Blue Ridge Spain Case Study

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Blue Ridge Restaurant Corporation is a successful fast food chain that gained significant sales growth due to their reputation for quality fast food. The corporation was acquired by several companies, which continued their international business strategy of entering joint venture with local partners. Delta was a successful soft drink and a snack food company that does not believe in joint venture as a strategy in entering international market. At the time of the acquisition of Blue Ridge, joint venture with Terralumen, a Spanish agricultural firm, was in operation. However, it appears that the Spain growth is slower than expected. Delta started direct involvement in Spain operation and reorganized its European management team. Delta decided to dissolve partnership with Terralumen despite the success of the joint venture. Delta’s decision shocked Costas, and what made matters worse is that he had to develop a dissolution strategy despite his disagreement to end the partnership. Blue Ridge Restaurant Corporation  Established in Virginia in 1959  Acquired by international beverage company for US $420 million  They formed a joint venture with Terralumen S.A. in Spain Delta Foods  In 1996, Delta Foods bought Blue Ridge  Reputable soft drink and snack food company  Under this new management they wanted to avoid the practice of joint ventures Yannis Costas  The main character of the case study  American educated Greek  Worked in Blue Ridge’s international division as a European regional director  Went on to become responsible for joint ventures and franchises in Germany, Netherlands, Spain, Northern Ireland, Denmark, Sweden and Ireland Analysis using MBI I can examine the difference in management styles in Spain, America, Greece and Finland. To do this I will begin by using cultural

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