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Rapid Growth through Internationalization: Applus Case Solution & Answer

Rapid Growth through Internationalization: Applus  Case Solution

Strategic moves of Applus for International Sustainability

Applus + has carried out with the different business strategies in different countries. It has progressed with the implementation of bench marking and achieving it within limited period of time. Moreover, growth of the business was also contributed by the quality of the Applus + in accordance to the customers’ demand and it also has enhanced and modified its services through the feedback of its customers. In addition, expansion of the company also supported Applus + to achieve its targeted goals and remain on the path of success.

There were also expansion of the Applus + in Spanish market. The market involved tough competition of the giants. The major players were involved n acquiring the companies and disposing them off after some years. However, some particular companies could stand in the saturated market of Spain and Applus + was one of those tremendous companies that has expanded its roots in every market.

Taking over Soluzion a Calidad y Medio has also raised the efficiency of the Applus +. Moreover, it got the 28% increase in its share. Furthermore, acquisition of the State-Owned vehicle inspection Network of the Denmark has allocated new ways of success and strengths to the Applus +. The acquisition has brought an increase of 56 million Euro to the business.

  1. What goals does the company aim to achieve with its current investments at a global level?

General manager of the Applus +, Sergio Pastor has declared the business achievement of Applus + and presented the global strategy of the company.He has announced that Applus + wants to be a large five start company. Moreover, its mission is to achieve the benchmark of the industrial development (with the diversification) and to extend in the different regions (international development). Hence, in order to achieve this goal company has many targets that are inline. He has cleared about the two major objectives of the company one is the innovation and enhancement of technological know-how. Second objective is branding of the business.

  1.  What are the arguments for and against each of these acquisitions?

Pros and Cons of the Acquisitions

Applus + has raised its revenue from 1996 to the 2003. The increase of the revenue was attributed to the acquisition of the companies who made it to achieve million 20.5 euros by the end of 2003. Moreover, the increase of 20% was expected in the upcoming years.

However, the company has to face a trouble with the focus on the non-core activities of the business as well. The focus thus has diverted towards outsourcing, demand, analysis of the demand and supply, addition to the values for customers and other operations. Thus, it has reduced the focus from the core business activities of the company……………..

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