rewrite for my assignment

800 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas..

As the firm looks for ways to offset the domestic downturn in sales, Deborah, the CEO of your company, wants to determine if a

global strategy

is a good fit for the organization.  She has designated you as the manager for this project.  You will work with your team to develop a global marketing plan for your organization. 

You begin your research in deciding if and what the global strategy should be. You get your team together and begin to discuss a plan on how you will research this possibility.

You start the meeting by saying “Let’s brainstorm and start to get a plan together for a possible globalization strategy. Tiffany, I’d like you work with me to begin researching possible locations.”

Tiffany says, “I think we need to research some locations, but I think there is more to it than that. There still needs to be a decision on the type of strategy or approach we are taking. Would we use a multidomestic approach, a global approach, or a transnational approach? I’m still not entirely convinced a global strategy is the answer.”

“Great point, Tiffany. It is obvious to me as well that we need to explore a strategy that will put us in a better position to handle the economic downturn. We have to provide the board with the facts. They seem to be leaning in the direction of a global strategy, but I’m not sure it’s the right move either. That’s why we need to do research.”

Discuss the following:  

• How do you define a global strategy?  
• Are there other international strategies, and how do they differ?  
• Identify a minimum of 3 possible countries and location options for globalization. Research each of these locations in the furniture industry, and document both the pros and cons of using these in global strategy.  
• What country would you choose? What evidence can you provide in support of your choice?  
• What evidence might somebody else, who does not agree with you, provide to support his or her choice?  
• What could you tell somebody else to show he or she is wrong? 

Primary Response should include:

• Definition of a global strategy
• Identified and described different International strategies and then highlighted how they differed from one another (Hint: different international strategies were flagged in the task scenario)
• Identified a minimum of 3 countries to research for globalization, shared pros and cons of each using these in a global strategy before selecting the one that emerged as the best option for FCF to pursue for global expansion and explain why. Note: the country that you select is the one that you will be researching from this point on in the class
• Acknowledged an opposing view of your country selection and then provided a solid rebuttal
• Adhered to Academic writing and formatting expectations

• Title contents are displayed at the beginning of the Primary Response
• Demonstrated how you applied the knowledge gained from your research by including in-text citations appropriately in the core part of your Primary Response
• Included a Reference section at the end of the Primary Response (must list a minimum of two credible sources and must adhere to APA formatting rules)
• .800 words that respond to the following questions with your thoughts, ideas, and comments. This will be the foundation for future discussions by your classmates. Be substantive and clear, and use examples to reinforce your ideas.

You spent the last week reflecting on both your appreciation of Deborah’s praise and the success of the organization, and then had a long weekend with your family. As you walk in to work on Monday, all you can think about is how excited you are about the future of the company. 

You sit down at your desk and get started on your newest marketing proposal for Deborah when there is a knock at your door. When you call for the person to come in, Anna, the financial analyst, enters.  

“Good morning,” she says. You are surprised to see that she looks nervous because Anna usually has a smile on her face. 

“Hi, Anna. Is everything okay?” you ask. 

“Well,” Anna begins, “I just finished our quarterly report. Our profit margins have dropped by 2% this quarter.”

After Anna leaves to send her report to Deborah, you start to wonder how you and your team can help fix this. Is a global strategy the answer, or should the company continue to focus on the domestic market?

You call a team meeting to learn about the progress of their research. 

Tiffany, one of your team members, begins the discussion. “I think we need to look at some of the internal factors,” she says. “We know what our capabilities are on the domestic front, but what about in the global market? We have a fairly strong market presence here in higher-end markets, but how does that translate globally?”

“Well, I think we need to identify a benchmark to give us some more information to make a better decision,” you explain. Answer the following:

• What is your benchmark?  
• Did it benefit from global expansion? If so, how? If not, why?   
• Did this benefit or hinder the benchmark’s domestic market share? Explain.  
• Were there risks associated with the globalization?  
• How were these risks minimized? 

