Cemex Case Study Coursework Example | Topics and Well Written Essays - 1000 words

Cemex Case Study - Coursework ExampleIn name of market places, the developing countries of China and India may be seen as some of most important due to large scale cement consumption and yield fuelled by large scale economic growth (OECD 2010, 2009). It may be expected that in prospective years as wealth becomes higher per capita in these markets, that demand begins to fall to levels seen in the developed world. In addition, the nature of harvest-times consumed in developing markets overly varies from those of the developed world. Here there is a preference for pre-bagged building materials as opposed to bulk delivery, a trend which is reversed in developed markets. 2. In terms of global energy, Cemex ranks as third with a capacity of 64.7 million tons, this compares to market leader Lafarges capacity of 108 million tons and Taiheiyo in sixth place at 37.9 million tons. Despite the capacity of the company, Cemex ranks as number one by market share in 9 of its key 13 markets an d turn in anther three. As such(prenominal), Cemexs overall capacity lags behind the total demand for the companys products making the company a global sourcer. ... This however, may be seen as linked to the unique characteristics of such markets which have a propensity to favour local or national producers over the large outside(a) players such as Cemex. As such, despite being a global player, Cemex may still be seen as lacking a substantial presence in key regional markets in some(prenominal) Asia and Africa. 3. Overall, it would appear that Cemex after the current round of acquisitions is now a broad player within the market for building products, while the firm had previously focused on cement (Jobber, 2007). Recent acquisitions has seen the company pitiable into both the aggregates and ready mixed concrete market. With regards to Cemexs generic strategy, it would appear that the company follows a equal leadership model (Porter, 2004). This can be seen in the so called Ceme x way in which on making an acquisition the company attempts to implement a two way process of rationalisation taking the stovepipe and most make up effective practises from both the parent company and the acquisitioned company and then implementing the most cost effective. There is however, one area in which Cemex may be seen as developing a distinguish strategy. In the market for bagged cements, Cemex was the first producer to developed a branded option, thus making the product more attractive in the lucrative home build market segment. In addition, the company also makes small local changes to the produce based upon customer perceptions of quality. For instance while the Egyptian market shows a preference for darker colours cements, Cemexs home markets in South America require a flatboat coloured product. Despite this attempt to differentiate the product, it would appear that the market as a whole is