Business Profile - Strategic Alliances & Joint Ventures
In addition to its substantial owned capacity, the NSG Group will use manufacturing and other joint ventures as a key strategic tool, promoting market development, business growth and risk sharing. In common with other major players in the industry, the NSG Group has also used technical alliances with other glassmakers in order to promote and develop specific technologies and/or gain access to certain markets.
There are many examples of glass manufacturers sharing the risk of new float investments, either with other manufacturers or financial partners in emerging markets, or in developed markets with secondary processors who wish to backward integrate to secure float purchases. The NSG Group is no exception to this trend and the strategy of entering new markets and/or expanding existing operations in emerging markets has been prudent. Historically, there has been a preference for venture partners in countries it does not know well or where risk sharing is important, such as the Pilkington/MEP float line in Russia. Partnerships with global players include those with Saint-Gobain in South America. Local alliances, for example Shanghai Yaohua Pilkington and China Glass Holdings in China, complement the portfolio.