Vehbi Koc and the Making of Turkeys Largest Business Group Harvard Case Solution & Analysis

The case describes the creation of the largest business groups in Turkey Vehbi Koc. The basis of this group in the interwar period, and subsequent diversification of many industries, including automobiles, consumer goods and services, are analyzed. The case serves to explain why diversified business groups so important in emerging markets such as Turkey. It examines the role of market imperfections, government policies and entrepreneurial ambitions in their creation, as well as organizational issues associated with such a diversified management company belonging to the family. Most of the firm's growth came from licensing and joint venture agreements with multinational companies that are not able or do not want to invest directly in Turkey because of the political risk and government restrictions. It ends in 1988, when the founder of a report to the consulting Bain, calling for the firm to reduce the range of activities it carries out in connection with the competitive challenges in the liberalization of the Turkish economy. "Hide
by Asli M. Colpan, Jeffrey G. Jones Source: Harvard Business School 30 pages. Publication Date: June 3, 2011. Prod. #: 811081-PDF-ENG

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