Fuji Xerox
(FX) is one of the most successful joint ventures between an American and a Japanese company. The FX international joint venture (IJV) started in 1962 as a 50/50 equity joint venture between Fuji Photo Film (FPF) and Rank Xerox (RX). Initially, FPF was responsible for manufacturing the copiers with the technology transferred from Xerox, while FX marketed the products in Japan and some other Asian countries. As FX evolved, however, it took on the responsibility of manufacturing. Xerox became more involved with FX as both FPF and RX became passive partners. FX also took on more and more research and development. By 1989, FX was contributing almost one third of Xerox’s net earning. ...
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take a look at the background of FX, why Xerox and Fuji established the IJV, what the issues encountered and results achieved by both partners were, and their formation process. We will also look at some of the recent developments effecting FX, and in conclusion, summarize what we believe to be the key points which helped FX develop into a very valuable asset in the Xerox Group.
Background of Fuji Xerox
Structure
The structure of Fuji Xerox is quite complex. Originally, Fuji Xerox was a 50/50 equity joint venture formed by Rank Xerox and Fuji Photo Film. Rank Xerox (RX) was a 50/50 joint venture between the Xerox Corporation and the Rank Organization (a British firm). Therefore, Xerox initially owned 25% (50% * 0.50) of Fuji Xerox. FPF and RX each contributed $100 million yen to the joint venture. Part of FPF’s contribution was a manufacturing plant.
Appendix 1 is a diagram to show the structure of the organization in 1996. In 1997, Xerox purchased the Rank Group’s ...
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Xerox, and obtained exclusive rights to xerographic patents in Japan. Fuji Xerox initially subcontracted Fuji Photo Film to manufacture the products. Based on the technology licensing agreements with Rank Xerox, Fuji Xerox could market and sell the products in Japan, Indonesia, South Korea, the Philippines, Taiwan, Thailand, and Indochina exclusively. In return, Fuji Xerox would pay Rank Xerox a royalty of 5% on revenues from the sale of xerographic products. Rank Xerox would also be granted 50% of Fuji Xerox’s profits.
Products
By September 1962, FX had produced Xerox 914, and by 1965, 90% of the parts for the 914 came from local suppliers. When 914 was introduced, the ...
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Fuji Xerox. (2008, June 12). Retrieved November 22, 2024, from http://www.essayworld.com/essays/Fuji-Xerox/85137
"Fuji Xerox." Essayworld.com. Essayworld.com, 12 Jun. 2008. Web. 22 Nov. 2024. <http://www.essayworld.com/essays/Fuji-Xerox/85137>
"Fuji Xerox." Essayworld.com. June 12, 2008. Accessed November 22, 2024. http://www.essayworld.com/essays/Fuji-Xerox/85137.
"Fuji Xerox." Essayworld.com. June 12, 2008. Accessed November 22, 2024. http://www.essayworld.com/essays/Fuji-Xerox/85137.
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