Kazyanorgsintez

Country

Russia, Republic of Tatarstan

Year of entry

The company was founded in 1989

Industry/ business area

Production of gas polyethylene pipes, phenol, acetone, antifreeze, chemicals for oil and natural gas dehydration

Entry mode

A company has sales in 30 countries of Asia and East Europe, and there is no information available about its facilities in the countries of sales.

Motives

A company is the only producer of polycarbonate in Russia, and the demand for it is lower than the production scale. So, higher demand in the world market, as well as for the other chemical products is the biggest motive for going internationally.

Firm specific advantages used on the foreign market

- Providing favorable conditions to constant

consumers who buy large-volume

portions of production for a long time;

- Expansion of the customer base;

- Access to new markets;

- A clear contractual terms;

- Providing additional co-moving

services to customers.⁵

Producing polycarbonates PC-075 is unique not only for Russia, but for CIS.

First mover or follower

N/A

Type of state involvement in the process of internationalization

Directly – no, at least no information about this

Evaluation of the success of the internationalization

A company did not establish any subsidiaries in other countries, but according to the fact, that they supply more than 30 countries with their products, and if the number is compared to the previous years, its international activities are growing. It is one of the biggest chemical exporting companies in Russia.

Country

Russia

Year of entry

2003

Industry/ business area

Production of SKMS, phenol, petrochemical products

Entry mode

2003 – subsidiary in Azerbaijan to produce petrochemical goods

2003 – subsidiary with foreign investments in Ukraine, which becomes an operator on the petrochemical goods market of Ukraine and CIS

2006 – co-production facility “Silizium Kazakhstan” in Kazakhstan

Motives

Growth in the sales volumes, widening of activities, existing production facilities, raw materials base, demand on the world market⁷

Azerbaijan was chosen du to the availability of raw materials – petrochemical , and thus, established a subsidiary for the production of petrochemical goods.

Ukraine was chosen due to its location and infrastructure

Firm specific advantages used on the foreign market

1. profit level sufficient for extended reproduction and creation of new high-tech activity categories

2. orientation on consumers’ demands

3. introduction of advanced resource-saving technologies

4. effective cadre potential which is able to attain the assigned task⁸

First mover or follower

N/A

Type of state involvement in the process of internationalization

No, it did not

Evaluation of the success of the internationalization

Today “Group of Companies “Titan” is:

- about 26% of all-Russian market of SKMS;

- about quarter of Russian phenol market;

- pioneer developments in the sphere of biotechnologies;

GC “Titan” includes — complex of petrochemical production facilities with total volume of investments of more than 300 million dollars, large transportation company, agro-industrial complex. “Group of Companies “Titan” has affiliations and representative offices in Moscow, St.-Petersburg, Bashkiria, Ukraine, Azerbaijan, Kazakhstan and a number of other Russian regions and countries of the world. Since 2006 “Group of Companies “Titan” is included in the list of largest private companies, according to the Forbes magazine, and occupies stable positions in such ratings as “Expert” and “Expert-Siberia”.⁹