The liberalization and globalization of world financial markets since the 1980s can likely be attributed to many factors. They include completed transportation infrastructure, economies of scale, deregulation, macroeconomic conditions, technological innovations, and the competition among financial institutions, multinational companies, and countries. First of all, the perfected transportation infrastructure leads the costs of ocean shipping have come down. The lower unit costs of transportation in the global economy help make manufacturing more related to export market and make markets more controversial around the world. There has been an increase in minimum efficient scale.
Introduction Systems and Contingency theory recognizes that external factors as well as internal factors affect management. The Contingency theory is offered as an alternative to Open Systems theory as the foundation for improved organizational performance, since it can provide more precise conceptual variables. In addition, providing a way of distinguishing between organizations as well as situations faced by organizations (or the same organization over time) is an aspect systems and contingency theory focuses on. Systems theory and contingency theory therefore attempt at providing an understanding of how organizations ought to be structured. The following paper will discuss the systems theory and the contingency theory.
Both types of regionalism have different meaning and have positive as well as negative impact on society, polity, diplomacy, economy, security, culture, development, negotiations, etc. At the international level, regionalism refers to transnational cooperation to meet a common goal or to resolve a shared problem or it refers to a group of countries such As- America, Australian, Western Europe, or Southeast Asia, linked by geography, history, cultural and economic features. Regionalism in international arena- Regionalism in international sense “The use of common cultural identities to define regions grew out of the process of decolonization, which was observed to lead to the construction of culture blocs”. There are two types of international regionalism. First,
They applied FDI (foreign direct investment) strategies to overcome the difficulties in exports resulted from tariffs. Due to European have EU (European Union). In some part of internalization such as market and policies have more opportunities than other MNEs. They also have good chance to use technology to break the barriers of time and distance making it simple and possible for multinationals to deal with emerging economies. Expand their businesses and become globally competitive players, European multinational enterprises have expanded their business to the emerging economies because this market having plenty of lower labor costs and capital.
According to Carpenter et al (2009), behavioural sciences have contributed to our understanding of this function of management. The manager must be able to lead a myriad of personality types. Moreover, the manager must be able to motivate those he or she is leading. This may entail the ability to effectively communicate and solve problems. Within the global environment, the question of leadership can sometimes be tricky, for the simple reason that personality types vary across cultures.
A competitor may change its strategy, which a firm may also need to come out with other strategy for competition (Economic Insights, 2012). In this paper, the focus is on the creation of a strategic environmental analysis system with what is considered to be essential analysis frameworks in the external and organizational environments, and how results of environmental analysis would impact the evaluation of a strategy. The Essential Analysis Frameworks in the External and Organizational
So, “the early starters” prefer expand through the agents, “the lonely international” can use opportunities of more complex and expensive entry modes benefiting from its highly competitive position. The late starters act in a highly competitive international environment while have hardly valuable links to a local network. So, they pursue the goal of high coordination and should to establish sales subsidiary as fast as it possible starting from the less commitment modes. The last type of the firms is internationalized well equally to the local network. It means higher integration and interdependence between most of the market participants.
Introduction Our world is becoming smaller due to globalization. Many firms these days are fulfilling domestic demand and as well as exporting products abroad. Markets are going cross-border, thus increasing the risk of surviving. Consumers are being offered humongous collection of almost identical items. To survive in this highly competitive market and to attract consumers to buy their products, creating a brand image through advertisement is of utmost significance.
As we have seen that now a day’s competitive global market is increasing & growing rapidly and the companies are focusing to distinct and separate themselves from their competitors in order to survive in a market and also take advantage of growth and opportunities. There is only one way that create a difference with your competitors is to build and creation of strong brand and try to rise your company’s profitability and try to reduce their marketing costs. Brand equity (BE) is observed as a critical and significant concept in both business practice and research on consumer behavior. We have seen that most of the Companies can achieve competitive advantage through successful brands. In a world of increasingly homogeneous products only strong
As there are different income group of citizens, pricing strategy is extremely important. The moderate pricing of Proton is much more attractive and affordable to local as compare to foreign brand’s car. Therefore, the strength of coming out with attractive pricing strategy is extremely important for Proton. Besides, it has extensive nationwide distribution network whereby this helps in managing and smoothing distribute process of its vehicles and ease the after sale service process for their customers. Proton also improving from time to time which the growth of Proton has proven by the award concerning about their product and organization it received from time to time.