International Expansion and Globalization's Effects essay

Download this essay in word format (.doc)

Note: Sample below may appear distorted but all corresponding word document files contain proper formatting

Excerpt from essay:

These decisions of business model structure are predicated in part on the cultural variations of the foreign country to an organizations' home nation as well. Cultural variations between regions also lead more to distrust than trust and this is especially true when work is accelerated, assuming no cultural differences exist (Yeung, Selen, Zhang, Huo, 2009). While globalization is often seen as flattening the world from a common set of business processes, cultural variations, and within these cultural differences, deeply held religious values in Muslim nations for example, are far from as homogenous as the flat world mentality would have one believe. Instead there are significant gaps culturally that are actually catalysts of greater, albeit more attuned and focused, efforts at strategic growth globally.


The misconception that manufacturing is outsourced purely for cost reduction can be seen in the many uses and roles of factories within global manufacturing networks (Fedrows, 2006). International expansion and globalization in this context is more concerned with the context of how factories and production centers are used as a means to stay better aligned with the unique needs of foreign markets. The fact that market leaders in the high tech industry are using global factories as innovation centers, as Hewlett-Packard is doing today illustrates this point (Fedrows, 1997). This aspect of globalization is also significantly changing the role of competitive strategy in local and global markets, as value chains are being significantly changed as a result (Porter, 1986). In a broader context the value chains of entire industries are changing rapidly due to the augmented roles of factories globally as well (Fedrows, 2006). This fundamental redefinition of what was once seen as a cost center alone in companies is also leading to critical reassessments of strategic planning form a manufacturing value-add standpoint (Fedrows, 2006).

Supply Chains and Logistics

The area where compliance, national security which many consider to be part of global compliance initiatives, manufacturing center strategic roles and definitions, and supply chain integration and logistics meet is considered to be the primary catalyst driving change in strategic planning. Considering how compliance, manufacturing, and supply chain are tightly integrated from a process standpoint the impact of globalization on just one of these factors will force any company to revaluate its strategies immediately. The triad of these three factors of compliance, manufacturing and supply chains also for many industries dictates the level of financial growth and stability they will have as well. An example of a globally-based supply chain process that is successfully integrating these three areas and keeping them balanced is the Toyota Production System (Dyer, Nobeoka. 2000).


International expansion and globalization's impacts on corporate strategy can be seen most clearly from the aspects of compliance, cultural considerations, manufacturing and supply chain and logistics areas. The reciprocal effect each of these areas is having on influencing corporate strategy has been discussed with the point being made that the assumed of a single flat world can at times be erroneous. Considering the cultural distances between nations alone using the Cultural Dimensions Model illustrates this as do the other points in this paper.


Susan Christopherson. 2007. Barriers to 'U.S. style' lean retailing: the case of Wal-Mart's failure in Germany. Journal of Economic Geography: Transnational Retail, Supply Networks, and the Global 7, no. 4, (July 1): 451-469.

Jeffrey H. Dyer and Kentaro Nobeoka. 2000. Creating and managing a high-performance knowledge-sharing network: The Toyota case. Strategic Management Journal: Special Issue: Strategic Networks 21, no. 3,

(March 1): 345-367.

Ferdows, Kasra. 2006. Transfer of Changing Production Know-How. Production and Operations Management 15, no. 1, (April 1): 1-9.

Ferdows, Kasra. 1997. Making the most of foreign factories. Harvard Business Review, March 1, 73-88.

James a. Hall, and Stephen L. Liedtka. 2007. The Sarbanes-Oxley Act: implications for large-scale it outsourcing. Association for Computing Machinery. Communications of the ACM 50, no. 3, (March 1): 95-100.

Hofstede, Geert. 1993. Cultural constraints in management theories. The Executive 7, no. 1, (February 1): 81.

Imtiaz Hussain. 2006. GLOBAL Compliance. The Internal Auditor 63,

no. 5, (October 1): 52-56,8.

Porter, Michael E. 1986. Changing Patterns of International Competition. California Management Review 28, no. 2, (January 1): 9

Subroto Roy, and K. Sivakumar. 2007. The role of information technology adoption in the globalization of business buying behavior:…[continue]

Cite This Essay:

"International Expansion And Globalization's Effects" (2009, November 01) Retrieved December 9, 2016, from

"International Expansion And Globalization's Effects" 01 November 2009. Web.9 December. 2016. <>

"International Expansion And Globalization's Effects", 01 November 2009, Accessed.9 December. 2016,

Other Documents Pertaining To This Topic

  • International Expansion and Globalisation on

    By offshoring tasks, companies can also focus on their core business, allowing them to grow more rapidly, increase organizational value, and complexity. In an increasingly competitive world, these benefits can mean the difference between success and failure. Conclusion: Globalisation and international expansion are two driving forces in organizational change, in today's world and likely will continue to be of increasing importance as the world becomes more competitive. As such, corporate strategies

  • International Employment Relations Globalization Is

    At the same time, this strategy undermined the ability of workers to gain collective power. All these factors resulted in increased insecurity in terms of the job market and in terms of the relationship between employers and employees. Auer (2005: 6) addresses Kalleberg's point in this regard with an assertion that the common assumption is that the twin factors of globalization and technological advance would fundamentally change the employment relationship

  • Globalization the Effects of Globalization

    Bhagwati says, "But today's most dramatic change is in the degree to which governments have intervened to reduce obstacles to the flow of trade and investments worldwide (p. 11)." He emphasizes to make this next point, which is: But this fact forces upon our attention a disturbing observation: governments that can accelerate globalization can also reverse it. Herein lies a vulnerability that cannot be dismissed complacently. The earlier globalization, in

  • Globalization A Effects of Globalizatio Globalization Is

    Globalization -A Effects of Globalizatio Globalization is the global alliance in matters of the trade, economy as well as the culture, in the literal sense; globalization is the transformation of a regional phenomenon into a global ones. It can also be described as the process in which people around the world get unified to form a one society that functions together. Globalization heavily banks upon worldwide by its expansions and integration.

  • Globalization and the Environment This

    Of the top 150 medications that are sold by prescription in the U.S. 118 of these are medications that are either "derived from or modeled on naturally occurring substances." (SEAM Global, 2005) Some of the medications that count on habitat presently being destroyed are "aspirin, morphine, vincristine, taxol, digitalis, and most antibiotics."(SEAM Global, 2005) VI. Internet/Networking: Role Played in Preservation Through global and subglobal assessments of the ecosystem and monitoring of

  • Globalization Making Society Better One

    The result has been newfound freedoms of speech, freedom of travel and incredibly, freedom of dissent, even to small extent. Globalization is the fule that nations need to find what their true competitive strengths are. Coddling nations through protectionism and subsidies is like taking protein or iron from their diets; over time, they will atrophy and die due to a lack of infusion of capital, competitive vibrancy and growth.

  • Globalization Make the U S More

    " (2007. p. 46) Guay also states that a consequence of "increased international trade is a corresponding increase in demand for commodities." (2007, p. 46) Guay writes that companies that are producers for civilian and military markets "are susceptible to increased global competition on the civilian side, even as the military side of their business may be fairly protected." (2007, p. 46) These firms may be forced to restructure which

Read Full Essay
Copyright 2016 . All Rights Reserved