Strategy And Structure Of International Business Essay

There are many businesses that have expanded their business internationally in order to benefit in some sort of way rather it revenue or a better market for their product. In this thesis, I will research a multination company and its international strategy over the last 10 years. I will elaborate on it international orientation and rather it etho-, poly-, or geocentric. I than explain why the company decided on expanding to the chosen locations. Then I will clarify if they had core capability to succeed in those markets, along with its

The internationalisation process of the firm has been a subject, which has been motive of study for a number of

In this report I am going to define the meaning of Globalisation and assess the impact of globalisation on the way the business operate.

Organizational architecture is a strategic planning initiative of the day-to-day activities or the foundation and structure in which the business operates. Moreover, it is the organization’s arrangement of systems of authority, specific departments within the company, and the responsibility and duties of those specific positions. Furthermore, the primary goal of organizational architecture is to ensure the overall success of the company by creating value to customers and all aspects of the company. Corporate culture is the way employees

Organizational architecture and corporate culture should be intertwined within any successful company or organization. In the text, Brickley (2009), refers to organizational architecture as being three legs of a company: assignments of decision rights, 2) methods of rewarding individuals, and 3) the structure of systems to evaluate the performance of both individuals and business units. Organizational architecture is the framework of company departments such as managerial chain of command, the duty description and

We celebrate the special way we treat and relate to our customers. We think retailing is all about customer experience, and that is what really differentiates us.

Which is cost difference determines the patterns of international trade. Absolute advantage is trade benefits when each country is at least cost producer of one of the goods being traded. In the 1800s, David Ricardo developed the theory of comparative advantage to measure gains from trades. This theory is based on comparative advantage and it states each nation should specialize in production of those goods for which its relatively more efficient with a lower opportunity cost.

1. Frank is director of technology in an MNE in which most of the R&D activities are performed in the parent company’s home country, but then, foreign subsidiaries are responsible for introducing the resulting innovations to their local customers. The innovation process adopted by Frank’s MNE is:

There are various companies which try to reach and set up in the international market. Certain establishments find success while other prove unsuccessful. Some enterprises own the ability to open anywhere, nonetheless there holds circumstances in which need further discussions into their overall strategic plan. Also, lots of challenges and options generated through starting a new business abroad will present itself.

An organizational structure is a framework set for certain activities at the work place like coordination of activities, supervision of employees and task allocation to be organised (Mills, 2005).

The firm, using international strategy, will develop products or services in their home country and subsequently introduce them to the international market. The company establishes manufacturing and marketing functions in local country, but the head office tight control over it. International strategy transfer distinctive competences to foreign market. However, it lack of local responsiveness.

Basically, organization structure is the sum of all established relationships among resources within the organization, and the organization chart is the graphic illustration of organization structure. Figure 3 briefly, multinational organization charts can be set up according to major business functions the organization performs, such as a production or marketing; major products the organization sells, such as brakes or electrical parts; or electrical parts; or geographic areas within which the organization does business, such South America or Europe. A with domestic organizations, there is no one best way to organize a multinational corporation. Instead, managers must analyze the multinational circumstances that confont them and develop an organization structure that best suits those circumstance. (S.C.Certo, S.T.Certo, 2009)

Measuring a potential business venture has many aspects which the international manager must be aware of in order to convey the correct information back to the decision makers. Being ignorant to any of the aspects can lead to a false representation of the project, and hence an uninformed decision being passed. In order for a business to survive it must grow. For growth to be optimal, management must first be able to identify the most attractive prospective leads. The country as a whole, specifically geography, government, and financial aspects must be looked at in order to yield the best possible picture of the market a company wishes to enter. Concentration should be placed on gathering reliable facts

Managing an organization involves putting a structure to the business so that managers can manage, supervise and coordinate its people and organization’s performance. A structure serves as a framework for the purpose of outlining clear operating guidelines in order to keep the organization functional. It defines the hierarchical lines of authority, establishing job roles and responsibilities, details communication channels to determine how information should flow within the organization. A well-fitted organizational structure will have positive impacts on both its employees’ and its performance.

Organizational structure is a system that consists of explicit and implicit institutional rules and policies designed to outline how various work roles and responsibilities are delegated, controlled and coordinated. (Investopedia, 2017) , It determines the guidelines of activities such as task distribution, coordination, and supervision to reach and achieve organizational objectives. The organization can be structured in various ways, depending on its objectives.