Mike, one of the marketing strategists on your team, stops at your office door wanting to talk. “We use fabrics that are made domestically; however, there are issues with using these same fabrics globally. There are laws and regulations that prevent us from shipping these fabrics to other countries. This is a huge concern. One of our primary selling points is the consistency of quality of our product.”

You confirm Mike’s concern, “That’s an excellent point,” you say. “Now you’ve just given yourself and our team more work for the presentation. I’m sure that will come up. One of the board members used to run a textile plant in China.”

Mike nods his head in agreement. “I imagine textiles will not be the only resource concern,” he says.

Consider the following in your response:

• Why should resources be a concern in a global strategy?  
• What resources may be a concern in the country you selected?   
• How will this impact the decision to move to the country that you selected?  
• How will this impact your competitive strategy in your global market?

Review the reference materials on global strategy as there is information that may assist with the assignment. 

  

Management in Dynamic Environment

Denise Brown

CTU

01/05/2018

  
Management in Dynamic Environment

Expanding business operations internationally is one of the most significant strategic objectives of many organizations. This is because of the manner in which it broadens their horizons and also enhances the visibility of the brand in question. Such an endeavor does also increase sales since more potential clients are exposed to the goods and services on offer (Cao, 2011). Studies have indicated that the overall competition is reduced to a significant extent. Above all, a firm is able to mitigate vulnerability which comes as a result of the changes in trends. Nonetheless, there are challenges too (Moss, McGrath, Tonge, & Harris, 2012).

Expanding internationally introduces timing challenges. In addition to timing, language barrier becomes such a significant impediment, and so is the issue of currency fluctuation. At times, these issues can event eliminate profits in total, and hence the leverage of having to undergo the challenges of investing, say, in China is completely watered down (Nonaka, Hirose, & Takeda, 2016). It is also important to appreciate the fact that no one can accomplish credible business operations in a market that they barely understand. Knowing the market is the initial step, and such a market ought to be understood in depth. Finally, the local politics must never be ignored (Lessard, Teece, & Leih, 2016).

Politics and Regulatory Frameworks

The political environments internationally tend to look quite different from the domestic environments. It is quite common for various governments to seize and to take control of the market, and even business units themselves. They argue that it is in their best interest, or at least the best interest of their citizens (Lessard et al., 2016). Such moves make the entire operational profits which could have been earned by businesses to disappear. In some cases, there are conditions which demand of an organization to operate in a certain way or risk complete confiscation or fining. The failure to allow a company to operate as it wishes means that creativity is discourages, or sometimes penalized (Cao, 2011; Moss et al., 2012).

Mike finds it concerning that even though the products and services being offered domestically meet the quality standards of a Western economy; such a high standard is still not acceptable in some of the middle-income economies. It could be that foreign firms are penalized or made to face tougher conditions so as to mitigate the kind of competition the local ones face. Now that a foreign investor is to compete for the same resources as the local firms, resources are such a issue of concern (Nonaka et al., 2016).

The Resources and the

Global Strat

egy

Succeeding with a global strategy means that a lot of funds have to be spent. Many firms allocate figures in terms of billions of dollars, which is a substantial amount of money considering that it might be borrowed from financial institutions. A huge chunk of the money is dedicated to marketing while the rest could be directed towards the setting-up and inaugurating the business enterprise. Investing such huge sums of money need one to be sure of the kind of markets and the activities they are engaging in. otherwise, a lot could be wasted without much gains (Nonaka et al., 2016).

Another resource issue is the lengthy time horizons. It is imperative to appreciate that global strategies are built in a long period of time. In fact, relatively new companies have always taken time to become established. A huge majority of what are now considered global companies started within just a single country. They then extended overtime. Time is a resource, and the stakeholders ought to have lengthy horizons in order not to rush decisions and actions (Cao, 2011; Moss et al., 2012).

