...MGMT 611 Class 19 Henisz, Witold J., (2012) “Summary of Global Strategic Management Frameworks,” Ghemawat’s AAA and Varieties of Capitalism Ghemawat’s AAA Global Strategy examines the additional opportunities, challenges, and tradeoffs posed when a company crosses national borders Ghemawat contends that to create, capture, and sustain rents in international operations firms have three strategies they can deploy at the product level to respond to distance: 1. Adaptation – seeks to boost revenues and market share by maximizing a firm’s local relevance Requires local autonomy but must trade off the gains from such decentralization against the costs of excessive heterogeneity and local subgoals 2. Aggregation – attempts to deliver economies of scale by creating regional or sometimes global operations (standardizing the product or service offering and grouping together the development and production processes) Requires global coordination but must trade off the efficiency gains of standardization and scale or scope economies against costs of always being perceived as an outsider or cost minimizer 3. Arbitrage – the exploitation of differences between national or regional markets, often by locating separate parts of the supply chain in different places Requires flexibility and the management of a complex network of internal and external relationships for continuous learning, but must trade off benefits from such dynamism against costs of being perceived as fickle, rootless...
Words: 1526 - Pages: 7
...Global Strategic Management Control Class Assignments 11/1/2015 Kavitha Balakrishnan I. Select firms by yourself and describe process of internationalization of selected firm using a relevant framework to explain. * What is Internationalization? * As the process of increasing involvement in international operation. * Internationalization envelops all activities that a company undertakes with regards to its relations with foreign markets. * Internationalization can take many forms, such as investing in a foreign country (foreign direct investment), forming partnerships with foreign companies, subcontracting foreign experts, taking part in international networks, and many more. * Why consider going international? * To increase overall customer base * To offset seasonal fluctuations in local markets * To minimize risk of losing market share to clients who themselves use internet to find goods\ services in overseas markets * To offset increasing costs of doing business at home * To gain prestige with customers at home * Why STARBUCKS? In a globalized world where every company has the opportunity to explore the world in search of other profitable markets, there are different challenges and opportunities faced. I would like to explain this by focusing on Starbucks, one of the world’s leading coffee chains. Starbucks has come a long way from a coffee bean retailer to one of the world’s most recognized...
Words: 2737 - Pages: 11
...Strategic Resource Management in Global Environments General Electric, or GE, is one of the most innovative companies in the world and leading U.S. manufacturing company that primarily specializes in the Engineering Industry. GE can trace their lineage back to when they were founded in 1892 with Thomas Edison as one of their four founders. In 1896, General Electric was one of the original 12 companies listed on the then newly formed Dow Jones Industrial Average and is the only company out of the 12 to still be listed on the Dow index. GE serves the entire world with operations in more than 140 countries across the globe with over 305,000 employees globally. With products from appliances to oil, GE remains one of the top engineering manufacturing companies in the world. In fact, when looking at the manufacturing industry as a whole, GE operates in three out of five categories as shown in the illustration. This can be contributing directly to their strategic resource management and strength in their intangible assets of their organization. This paper will address GE’s intangible assets and their impacts to their alignment in strategy in four countries of operation to include the U.S., Mexico, France, and Turkey (Fact, 2013; McKinsey, 2012). Human Capital Many organizations are now reliant on human capital to ensure their continued success and commitment to achieving the organization’s missions and objectives. For GE, the diversity is what helps drive innovation and success...
Words: 2333 - Pages: 10
...Asian Journal of Business Management 2(4): 110-120, 2010 ISSN: 2041-8752 © M axwell Scientific Organization, 2010 Submitted date: August 30, 2010 Accepted date: October 09, 2010 Published date: December 10, 2010 Strategic Innovation Management in Global Industry Networks: The TFT LCD Industry Guenter Boehm and 2 L.J. Fredericks Strategic Marketing, Samsung Electronics Co. Ltd., Yongin-449-711, South Korea 2 The Center of Poverty and Development Studies, Faculty of Economics and Administration, University of M alaya, Kuala Lumpur-5060 3, M alaysia 1 1 Abs tract: This study examines the strategic innovation management of the business creation process across the technology industry value chain in the global thin-film-transistor (TFT) liquid-crystal-display (LCD) industry based on an anonymous online survey of employees in the industry value chain and outside exp erts (universities, consultants, etc.). The study confirms that technology strategy formulation and a strategic center position are key industry concerns. It also affirms the utility of the industry value chain framework to manage technological innovations transcending that of a single company, and that strategic innov ation m anag eme nt in global high technology industries incorporates a shared business creation process structure involving as many industry value chain partners as possible. Key words: Global high technology industry networks, strategic innovation manageme nt, TFT L CD industry INTRODUCTION Globalization...
