To begin, they have added volume to their business which was not available locally. According to Gupta, Govindarajan, & Wang (2008), they have exploited economies of global scale. The only way to increase their business volume was to go global, and increase profitability. Localized plants can help reduce the time it takes to deliver cement to a customer, which will help increase their customer satisfaction, and gain them additional business. In addition, when CEMEX began expanding abroad, they used PMI teams to streamline a new firm, identify and retain talent, and adopt the key standards of CEMEX's business model.
This also helped with product availability and made it easier for customers to transport furniture, despite having to assemble it themselves. As IKEA began expanding to other parts of Europe, they focused on developing and maintaining long term relations with suppliers. So much so that they invested in their suppliers to ensure that the production capabilities were maximized. One of the ingredients to IKEA’s global success was its philosophy and practices. IKEA’s strong focus on Swedish values of simplicity and cost consciousness shaped their views on product design.
The companies are customer centric and focus on the users experience (site 1, site 2). Customer centric focuses combined with a solid foundation in its industry have allowed the companies to lead competitors despite financial concerns not previously experienced (site 1, site 2). Technological advancements and increased competition pose a threat to both industries (site 1, site 2). The industry leaders have recognized the threats and restructured the organizations and formed alliances to continue to focus on the consumer experience while expanding into new territories (site 1, site 2). Relevant Factual
To adopt a practical approach the company personnel benchmarked by visiting best-in-class plants. Finally a logical approach was adopted to decide on the size and location of the facility and its systems and operating procedures. The approach was long term. Future expansion was not ignored, in fact given considerable importance. The facility design was also practical, catering for efficient yet flexible operations (different aisles/cross docking).
Logoplaste’s challenge By 2010,as the company Logoplaste had stabled new plant contracts to support its growth trajectory,Filipe de Botton and Alexandre Relvas got a new questions about further growth to make sure that the company will be successful. Later on, for some years,company had been forcing to enlarge Logoplaste by its clients. And with no doubts, as enlarging the company,Logoplaste needed to be treated as another large companies, which led to face different challenges, By being a small company ,which is supplier, it did not have any challenges at all. The problem was to respond new demands of customers, as far it was not gained he scale yet. Moreover, it was very difficult for managers to keep up with.
- OEM relied on their EMS partners to react quickly in terms of the new product introduction schedule and the spontaneous changes from the production line, while keeping high quality and low production and inverntory costs. In this way, they can focus on their competitive advantage such as marketing and innovative design. - Flextronics was the pioneer in the EMS business, which by 2008 was ruled by a couple of substantial organizations - Flextronics is efﬁcient in its capacity to give end-to-end arrangements through its creative and exclusive frameworks; all of this is to improve client satisfaction and achievement. Flextronics has the capacity to unleash the
Planning it strategically, Tyco seems to have chosen to enter businesses that are unglamorous but provide an opportunity for profitability and growth. Further, Tyco choice of products which compete in stable, low-tech and standardized products requiring limited R&D spending is also a part of its strategy. This has helped the company to control costs and reap the benefits of standardizations and consolidation of processes and systems adding to the corporate advantage. To further elaborate this, with acquisition as its major strategy early on, in the days of Mr. Gaziano, Tyco earned a reputation as a „corporate raider‟. Later on, however, under Fort and Koslowski, things operated under more diligent control.
This innovative technology would give him an opportunity to enter the market, as he will be able to negotiate lease agreements with building owners. Besides, environmentally friendly cleaning will distinguish his company amongst competitors. Finally, Mr. Runyan had introduced innovative approach to distribution channels, and offered pick-up-and-delivery service, which none of his competitors was aware of. Question 2 Small is Beautiful. How to compete with bigger competitors.
Haier is smart to choose the niche products to start the business in global market. Then they avoided the direct competition with the existing competitors and had the opportunity to expand its product lines within markets. Also Haier did very well in making the invested company GLOCAL (Global and Local). They invested the company and hired the local people to manage it. The local management team is the most quickly and effective method to get Haier on the right way.