Cemex case essay

Using module theory and evidence from the CEMEX case study, critically evaluate his chances of success. Lorenzo Zambrano’s bid to dominate the global market in cement manufacturing, distribution and overall profitability is the main driving force in expanding overseas through Foreign Direct Investment.

Hence, between the periods of 1994 to 1997, the cash flow in terms of standard deviation had reduced to a mean of about 7 percent down from 9.5 percent in the domestic market. In addition, CEMEX has also gone through the ever volatile and fluctuating currency exchange rates in host countries as was the case with Spain.

Market rivals such as Hoderbank and Lafarge are indeed the main challenge to CEMEX as the latter seeks to lead while others follow. In order to beat this growing competition both for domestic and foreign markets, CEMEX is shrewd in its management programs in the expansion process.

As he notes, CEMEX is looking forward to control at least 25 percent of the global market or better still maintain the global leadership in cement production and marketing (Bartlett, Ghoshal & Beamish, 2008).