very cyclical industry and the forepart in several countries with...If you want to get a practiced essay, order it on our website: OrderEssay.net

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