Why did geely acquire volvo

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1) Why did Geely acquire Volvo? What are the benefits of acquisition? What are the potential costs and risks?

2) The Volvo acquisition allowed Geely to grow its sales in China. Why might an acquisition have been preferred to simply licensing the brand and know from Volvo (assuming that was an option)?

3) Following the Volvo acquisition, Geely built a new wolly owned factory to produce Volvo cars in the United States. Why was a direct investment strategy preferred to other ways of growing the U.S market, such as through exporting or licensing the Volvo brand and designs to another producer?

4) What are the benefits of Geely's investment in South Carolina to the U.S economy? What are the potential costs? Do you think it was in the interests of the United States to let this investment proceed?

Reference no: EM132945897

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