MEGlobal is one of the most successful businesses globally. "let the middle east meet the west " as said by Mrs. Maha Mulla Hussain the chairman and managing director of PIC ,explains the company's direction which is global. PIC is a subsidiary of KPC (Kuwait Petroleum corporation) . KPC is the first company to introduce petroleum in Kuwait and the region. In 2000 KPC published PIC the strategic direction. Two of the KPC directions are:
-Growth in petrochemical, inside and outside of Kuwait with a partner. -Leverage skills of mature markets into new projects in emerging growth markets.
MEglobal formed a strategic alliance with Dow (win-win attitude) The global alliance for MEGlobal:
-experienced partners in manufacturing and selling MEG
-creating market leadership position
-new business model with multiple sourcing positions in all region
MEGlobal joint Venture with PIC and Dow, even though most joint ventures fail because of unclear objectives and cultural differences , this joint venture was a success. Why it succeeded?
-Dow owned assets in Canada that did not meet the company's strategic priorities. -PIC owned only 1 asset and realized it was important to build or acquire assets elsewhere. -PIC held cash that could be used more productively.
-the partners continue to need each other.
-but employee "buy in" was not automatic.
In 2011 the company's profit margin was shifted and earned 2000$ per employee and the company also gave Ipads for the employees in Christmas, however , when Dow claimed that they'll no longer be their employer fear gripped the employees.
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