Alpha Gearing Systems

ALPHA GEARING SYSTEMS MGMT 810 November 29, 2004 ALPHA GEARING SYSTEMS Alpha gearing systems an Illinois based gearing manufacturing company made a joint venture with China's Kai Li Machine systems; the joint venture was called Alpha Shanghai. The Illinois based company had an entirely different method of working the western culture while Kai Li had a different method of operation that was based on the Eastern culture. In the Western culture the manufacture is more concerned about customer …

…signing up a contract with San Yu and an agreement on price and terms and conditions on the business deal before Alpha Shanghai started redesigning its production facility to manufacture the parts needed by Shan Yu. Some aspects of the Eastern culture regarding trusting the other partner, employee job security etc... are good but million dollar investments can and should not be started without a formal contract and an agreement on the terms and conditions.