Words: 7166 - Pages: 29
...of pharmaceuticals and materials enormous Bayer AG or Bayer Group operates through its three divisions and an internal services company. Bayer Corporation manages Bayer Group's US procedures in following three segments: * Bayer Health Care that deal with pharmaceuticals, animal health and over-the-counter medicines. * Bayer Material Science that deal with plastics, coatings and polyurethanes. * Bayer Crop Science that manages herbicides, fungicides and insecticides (Bayer Corporation Company Profile, 2009). The internal services unit, Bayer Corporate and Business Services of the Bayer AG, manages administrative, technology, human resources and legal & procurement functions of the company’s US operations. Bayer, which is a global enterprise, operates with core competencies in the areas of health care, nutrition and high-tech materials. Its products and services are planned to do good to people and perk up their quality of life. At the same time the company wish to generate value through invention, development and high earning authority. Significant Problem confronted by Bayer Bayer, which is one of the largest pharmaceutical companies all the world had also confronted a number of problems. In present it operates virtually in every country and with a number of employees. This German giant Bayer had set the tone as one of the most ground-breaking and prolific developers of novel medication and chemical compounds with thousands of...
Words: 958 - Pages: 4
...Running head: STRATEGIC MANAGEMENT ANALYSIS TOOLS Strategic Management Analysis Tools XXXXXXXXX XXXXXXX xxxxxxxx Abstract The number of strategic management analysis tools have increased dramatically in the last twenty years. This increase could be a result of a growing demand to meet the new demands this new global market. This literature review aims to outline these articles and findings by concentrating on the strategic management research tools and describing the tools that are the most useful for managers to use. Keywords: tools, strategic analysis, strategic management, strategic planning. Strategic Management Analysis Tools Brief History In recent decades, strategic management research has become so complex and expensive that managers have found it difficult to utilize it effectively. Increasing competition across all industries combined with the ever changing variables such as the economic realities of an expanding global community, have created this market for strategic market analysis tools. Hence, as a method to support managers needs to meet stockholders expectations, a number of tools and methods have been created. Essentially, the problem is there are so many strategic management analysis tools choosing the right one is challenging. Research on strategic analysis is not abundant, despite the numerous reviews on the subject matter. It should be noted that all of the authors of existing reviews state that strategic analysis is the premise...
Words: 2459 - Pages: 10
...Effects on Quality Management Jennifer Banks-Milbry MGT/449 October 25, 2011 Benjamin Richardson Effects on Quality Management The airline industry has grown over the past years and has become the major form of transportation. The airline industry has taken over the global market in ones opinion. The air travel industry remains to be the largest and growing industry in the world. The airline industry facilitates economic growth, world trade, international investments, and tourism, which is the central source of globalization, which is taking place in many industries (The Airline Industry, 2011). This paper will describe and explain the strategic planning process from beginning to end, the competitiveness in the domestic and global market, and the effects of quality management. Strategic Planning Process and SWOT Analysis In any organization, there has to be a strategic planning process. A strategic plan is the process whereby an organization develops a vision, mission, guiding principles, broad objectives, and specific strategies for achieving the broad objectives (Goetsch and Davis, 2010). Before an organization begins the planning process, they must first conduct a SWOT analysis. The SWOT analysis answers questions that deal with the organization strengths, weaknesses, opportunities, and threats (Goetsch and Davis, 2010). The strategic planning process as indicated in figure 3-1 in the textbook Quality Management for Organizational Excellence is as...