In order to understand what is needed on the global stage, a firm needs keen stakeholders such as Mike. Additionally, the senior management has to be committed and also direct their efforts towards achieving the desired objectives. Of course, it is important to invest in research. Some firms differentiate between the ordinary research and development and market research (Nonaka et al., 2016). Those who tend to define ‘market research’ are keen on making sure that they exploit every opportunity that is availed by knowing the market. Research is usually geared towards rethinking the aspects of the value chain and business in general in order to improve the gains as much as possible (Lessard et al., 2016).

In summary, resources are a concern at the global level since there are many competitors and limited supply of these particular resources. The sourcing, securing, and utilization of these resources mean that various stakeholders are involved; and balancing their views is a complicated endeavor. In essence, those involved have to remain dedicated to delivering quality at all times irrespective of the kind of limitations they come across (Laats & Haldma, 2012).

The Resources of Concern in China

A firm seeking to invest in China has to be concerned about resources since as a parent firm; of course, it has to make the largest share or even the entire 100% equity investments. This is not really suitable for small and medium sized organizations. China has a huge human resource, and there has been increasing competency since it is an educated society. Depending on the source, statistics show that literacy rate is in the range of 95%-100%. Chinese are industrious, and this has been recognized world-over (Moss et al., 2012).

Since the economic realignment that made China a market economy, capitalistic tendencies have resulted into a scenario where creativity is rewarded. China has become the “factory of the world” due to an enhancement of the level of infrastructure. Some studies have concluded that China has world-class infrastructure. There is also access to capitalistic enterprising via Hong Kong and Taiwan. In fact, it is imperative to appreciate that most manufacturing firms in Guangdong were initiated by Hong Kong and Taiwanese managers. These stakeholders did understand what it takes to run a factory, and they were thus up to the challenge (Laats & Haldma, 2012).

China has favorable governmental regulations. There is decent enforcement with low taxation regimes, lax labor laws, lax environmental laws, and lesser red-tapes. Even if Western firms could be committed to environmental protection, they still do find some of the regulations being derailing; and hence an environment like China that offers an expansive room for maneuverability could seem to be appealing (Cao, 2011; Nonaka et al., 2016).

How the Resources Influence the Decision to Expand into China

Several countries are lining-up to take the place of China as global manufacturers once the trends make China undesirable. One of the results could be that the Chinese will start demanding for higher pay, and raw materials will become scarce. Among the countries to take the spot include Ethiopia, Vietnam, and even Nigeria. Before then, China is still a viable option (Cao, 2011; Lessard et al., 2016). China has efficient seaports and other forms of infrastructure, adequate human resource and raw materials, and the knowledge transfer is happening at a remarkable speed. Expanding into China will pay both in the short as well as in the medium-term, and the firm ought to proceed with the decision to invest into that country (Moss et al., 2012; Nonaka et al., 2016).

Conclusion

Vietnamese and Ethiopians are paid low wages, and this could be one of the factors which could make their markets attractive. Nonetheless, China still dominates in terms of infrastructure, managerial skills and experience, and level of innovation. The Chinese government is also way restrained as compared to those of several other developing countries of the world (Nonaka et al., 2016). Therefore, comparing the decision to invest in China with that of choosing a different leaves one with no doubt that China is, indeed, the best option on the table. This will give the firm a competitive advantage since the products will be delivered on a timely basis, and the quality is certainly assured to be competitive. This is a credible option, and the firm ought to exploit it (Lessard et al., 2016).

