While the Shanghai expansion is the smaller of the two expansions, it is an important change and will provide executive leaders information related to the effects of change within their company and the knowledge to help make the larger expansion project successful. By following Kotter’s Eight-Step change process model, XYZ, Inc. will secure a global presence and provide untouched revenue streams for the company from the international
Why or why not? The chapter defines global corporate citizenship as committing to serving various stakeholders. I think that Apple did demonstrate good global corporate citizenship. Even though many of the tragedies could have been avoided long before the audits were performed, I think that Apple responded well after learning of the mistreatment of its indirect employees. The company understood that corporate citizenship is increasingly important for their long-term success and took action by commissioning a month-long, independent investigation of the labor conditions at its suppliers’ factories in China.
Outsourcing brings proven benefits in the form of economic leveraging, increase in the quality of products and it provides a number of opportunities to less developed countries. For example in recent times, Americans are overwhelmingly supporting the major retail stores like Wal-Mart, Target and K-Mart. The reason behind this consumer loyalty is that it has become much easier to shop at these locations rather than the local mom and pop stores located on the corner of most neighborhoods. The benefit is that you can purchase everything on your shopping list from one location, saving you time, money and gasoline. In a highly competitive business world, on a firm’s priority list is the subject of increasing profit and reducing cost.
The important business competitive strategies are lower cost strategy and differentiation strategy. The lower cost strategy helps an organization compete efficiently in the industry by designing, producing and marketing a similar product from its rivals but at a lower cost. Differentiation strategy helps an organization develop and market a different product from its rivals. Our team understands these two competitive strategies because we can relate with always being different to stand out or try to purchase the same products and services at a lower cost instead at a higher cost (Wheelen & Hunger, 2014). To create value and sustained competitive advantage through business strategy, organization must be able to design, produce, and
The Guillermo's Furniture Store Concepts FIN/571 February 26th, 2012 The Guillermo's Furniture Store Concepts A successful furniture company own and operated by Guillermo Navallez in Sonora Mexico was doing well business wise until the late 1990’s when a foreign competitor moved into the region. This new situation made competition header for the Guillermo Company since the new company had better high-tech equipments that made production cheaper and faster than the Guillermo had been able to match. Guillermo Company earlier had been able to charge lower prices because the area had a good supply of timber for the variety of tables and chairs produced by his company and on top all these benefits, the housing was also inexpensive. Labor was also relatively inexpensive. These scenarios made it possible for the company to enjoy high profit margins.
Kudler Fine Foods Virtual Organization Kudler Fine Foods (KFF) is an established business that survived the initial period successfully and grown by adding two additional stores. Because of owner’s prudent management the business presence in the market is solid, although other competitors represent a threat. Additionally the threat of handling perishable goods is also present, but competitors have the same issue plus KFF can compete with reasonable prices to make it attractive to customers (Kudler Fine Foods, 2012, p. 10). KFF needs to initiate marketing research analysis to pinpoint the areas of opportunity and improvement. In this analysis a secret shopper should be part of the research to visit stores around the three KFF establishments
For a company to retain talent it must offer more incentives for the employees than that of its competitors. Your company encourages the decisions and ideas of the employees but more programs could be put in place to help retain employees. Implementing a program that offers rewards for time and cost savings not only benefits the employee but also the company by projecting a positive image of employee worth to the company. Keeping the companies hiring practice on the national level is required for all employees that work in the retail stores but if there is a need for technology or manufacturing of a particular product I would recommend global labor. The ability to tap into the global labor market will make the company more competitive by being able to offer competitive prices on products due to lower overhead cost associated with the offset in the labor cost.
Consumers are demanding chemical free homegrown products. It is easy for consumers to find other companies who can provide comparable services. However, new technology is only a fraction of what makes Gene One stand out over their competitors. Consumer loyalty and strong leadership will give them a major advantage. The challenge for Gene One will be to maintain their cohesiveness as a management team and maintaining a high level of social responsibility while expanding the company to a publicly traded organization.
Cross-Cultural Perspectives Mary Wilson ETH/316 March 23, 2015 Instructor Tiffanie Culpepper Introduction Globalization encourages interdependence which permits an economy to prosper by selling it merchandise to an unlimited market in other counties and can operate a business in more than one country. Globalization also benefits the parent company to buy goods and services from other countries that are successful. The parent company may be here in the United States and have affiliates or subsidiaries in the other countries. The goal is to establish a global business strategy to target developing countries that will generate the most growth and potential for profit. A company which puts to use a successful multinational
The underlying agenda of NAFTA, North American Free Trade Agreement went into effect in the early 1990’s between the United States of American, Canada and Mexico. It was designed to utilize the abundant source of cheap labor within Mexico. On the surface, the agreement had a higher calling, to keep low wage earners from becoming undocumented laborers in the US; they would work in their own country instead of living in the shadows in the United States. Also, the Mexican government would benefit from having employment opportunities for their people, at least in the manufacturing sector along the borders with the US. NAFTA even had an important provision for the welfare of the Mexican laborers.