Words: 490 - Pages: 2
...1. Introduction There has been a global crisis in the Airline industry in recent times. This is attributed to the hiking in oil prices, large capital requirements (Capital assets) and stiff global competition within the airline industry, such as, the Gulf airline. The effect of the rising dollar has been significantly contributed to the hiking ticket prices of the Australian airline sector. The main Australian airlines have been impacted by the global crisis. This specific article in the Financial Times Review(Clarke & Smith, 2011), discusses that strategically Qantas was facing hard times due to the environment of the global financial crisis and it had embarked on an implementation plan to decrease internal and external flights to counter the effect of hiking oil prices and operational cost. However, in the United Arab Emirates, has been experienced growth and this has a direct concern to the threat of competition to Qantas (Vesperman, Wald & Gleich 2008, pp. 388-394). All these factors above are a contributed force to Qantas to remain competitive. This paper seeks To address the approaches that should be engaged by Qantas that are necessary to ensure ongoing competitive advantages for the future of the airline industry within this hypercompetitive environment. 2. Strategic Management and Strategic Competitiveness Strategic management is a continuous process that involves reviewing and directing the activities of a business and the environment threats and opportunities...
Words: 1516 - Pages: 7
...AFT3073 – RESEARCH METHODOLOGY |GROUP ASSIGNMENT (25%) – RESEARCH TERM PAPER TOPICS | |Current Strategic Management Issues | |This course assignment is a term paper on current strategic management issues. Possible themes/issues for your research term paper | |include (but are not limited to) the following: | |Ethics and Corporate Citizenship Themes | |Understandings of corporate citizenship | |Links between ethics and corporate citizenship | |Performance measurement | |Accountability and governance | |Stakeholder engagement, consultation, reporting and governance | |Corporations, territory and governance ...
Words: 663 - Pages: 3
...Global Talent Management Recent developments in management- and academic literature and application of the ING. Talent, from Greek talanton; Latin talenta; a unit of weight or money. Amsterdam Business School Course: Author: Date: Business Studies Seminar, Final Assignment (Paper) Bekir Gündelik #10481745 23-10-2013 1 Introduction The term “talent” dates back to the ancient world (from Greek talanton; Latin talenta) where it was used to denote a unit of weight or money (Talent, n.d.-a; Tansley, 2011). Subsequently, the meaning of talent underwent a considerable change, standing for an inclination, disposition, will, or desire by the 13th century (Talent, n.d.-a). In the 14th century, talent then adopted the meaning of a special natural ability or aptitude, which was probably based on figurative interpretations of the Parable of the Talents (Matthew 25:14–30) (Talent, n.d.-a). The subtext of this parable conveys that talents—whether they are interpreted as monetary units or natural abilities—are valuable and should not be wasted, and this moral still applies today. This paper set out to identify current developments in global talent management and leadership and the current position of ING Bank (ING) as an employer and facilitator of global talent management programs and leadership programs. The next generation of global talent management practices and solutions will largely be driven by economic evolution, demographic changes, and technology advancements. These factors...
Words: 3046 - Pages: 13
...sylabus Course: IP_357 Global Marketing Management System Online (GMSMO) International Business Program University of Economics, Prague October 12 – 15, 2011 Instructor: Dr. Basil J. Janavaras E-Mail: basilj@janavaras.com Web Sites http://www.gmmso3.com , http://www.janavaras.com Introduction This course utilizes web based software named GMMSO (Global Marketing Management System Online, http://www.gmmso3.com ) as the basis of instruction along with targeted lectures on international business strategic planning. GMMSO software is a global marketing/management research and strategic planning tool that will enable you to: • Conduct a company situation analysis in a global context • Identify countries with high market potential for the company’s product/service • Conduct and in-depth market/competitive analysis and select the best country market • Determine the best entry mode strategy and develop the marketing plan To this end, the course requires integration of knowledge from this and other courses and bridges the gap between theory and the real world of business. This module organizes learning around projects that involve students in problem-solving, decision making, and investigative activities. It provides students with the opportunity to work relatively autonomously and in groups culminating in the production of realistic reports that integrate managerial realism into the classroom. Users are provided with helpful tools such as step-by-step...
Words: 2274 - Pages: 10
... wrote "Strategic lntent,"the article signaled that a major new force had arrived in management Hamel and Prahalad argue that Western companies focus on trimming their ambitions to match resources and, as a result, search only for advantages they can sustain. By contrast, Japanese corporations leverage resources by accelerating the pace of organizational learning and try to attain seemingly impossible goals. These firms foster the desire to succeed among their employees and maintain it by spreading the vision of global leadership. This is how Canon sought to "beat Xerox"and Komatsu set out to "encircle Caterpillar." This strategic intent usually incorporates stretch targets, which force companies to compete in innovative ways. In this McKlnsey Award-winning article, Hamel and Prahalad describe four techniques that Japanese companies use: building layers ofadvantage, searching for "loose bricks," changing the terms of engagement, and competing through collaboration. Strategic Intent by Gary Hamel and C.K. Prahalad oday managers in many industries Most leading global companies started with ambitions that were far bigger than their resources and capabilities. But they created an obsession with winning at ail levels of the organization and sustained that obsession for decades. 148 working hard to match the compete advantages of their new global rivals. They are moving manufacturing offshore in search of lower labor costs, rationalizing product lines to capture global scale economies...
