Report Module Topic 7-12 International Business Management Essay

Report Module Topic 7-12 International Business Management - Essay Example International Business Organizational Design 13 4.1 & 4.2 Different types of Organizational Design & Benefits 13 5. International Strategic Control Issues 14 5.1 Control Process of International Business 14 5.2 Control Problems in an International Business 15 Conclusion 16 References 17 Executive Summary The study deals with the implementation of international strategic management process that is undertaken by the firms who are planning to expand its business by entering into foreign market. The report also indicates the problems that are faced by the firms in undertaking the process and the ways to rectify it. It also elaborates the type of entry modes through which the firms penetrate into the foreign markets. The firms are also responsible for undertaking social activities so as to continue their operation ethically. The firms often face problems because of the exporters in such a case they must take few initiatives to improve the situation. The initiatives are elaborated in the r eport. The report will also highlight the risk associated with operational process and planning while the management of a company tries to adopt varied internationalization mode and approaches. The author of the report will focus on the importance of the organizational design and its impact on the organizational outcome. ... Introduction International strategy making is more crucial and complex than the strategies that are made by the domestic companies. The manager of the firm who is entering a new foreign market has to deal with a number of governmental policies of the host country and take care of the conflicting demand between the domestic and the host country factors 1. International Business strategies and CSR 1.1 Steps in International strategic management International strategic management can be defined as the ongoing and comprehensive management planning process that aims at devising and executing strategies, which enables firms to compete internationally (Arnold, 2003). The steps are as follows: Foreign Market Analysis The foreign markets are researched carefully to get the picture of the overall condition of the market. Before entering the foreign market, the cost and benefits of the venture are assessed carefully by the firms. The risk associated with the business is also evaluated in order to safeguard their operation from beforehand. The investment banking corporations analyze the new foreign market before entering. Choose a mode of entry In the next step, the firm decides the mode through which it will enter the foreign market. The entry of the firms can be elaborated by the Dunning’s Eclectic Theory. The theory provides the firms with two modes of entry: FDI related mode and the non-FDI related mode. The theory gives the following advantages: 1) Ownership advantages identify the intangible and tangible resources that are owned by the firm. These resources grant them competitive advantage over their competitors in the industry. 2) Location advantage identifies the non-economic and economic factors that can influence the interest of locating production

Apple and samsung Essay Example | Topics and Well Written Essays - 1000 words

Apple and samsung - Essay Example Apple and Samsung companies are doing very well and they have several things in common. The objective of this writing is to compare and evaluate the two major competitor corporations, Apple and Samsung. According to Wagstaff & Kim (2012), it is undeniable that both companies are similar in terms of size though were founded in different periods. Steve Jobs and Steve Wozniak founded Apple in 1976 while Samsung was founded in 1938 by a Korean businessperson, Byung-Chull Lee. Even though Samsung started as a vegetable and fruit company, it later started back in 1969 as an electronic company. Apple’s personal computers were amongst the best but later experienced a decrease in sales after the high competition in electronics began. The company then started to produce new product iPod that largely enhanced her revenues. On the other hand, Samsung was developing slowly through introduction of various products in the market prompting it to change her mission statement to keep pace with its growing global operations, changes in the world economy as well as escalation from well-established companies. Moreover, Apple prides herself on innovation and is known for taking 8 years to develop a single product before releasing it to market. Worstall (2013) explains that Apple’s culture is to release products that are not perfect and once released, they make major updates hardly, confident that their original work is the best. This technique ensures a fascinated tech press and awed public, which compels a certain level of security as well as secrecy that segregates the company from attaining valuable market feedback prior to launch. This further raise the stakes of every product launch to the market changing and checking on any of their recent launches such as iPhone 5 and iOS7, it is nearly impossible for Apple live up to the demand for their products. Samsung however, releases a less than perfect product and iterate their way to success, which conforms, to their hi story of releasing new products that are far from perfect. The company does not make massive splash, instead the first generation product is meant to gauge interest and test capabilities since they are content to iterate their way to successful products. It is worth noting that Samsung uses less resources in product launch compared Apple although they are both at the top of the global smartphone market (Worstall, 2013). Although Samsung is a vast industrial conglomerate that manufacturers several things such as refrigerators and semiconductors, most people identifies it with smartphones, which is actually powering her growth. The company’s stunning fourth quarter results saw her profits rising to 87%. It is apparent that the phone division contributed to half of the profit and it does not break out smartphone revenues (Gupta, Kim and Levine, 2013). In 2011, Samsung sold almost 63.5 million in the quarter of which 40 million came from Samsung Galaxy S3 although the market seem to reach saturation in developed countries and the competition is high in developing countries. In the last quarter of 2011, Apple saw a remarkable profit of $13bn, which included 48 million of iPhones outpacing the Samsung Galaxy S3. Apple is even more dependent for profits for profits on smartphones compared to Samsung and Apple still takes a vast share of the mobile phone