  

References

Cao, L. (2011, August). Dynamic capabilities in a turbulent market environment: empirical evidence from international retailers in China. Journal of Strategic Marketing, 19(5), 455-469. DOI: 10.1080/0965254X.2011.565883

Laats, K., & Haldma, T. (2012). Changes in the scope of management accounting systems in the dynamic economic context. Economics & Management, 17(2), 441-447. DOI: 10.5755/j01.em.17.2.2164

Lessard, D., Teece, D.J., & Leih, S. (2016, August). The dynamic capabilities of meta-multinationals. Global Strategy Journal, 6(3), 211-224. DOI: 10.1002/gsj.1126

Moss, D., McGrath, C., Tonge, J., & Harris, P. (2012, Feb.). Exploring the management of the corporate public affairs function in a dynamic global environment. Journal of Public Affairs (14723891), 12(1), 47-60. DOI: 10.1002/pa.1406

Nonaka, I., Hirose, A., & Takeda, Y. (2016, August). ‘Meso’-foundations of dynamic capabilities: team-level synthesis and distributed leadership as the source of dynamic creativity. Global Strategy Journal, 6(3), 168-182. DOI: 10.1002/gsj.1125

Q 1:  Benchmark

A     benchmark refers to standards developed by a company for the purpose     of analyzing performance or quality level (Naga, 2011). In     benchmarking, the primary metrics of a company are compared to     companies under the same sector or to own operations. The concept     assists a company to visualize performance, identify the areas that     require improvement, and foster the company’s general     performance. Benchmarking is subdivided into external and internal.     Internal benchmarking refers to the comparison and evaluation of the     performance and conduct of project teams and internal processes ( Frynas, 2015) .     External benchmarking is a comparison of a company’s     performance to that of other companies falling under the same     sector. 

The     organization should use internal benchmarking. From the scenario,     the organization aspires to focus on the internal factors. It is     aware about its capabilities locally. However, it is unsure about     its capabilities internationally. In addition, its establishment in     the local market is fairly strong. It is however, unclear about the     international market. By adopting internal benchmarking, the     organization will be able to acknowledge its capabilities and     establishment in the international market. As internal benchmarking     is within an organization, it can employ the balanced     scorecard’s finance perspective. This perspective aims at     maximizing profit. It is an important aspect because the     organization’s quarterly report indicates that the profit     margins declined by two percent. The benchmark that can be used to     monitor the organization’s financial performance is the gross     margin. It can confirm a decline or increase in profit by     calculating the gross margin and making comparisons between the     current and previous quarter.

Q       2: Global expansion benefit 

Yes,     the organization benefited by expanding globally. It witnessed     improved profits. The overseas markets are not saturated, unlike the     domestic market. As a result, the organization has realized improved     gross margins due to the expansion globally. In addition, it was     able to establish its presence globally. The other benefits are     advancement in growth globally, return on investment, universal     existence, and increased productivity. It also has the opportunity     to aim at the high-end markets in the global market. It can explore     production services in countries where the manufacturing rate is low     which will, in turn, enable it to promote its goods at feasible     costs. Generally, international expansion has been a first mover     advantage over the competitors, improved its bottom lines, and     recorded more profit. 

Q       3: Benchmark’s domestic market share benefit or hindrance

The     expansion benefitted the benchmark’s market share of the     domestic market. Its market share has improved because of expanding     internationally. Notably, universal growth promotes cost reductions,     technological advancement, and products differentiation, leading to     a boost of its market share in the domestic market. An organization     can charge premium when it differentiates its products. Its market     shares have also improved as it can offer product varieties to the     customers. Similarly, it can import the products at lower costs. Its     share has increased in many areas due to feasible costs. Improved     market share is also due to the ability to reach out to market     segments that had not been targeted initially. 

Q       4: Risks 

Yes,     there were risks as a result of globalization. The first risk is     exchange rate fluctuation. The exchange rate between one currency     and another fluctuates depending on the time period. The currency     exchange rate fluctuation can result in losses or gains. The second     risk is country risk. Country risk consists of economic and     political risks (Hou, 2013). These risks have adverse impacts on the     business. Political risks expose a company to money loss because of     aspects such as terrorism and trade barriers. Economic risk is     related to the finance state of a country and the ability to repay     borrowed money. The other risks as a result of globalization are     reduced quality control or quality control loss, long delivery times     and production, difficulty in forming strong relationships with     reliable and reputable suppliers and partners, and potential theft     of intellectual property (N.A., 2015).  

