Aspects Of Transnational It Operations

There are many opportunities available for companies willing to venture into new, international markets. Reaching more customers and therefore, turning a larger profit are two fairly obvious reasons for companies to consider global expansion. However, the potential benefits do no end there. Expanding to international markets can hold less obvious, yet extremely beneficial appeals such as access to new and different talent pools, grander output requires great advances in efficiency, and international expansion can, in some cases, aid in “future proofing” the company.

Transnational organizations also have flexible and ever-changing structures. Their managers incorporate innovation and strategies for the corporation as a whole. Unification and coordination goals are achieved by corporate culture, shared values, vision, and management style. It offers a high level of differentiation, while ensuring that a global organization can coordinate activities and transfer knowledge across various functional areas and geographies (Daft, 2010).

International business meshes across multiple domains most notably market entry strategies and sociocultural variances. Factoring in those two critical aspects and giving them the right amount of attention is the separating line between success and failure. Terralumen, Blue Ridge, and Delta are all successful companies; However, by not observing the basic requirements of

The purpose of this is to pressure strengths and defect weaknesses of the organizations’. The global strategic planning process also defines the company’s business and mission/vision. This helps portray the company’s image to the stakeholders and define what the company does. Furthermore, corporate objectives must be in the scope of the GSP process and the objectives give a path, boundaries, and ensure prosperity. Objectives are very important to a company and should be amplified, as much as possible. Another part of the process is to set up goals and or competitive strategies. The goals help to achieve strategies within multi-domestic, global, and transnational. These three strategies come from the two conflicting problems in international market of reduction cost and adaption to local markets. (Multi-domestic: decision making for quick change, increase cost structure, cost of and difficulty of coordination becomes substantial) (Global: value chain activities, limited ability to adjust to meet customer’s needs, and transportation cost.) (Transnational: analyze pressures of cost effectiveness and adaptations, locations that are the best for each company activity, decisions are complex when trying to attain the optimal

The benefits of a transnational strategy is that it offers benefits of both local responsiveness and global integration, enables the transfer and sharing of resources and capabilities across borders, and provides the benefits of flexible coordination. Through the acquisition, Southern Company will receive the human resources of the acquisition. This is crucial towards keeping a pulse of this new market – the new employees will have expertise on Mexico’s political, ecological, socioeconomic, technological, legal, and economic landscapes. By implementing a transnational strategy, in association with a divisional structure, this new subsidiary can make judgement calls based on local precedent, which can be much more preventative than an organizational protocol. In addition, it also brings trust to the locals that the company they are working for has their best interest in mind. Lastly, a transnational strategy will align with Southern Company’s culture – locals know more about environment to work safest, people trust those they already know, people work best when they trust management and feel safe, and people are more committed to a company that is committed to

A transnational company is a corporation that is registered and operates in more than one country at the same time (West's Encyclopedia of American La., n.d.). A transnational corporation has its headquarters in one country and operates wholly or partially owned subsidiaries in one other, or many other countries. Some companies will outsource a portion or sometimes all of their Information Technology (IT) functions to a foreign country for a verity of reason. Companies that move a portion of their operations, such as IT, need to investigate the

Abstract: 21st century is the century of information technology (IT) and globalization. Information technology is playing its significant role in the betterment of the organizations. This paper explores another very important role of IT on global management i.e., IT helps to redefine the

Competing head to head with international companies in the IT industry can have challenges. This paper considers the apparent challenges in the market, how crafting new strategic plans can make a small

In order to internationalize operations, a company has to consider the potential of growth and performance in the various regions or countries. It 's majorly enabled by carrying out market

The combined effects of the Internet and globalization have made the challenges of implementing strategic plans and initiatives even more challenging and difficult. The long-standing assumptions of foreign markets being comparable to domestic ones of a given corporation have long proven false, leading to significant shifts in the strategic planning process for enterprises globally today (Hassan, 2010). In reality the Internet has made every business a global one; each has the opportunity to attract, sell and serve customers globally over e-commerce platforms that can be enabled and operational within weeks. The speed of competition is increasing due to the combine effects of globalization and the Internet. The focus has now shifted away from mass production to mass customization due to the Internet and its ability to reach foreign markets with relative ease. This shift from mass production to mass customization has also been accelerated by a global prioritization of services, as they are capable of generating greater gross margins and have business models that require greater tailoring to specific foreign market needs (Luo, Chang, Su, 2012).

The world offers significant business opportunities for every company, however, opportunities are accompanied by significant challenges for managers. Managing global operations across diverse cultures and markets represents a big challenge and opportunity for companies. To compete in the global market and be successful, companies must learn the strategies, policies, norms and technology necessary to conduct international business. The opportunities for global expansion are numerous, and attaining success is a matter of developing the right strategy to win local markets and its consumers.

This paper offers a global business analysis of ABC Corporation that is a proposed multinational corporation (MNC) in the auto and IT (information technology) sector based in the United States. It looks at issues of business structure approach to be used by the firm for purposes of global expansion and the strategic advantages and disadvantages of the Global Business approach of the company. Also, the paper will review the structure and strategies of other leading MNCs, the Ford Motor Company (FMC), in comparison. It is important to note that the Global Business strategy of MNC is similar to those of other leading MNCs in the global market like McDonald 's, Target, CISCO, and General Electric among others.

Perhaps the greatest challenge to managing information systems today is globalization. The lack of international borders to business has created many new opportunities but also many new challenges for managers. Untapped technology markets exist in many developing

Companies can decide to go global or to enter international markets for various reasons, and these different objectives at the time of entry that enable the business to produce different strategies and the performance goals, and even forms of market participation.

The universal effect of information technology (IT) in the computing age cannot be exaggerated. Ever since the 90s, IT has brought about a revolt at the workstation. The recent expansion overseas and fast-paced approval of Internet communication and Web-based technologies and applications has improved the possible of IT. IT and computer systems organized deliberately can influence the operative features and efficiency limits of a business. However, anyone that watching the Asian markets can notice and tell anyone, business today is worldwide-and that goes for information technology, too. Whether or not an organization company is setting things up its first foreign office, has assimilated a European or Asian business, or is in the process of expanding its established foreign operations, the role that is played by IT managers really has never been as big. Even organizing technology overseas can be rewarding, but it poses sole challenges for businesses at all stages of globalization. With that said, this essay will discuss risk for American entities to invest in overseas operations and risk to American companies as they expand overseas.