Case 218 - World Wide Pharmaceutical in China: Investing in and Bargaining with a Socialist State in Transition
Ryan, Michael P.
World Wide Pharmaceutical is a U.S.-based company, but it is also a global enterprise, conducting sales, production, and research nearly everywhere. This case study explores the company’s foreign direct investment in China, the policy changes Beijing that drove the company’s decision to enter into a joint venture, and the nature of fragmented authority in China and the legal demands that situation imposed on foreign investors. The case is based on a real investment, but details have been disguised to protect the investor and its relationships in China.