Q       5: Risks minimization

To     minimize risks, the organization established some offices in the     overseas country to check quality control and enhance quick     delivery. It also safeguarded intellectual property. Moreover, it     formed contracts with production facilities that are reputable,     value quality, and meet product specifications. The company should     take into account its national currency to do the business to     minimize exchange rate risk. If it is unable to choose the national     currency then, it should add a buffer to any invoice quotation made     in a foreign currency or form a contract to share the risk between     the seller and buyer. Second, make use of finance instruments such     as futures, options and forwards to hedge risk (Hou, 2013). To     minimize country risk, the company should analyze the host     country’s political risk or approximate the economic condition     and growth in the future by assessing the country’s gross     domestic product, inflation, unemployment rate, among other     measures. 

References

Frynas,     J. (2015). Global strategic management. New York,     N.Y.: Oxford University Press. 

Hou,     X. (2013). Risk management in international     business. Retrieved from  https://www.soa.org/library/newsletters/risk-management…/jrm-2013-iss27-hou.aspx

N.A.     (2015, March 31). Business risk factors. Retrieved     from  https:// www.renesas.com/ir/company/risk.html

Naga,     A. (2011). Strategic management. New Delhi, India:     Vikas Publishing House. 

Global Strat

Denise Brown 

Date 01/03/2018

 How         do you define a global strategy?

    The global strategy contains the         International Strategies small as well as medium-sized firms         since they move past their countries. Global strategy likewise         includes the Strategic Management relate to all organizations         considering the stratagems towards achieving their up and coming         undertakings. It includes the ceaseless Global Management         endeavors that unavoidably happen for associations that have         been engaged with worldwide activities all through various         years. It additionally conceals issues regarding the matter of         Globalization as the universe ends up diminutive and we turn out         to be involved with each other.  Strategies give a long haul course           to the organization. It assists the firm in accomplishing the           upper hand to the firm. Furthermore, it           conveys to the organization regarding its marketplace,           benchmarks and the way to deal with the sources with an end           goal to experience the aims of the foundation. Therefore,           Global Strategy can be described as the           concentration and scope of an organization as time goes on.           This will achieve points of interest for the organization           through its development of sources within a baffling climate,           meeting the marketplace needs and fulfilling the           investor’s desires (Hill, 2008).

   The key universal strategies include transnational,         global as well as multi-domestic. Each of these strategies         comprises of unique methodologies trying to develop productivity         through nations and attempting to be receptive to adaption in         consumer slants as well as marketplace conditions all through nations.

 Multi-domestic strategy 

     This strategy is a system         whereby organization endeavor to achieve the most extreme         neighboring response by fitting their stock proffering and         advertising stratagems to comparable disparate across the nation         circumstances  (Lakshman et al., 2017). The clearest approach towards           defining this strategy is an organization that uses a unique           strategy in each one of the marketplaces           it works in the promotion, R&D and           manufacturing endeavors tend to be built up in all key across           the nation marketplace where business is done. An organization           that uses this strategy penances capability with the help of           highlighting responsiveness to neighborhood essentials within           each one of its marketplaces. 

 Global         strategy 

     This strategy helps with settling on decisions         about the long-range course in reference         towards global business (Lakshman et al., 2017). It is a         methodology that thinks about the world as a marketplace as well         as providing a resource with insignificant nearby decent         variety. Basically, competitive advantage is built up generally         on an overall establishment (Meyer & Su, 2015). Universal         strategy: the company’s expectations associate chiefly to the         home marketplace. By and by, there are objectives concerning         outer activities and thusly require a global strategy. Quite,         the upper hand – indispensable in strategy development – is         built up predominantly for the home marketplace. Multinational         organizations secure economies of scale through shared as well         as marketplace tantamount stock in a few countries.         Multi-domestic firms have an autonomous command         center in different nations, in this manner, procuring         extra limited management, in any case; at a hoisted rate of         forging the economies of scale from value dividing and imposing         business model (Hill, 2008).

