Case Name :      Mabe: Learning to be a Multinational

Authors :           Jose Luis Rivas, Luis Arciniega

Source :             Ivey Publishing

Case ID :            W13095

Discipline :        Strategy

Case Length :    16 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

A Mexican appliance manufacturer, MABE, has evolved quickly after selling nearly half its stake to a large multinational company in the early 1990s. The manufacturer was then able to dominate the Mexican appliances market and venture into other Latin American countries. Just before the 2008 financial crisis, the manufacturer formed a joint venture with a Spanish company and entered the Russian market, but it was not successful. The manufacturer faced a dilemma: Should it leave the Russian joint venture with its Spanish partner and refocus on other emerging markets? Should it acquire a local manufacturer? Should it remain as it was?