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Chivaly International

Essay by   •  November 6, 2011  •  Essay  •  267 Words (2 Pages)  •  1,506 Views

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Chivaly's major Indonesian competitor was the German firm Bayer. Chivaly also competed on a smaller scale with Dow Chemical and BASE. Factors that provided the competitive edge included service, local relationships, and the strength of letters of credit.

Chivaly's major Indonesian competitor was the German firm Bayer. Chivaly also competed on a smaller scale with Dow Chemical and BASE. Factors that provided the competitive edge included service, local relationships, and the strength of letters of credit.

Chivaly's major Indonesian competitor was the German firm Bayer. Chivaly also competed on a smaller scale with Dow Chemical and BASE. Factors that provided the competitive edge included service, local relationships, and the strength of letters of credit.

Chivaly was a major manufacturer of chemicals, metals, flax-based papers, cellophane, sports equipment, and home building products. Incorporated in South Dakota in 1892, the firm had since established its executive offices in Oklahoma City.

Urethane foam is a part of the chemical division, had been marketed since 1949 and was one of the world's most adaptable products. Urethane foam was produced for the firm's worldwide market in two plants located in Lake Charles, Louisiana, and in Mansville, West Virginia.

Chivaly entered the Indonesian market in 1984, selling urethane foam on a freight-alongside basis through a Japanese trading company, at that time, Chivaly knew nothing about the market or how their product was sold. As Chaivaly's Indonesian operation grew, the firm established sales representatives in the region, providing a direct link to the market. Chivaly also sold its urethane foam through local distributors. Chivaly have to adapt to the culture environment and political environment of Indonesian.

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