The International Group Chabros case examines how a Lebanese multinational companies faced wood a drastic decline in sales of its largest subsidiary of the global economic crisis after 2008. Antoine Chami, Chabros owner and president was reviewing his company for the year 2009 end-of-year financial statements and, in particular, 30 percent decline in sales in Dubai. In 2007, a year before the global economic crisis Chami had invested to purchase more than 11 million euros and expand a sawmill in Serbia Chab meet … Read more »

The International Group Chabros case examines how a Lebanese multinational companies faced wood a drastic decline in sales of its largest subsidiary of the global economic crisis after 2008. Antoine Chami, Chabros owner and president was reviewing his company for the year 2009 end-of-year financial statements and, in particular, 30 percent decline in sales in Dubai. In 2007, a year before the global economic crisis Chami had invested to purchase more than 11 million euros and expand a sawmill in Serbia Chabros growing wood to meet sales demand. With a significantly higher capacity to cut wood and a much lower probability of producing to sell it, Chami had to decide what to do to meet this challenge. Should he close parts of his Serbian sawmill? Should he try to use to increase its sales of the company, all its sawmill capacity? If so, Chabros should try to market shares in the countries where it already operated (UAE, Saudi Arabia, Qatar, Oman, Egypt) or it should be in a new country (Algeria, Bahrain, Iran, Iraq, Jordan, Kuwait, increase to expand Libya, Syria, Tunisia)? Want Morocco and other countries, the best country to expand into? Was it the right time to embark on such an extension?
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from
Paul W. Beamish,
Bassam Farah
Source: Ivey Publishing
16 pages.
Publication Date: Nov 29, 2010. Prod #: W10001-PDF-ENG
Chabros International Group: A World of Wood HBR case solution

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