Words: 9997 - Pages: 40
...AUL_KASLIK – MBA Helen Deresky International Management CHAPTERS 6,7,8,9,10& 11 Ali Sulaiman 71859876 aassbk@gmail.com AUL_KASLIK – MBA Helen Deresky International Management Formulating Strategy ng Outline Opening Profile: Global Companies Take Advantage Global Integrative Strategies Using E-Business for global Expansion E-Global or E-Local Entry Strategy Alternatives Reactive Responses Exporting; Licensing; Franchising; Contract Manufacturing; Of/shoring; Service Sector Outsourcing; Turnkey Operations; Management Contracts; International Joint Ventures; Fully-Owned Subsidiaries; e-Business Proactive Reasons Management Focus: Mexico's Cemex Reverses Course to Comparative Management in Focus: Strategic Planning for the EU Market Strategic Choice of Opportunities in South Africa Reasons for Going International Respond to Global Downturn Strategic Formulation Process Steps in Developing International and Global Strategies Mission and Objectives Environmental Assessment Institutional Effects on International Competition Sources of Environmental Information Internal Analysis Competitive Analysis Strategic Decision-Making Models Global and International Strategic Alternatives Approaches to World Markets Global Strategy Regionalization/localization Ali Sulaiman 71859876 aassbk@gmail.com Timing Entry and Scheduling Expansions The Influence of Culture on Strategic Choices Conclusion Summary of Key Points Discussion...
Words: 25592 - Pages: 103
...Global Strategy: An Organizing Framework Sumantra Ghoshal Strategic Management Journal, Vol. 8, No. 5. (Sep. - Oct., 1987), pp. 425-440. Stable URL: http://links.jstor.org/sici?sici=0143-2095%28198709%2F10%298%3A5%3C425%3AGSAOF%3E2.0.CO%3B2-L Strategic Management Journal is currently published by John Wiley & Sons. Your use of the JSTOR archive indicates your acceptance of JSTOR's Terms and Conditions of Use, available at http://www.jstor.org/about/terms.html. JSTOR's Terms and Conditions of Use provides, in part, that unless you have obtained prior permission, you may not download an entire issue of a journal or multiple copies of articles, and you may use content in the JSTOR archive only for your personal, non-commercial use. Please contact the publisher regarding any further use of this work. Publisher contact information may be obtained at http://www.jstor.org/journals/jwiley.html. Each copy of any part of a JSTOR transmission must contain the same copyright notice that appears on the screen or printed page of such transmission. The JSTOR Archive is a trusted digital repository providing for long-term preservation and access to leading academic journals and scholarly literature from around the world. The Archive is supported by libraries, scholarly societies, publishers, and foundations. It is an initiative of JSTOR, a not-for-profit organization with a mission to help the scholarly community take advantage of advances in technology. For more information regarding...
Words: 10708 - Pages: 43
...Strategic HRM for banking The environments in which organizations operate today are divergent. Myanmar banking sector has been facing unprecedented challenges with the wave of privatization and globalization of myanmar economy. Banks are under intense pressure to perform in today’s volatile market place. Steep competition, globalization, growing customer demand and exposure to higher credit risks are forcing the banks to find new ways of providing better customer service so as to improve profitability. The strategic management of human resources is one of the ways companies may use to increase their competitiveness in the new organizational landscapes, since managing in a global marketplace, introducing new technology, developing organizational knowledge, improving customer service or product quality, requires considering the “human equation” (Pfeffer, 1998). The management of organization human resources is an integral part of how an organization is going to achieve its mission goals. Without people, there is no one to do the work. Therefore, integrating HRM into the organization strategic plan is important step in Establishing an HR Strategy. The function of building human resources management strategy requires analyzing the current strategies of the organization and its goals which means Because of the globalization, the competition is very intense to get competitive advantage. Globalization represents the structural making of the world that is characterized by the free flow...
Words: 1667 - Pages: 7
