Group 5 Final Paper Free Range v4

2782 Words Nov 14th, 2014 12 Pages
Free Range: A Case for International Operations
Group 5
Katherine Stone, Michael Williams, Shawn Williams, Horace L. Wynn, Scott Terry
AMBA 610 UMUC

Part A: Potential Advantages and Shortfalls of Various Globalization Strategies
Globalization strategies have been an issue for any organization that intends to increase its international presence. Free Range Foods has decided to grow operations in France, the United Kingdom, and other regions throughout the globe. The recommended strategies Free Range Foods should consider utilizing in order to strengthen its position in the international market are 1) Merger and Acquisition/ Takeover and 2) Strategic Alliances. Both strategies are effective in obtaining an entry into the
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Producing and maintaining a product is hard enough domestically and is only further compounded with the addition of taking further components into consideration.
A major factor that Free Range needs to consider is how they will like to set up their international organization. According to Jones (2013), a multidomestic strategy is defined as one which haswhen you have a corporateion headquarters and establishesdevelop divisions in each country or region where ityou would like to do business in. Authority in these divisions would be given to the managers located in eachthere. The divisions would develop and market products in a way that focuses on the region of the globe they are locatedin (Jones, 2013, p. 464). This is important to consider because what Americans want out of a product can be very different than what Europeans expect out of a product. For example, there are many different types of cheeses available in Europe that are not available in America, so it would be important to understand the culture and expectations of consumers in the country/region where a company doesyou are doing business in. The Multidomestic approach will allow you to form your products to satisfy the needs and wants of the consumers in that area.
One of the primary factors to consider is the cost of establishing the business in a foreign market. France maintains market for organic products but the products are sold at a much higher rate than traditionally farmed

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