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INTERNATIONAL BUS CASE STUDY CHAP 12

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  1.What sorts of conditions and motivations best explain how companies see themselves developing strategies that create sustainable value?Companies focus their motivation and conditions towards targeting specific needs their customers have. They focus a lot in the sustainable development and also involve economic, social and environmental concerns. The diffusion of work and technology has helped various companies expand globally therefore they reset their values in order to target the corresponding market of that native country they have expanded to. Many companies have been improving their information technology and supply chain logistics in order to reorganize their products across borders. By expanding and establishing trust with other countries some companies have managed to open frontiers to exchange  products and the use of nontradable services.2.Dynamism creates opportunity as well as constraints. Identify the most promising opportunities facing companies from advanced markets. Then do the same for firms from developing markets. How are they similar? How are they different?The implementation and rise of information and communication technology has led  businesses in high income economy meet challenges and grow within their market place. Companies face an expansion in quality and price. Firms from developing markets try to establish recourse within the country they are providing a service or selling products to. In developing markets they face more economic constraints due to the fact that the country hasn’t reached its full economic potential therefore the firm’s earnings are not as large as the earnings from companies in advanced markets. They are similar in the sense that they both try to provide the best services and implement technological resources as aid but they differ in their profit, and marketing and management approach.3.If given the option to work for a company in a particular market, would you chose to work for a Western MNE such as IBM, moving into a developing country such as India or would you choose to work for a company from an emerging economy, such as Safaricom, moving into Western market such as France? Why?I would personally chose to work for a Western MNE company moving into a developingcountry, such as IBM, due to the fact that a company in a country with an emerging economy has already reached its peak of success and makes enough earnings, while a company in developing country has more potential of being manipulated and structured according to my best judgement and by the time this country reaches its economic peak and has enough flow of money, the company for which I would work would’ve already grown and expanded facilitating more business trade and opportunities of growth.4.Looking out over the next decade, estimate the likely standards of value creation. How would you advice a company like IBM or Cisco to configure and coordinate its value chain to prosper in this environment? Would you give the same advice to a company like Tata or AirTel?The economic situation around the world is not the best at the moment. In order to help companies such as IBM or Cisco I would first implement a cut cost strategy in order to restructure and reorganize their budgets. I would also change or create a new system for their technological development or advance. These companies could use more expert supervision in order to achieve their fullest value and acquire more demand. I wouldn’t  give the same advice to Tata and AirTel due to the fact that these two companies do not deal with technological business. It is very important to recognize the type of business  performed in order to make changes and better the company’s value.5.What sorts of managing skills and executive perspectives do you believe would make youan attractive candidate for a Western company expanding into emerging economies? Would they differ, and if so how, from a company expanding from its home base in an emerging economy into a Western economy?I believe communication and leadership skills would be some managerial skills that would make me an attractive candidate for a Western company expanding into an emerging economy. When it comes to executive perspective I would implement both skills in order to execute a plan that will better the company and bring value to it. My managerial skills and executive perspectives would differ but at the same time they would be linked. In order for me to execute a perspective plan I will need my managerial skills  but the plan wouldn’t deal with that. My managerial skills would help me pursuing employees and attracting them to follow my executive perspectives. In order to expand recruitment and training would be needed and that would mean higher costs.
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