Although globalization of a strategy can save companies, launching a global move can be detrimental if it does not align with strategic options in the future. Senior managers can conduct a simple self assessment to gauge the likeliness of success globally. Look at the ideas of assessment and practice below:
Part 1: Ill-Fated Strategies
- Are there potential benefits for our company? – Aligning opportunities to benefits.
- Do we have the necessary management skills? – Aligning opportunities with resources.
- Will the costs out weigh the benefits? – Aligning the benefits with financial stability.
Beyond the test questions, understanding the industry and the needs for globalization and dangers of entering is important too.
Part 2: Globalization’s song
-Deregulated industries: many businesses today face growth opportunities that frequently cost far too much to enter.
– Service Industries
– Manufacturing Industries: Globalization is about the only way for them to grow beyond their means (many times but not every time).
Part 3: Continuing Danger
As companies recklessly pursue global expansion, the challenges and dangers of monetary loss and brand dismissal must be recognized.