In       multinational strategy, the organization is entangled in a few of       marketplace outside the country. In any case, it requires       recognizing stratagems for each marketplace as buyer needs as       well, perchance rivalry, are different in each country. Basically,       the focused advantage is controlled       autonomously for every country.

 Transnational strategy

     A transnational firm oversees operations in various         countries with an assortment of levels of synchronization and           blends of strategies and capacities         (Elter et al., 2014). It unites worldwide degree, coordinating         capacities and the use of single advantages of neighborhood         marketplaces towards pushing deals, a piece of the pie and income increment. It         incorporates working in different overall markets, contriving         receptive authoritative arrangements and creating esteem         included endeavors that exploit national correlations and         refinements. Meyer & Su (2015) explains transnational         strategic management as reiterations of basic learning and         execution upgrades. 

   The 3 possible countries options for globalization, in         this case, would be         Japan, China, and Brazil. China is a key         progressing player in the worldwide furniture advertise.         Furniture is one of the nation’s most         rapid developing fare areas. The furniture assembling of         assorted types as well as materials is         projected to be almost $ 15 billion that, with net tariffs of         about $4 billion, demonstrating that apparent charge is         approximately $ 10 billion (Lakshman et al., 2017). The         continuous dissimilarity of interest, as well as imports, has         set a piece of the Japanese furniture to advertising. The GDP value of Japan represents about 8 percent of the world economy.         According to (Wood & Wilberger, 2015), gross domestic         product in Japan is accounted for by the World Bank Group.

   Moreover, Brazil is a standout among the most growing economies in the world (Meyer & Su, 2015). Through         sizeable as well as creating cultivating, generation as well as         management territories, Brazil economy is one of the highest in the hub of South American nations.         The GDP worth of Brazil is around equivalent to 3.5 percent of         the worldwide economy (Lakshman et al., 2017). Brazil has the         highest obligation from the management department among         countries such as Japan, China as well itself. It is a         reflection of its capability of development in future. On the         other hand, Japan is position 2 in the customary         world after the United States. China has set up itself as         a rising monetary center in Asia, as well as its relative         worldwide significance is rapidly moving toward the greatest         European economies (Elter et al., 2014).

   Consequently, I would recommend Brazil as a nation for         expansion as well as a country that can adjust towards global         strategy. As I would see             it, I believe that others might           believe that maybe China would be lucrative due to its           regularly expanding steps in the worldwide marketplace.

   Moreover, I would allow them to know whether they would         take the plans, they will locate that even as China and Japan           keep on growing hence does Brazil grow.         It is my projection that Brazil will continue growing at a fast pace.

 
 
 
 

 References

Elter,       F., Gooderham, P. N., & Ulset, S. (2014). Functional-level       transformation in multi- domestic MNCs:       Transforming local purchasing into globally integrated purchasing.       In   Orchestration of the Global Network Organization (pp.       99-120). Emerald  Group Publishing Limited.

Hill,       C. (2008). International Business: Competing       in the global marketplace.    strategic  direction, 24(9).

Lakshman,       S., Lakshman, S., Lakshman, C., & Lakshman, C. (2017). The       dynamic change in  expatriate roles: strategy type and stage of       internationalization. Management Decision,   55(8), 1770-1784.

Meyer,       K. E., & Su, Y. S. (2015). Integration and responsiveness in       subsidiaries in emerging  economies.         Journal of World Business, 50(1), 149-158.

Wood,       V. R., & Wilberger, J. S. (2015). Globalization, cultural       diversity and organizational  commitment: Theoretical Underpinnings.  The world, 6(2), 154-171.