Millat Tractors Limited: Has The Time Come to Say Goodbye to Massey Ferguson?

Abstract

Mr. S. M. Irfan Aqueel, CEO Millat Tractors Limited (MTL) had to chalk out a company strategy and action plan for dealing with MTL’s contractual obligations with Massey Ferguson (MF). If MTL continued the technology partnership with MF, MTL would not be able to export tractors. Exporting tractors was important for MTL because the local tractor demand had slashed to half in the past couple of years thus leaving half of the production capacity of MTL and its 250 vendors unutilized. On the other hand, breaking ties with MF would generate several challenges for MTL in the local market. Aqueel had to present his recommendations and action plan about how to move forward.