Baba

Before entering into the international market, Suzlon developed themselves into a market leader in the domestic market (Indian market), and holds a major share in the market. This helped them gain a good base of customers and capital required for its international expansion. Similarly Bharat Forge was a market leader in the domestic market (Indian market) before entering the international market.

Suzlon was based in India, a market that was generally not considered as a producer of goods of international and as a high risk. This meant that the company had to go to large extents to prove their capabilities in the international market. Similarly Bharat Forge was based in India; this meant that they had to prove to their customers their capabilities, and also improve their quality standards to match and try to outperform their competitors.

The following are the differences in the strategies in Suzlon and Bharat Forge.

Suzlon’s international acquisitions were based around the need for technological gains; Suzlon improved their quality and made technological advancements via their planned acquisitions of various companies that had good R&D departments. Contradictive to Suzlon, Bharat Forge based their acquisitions around the need for newer orders and for acquiring manufacturing units closer to their customers; their acquisitions of international companies gave them order books and orders from international clients. They also acquired a few dies and manufacturing units due to the acquisitions.

Suzlon from its inception had concentrated on quality and productivity hence they stressed on hiring white collar professionals. This meant they had a capable work force when they entered international market. On the other hand Bharat Forge was a predominately quantity orientated company. This meant that they would have been at a disadvantage in the international market. This also meant that most of their work force was blue collar; hence they offered their employees...