GAZ Group Russia: The Gazelle Light Commercial Truck
(12 pages of text)
In January 2013, the CEO of the Russian automotive company Gorky Automobile Plant (GAZ) was pleased with the results of the recently implemented changes to the company’s product-market strategy and the related organizational processes. He believed that this series of radical changes could help GAZ further cement its domestic market leadership position and at the same time allow it to complete a dramatic turnaround that had resulted in the company's most profitable year ever. He was now planning the launch of the third generation all-new Gazelle Next light transport truck, which he believed would take the company to a new level of competitiveness and revenue growth in Russia, and even more importantly, in other emerging markets.
This case can be used to explore several intertwined topics in international business and strategy. It provides an opportunity to explore a variety of macro and micro emerging market multinational enterprise (MNE) management topics, including:
- Industry analysis and product market strategy in Russia
- Understanding of a growing phenomenon, the internationalization of emerging market MNEs
- Identification of the advantages that emerging market MNEs have regarding product market fit in what is often termed ‘south-south trade’
- The use of competitive strategies in transition economies
- The transformational role that a new leader could play
- The tactics used to accomplish the company’s dramatic turn around.
Russia, Large, 2012
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