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MGT 498 Long Term Strategies and Globalization

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Long Term Strategies and Globalization Outline • Evaluate the effects of globalization on strategic management planning. • Assess how strategic alliances can facilitate global strategic growth. • Discuss the three types of innovation and how each type can contribute to long-term strategic growth. • Identify three Organizational Structures best suited for optimal global operations. Effects of globalization on strategic management planning • Globalization means the global integration of international trade and investment • Development in the developing countries • Bilateral trade agreement • Positive impact on strategic management planning – expanded the market – cheaper resource availability Expanded market • Best examples of the expanded market is the electronics industry • Customers can buy the products from almost anywhere • Increase the reputation of the organization as well as the nation • Building the Global network Cheaper resources • Outsourcing of resources, technology, manpower, etc. • Resources available at low prices • Supports the mass production • Reduction in the overall cost of production • Increased profits. How strategic alliances can facilitate global strategic growth • Strategic Alliance is an agreement between the two or more entities to pursue agreed objectives while remaining independent organizations. • Facilitates global strategic growth • Helps to enter in the bigger market • Growth of capital an ...
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