Integrating the Cultural Contrast through the Global Business Strategies

 

In an international organization, the managers' primary concern is to decide on the global business strategy, which is the trade-off between the local responsiveness and global integration. Global integration is considered the degree to which the company can use similar products and methods in other countries. However, the local responsiveness is referred to as the degree to which the companies must do the products' customization and the procedures for meeting conditions in the other countries. Two dimensions result in four basic global business strategies: standardization, export, multi-domestic, and transnational. Through the contents of the Business assignment help, the students can know more about business.

Standardization Strategy

 

This strategy is utilized when an organization treats the whole world as one market with a minute meaningful variation. One assumption points to the fact that one product can meet the needs of people everywhere. Several business-to-business organizations can use a standardization strategy. The equipment or information technologies and machine tools are universal, and they need little customization for the local conditions. For instance, the Mexico-based cement and building materials organization, CEMEX, expanded globally by using a standardization strategy. Thus by centralizing several common activities, the standardization strategy produces efficiencies such as gaining scale economies in manufacturing, product design, simplifying the supply chain and even reducing the marketing costs. The contents of Business homework assignment help online, delivered by BookMyEssay, are quite valuable for the students. 

 

Export Strategy

 

Whenever an organization is primarily focused on its domestic operations, then an export strategy is used. Global expansion is not the company's intention, but it exports some products for taking advantage of international opportunities. For the international market, it does not customize its products. The company is not interested in either creating an integrated global strategy or responding to other countries' unique conditions.

 

Transnational Strategy

 

It is a combination of the multidomestic strategy and standardization strategy. This strategy is used in case a company faces significant cost pressure from international organizational competitors. However, it must also offer specific products that meet the needs of the local customers. It is quite challenging to maintain a transnational strategy because, in this strategy, the company must acquire the economies of scale through the standardization strategy, but it should also be flexible enough to respond to the local conditions. If we take the instance of the Ford Motor Company, then it can be found that they have adopted the transnational strategy. The Ford Company produces "world car" that consists of several platform common elements that would accommodate a range of add-ons. Thus, in that way, Ford is benefitted from the standardization of costly components. While writing challenging assignments, the students often wonder that "If I could ask for help from the writers to write my assignment for me?"

 

Multi-Domestic Strategy

 

In each country concerned with the specific conditions, the multi-domestic strategy is customized. To customize its manufacturing methods, the Lincoln Electric should have used a multi-domestic strategy to the conditions in each country where the company had built factories. The organizations benefit from a multi-domestic strategy because the country managers understand the custom, local laws, and tastes and decide how to meet them best.     

 

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