Expanding Business to Singapore - Research Proposal Example

Table of contents Letter of Transmittal: 2 Business and Society; 3 Two way shared understanding of Legislation 4 2.Singapore as a Pluralistic Society: 4 3.PEST Analysis: (Aspects of Macro Environment) ; 5 a.Political / Legal; the legislation structure of Singapore is drafted in a manner that makes it compatible for global competitiveness. The Ministry of Trade and Industry have a compact structure of rules and regulations that supports pro enterprise environment. The financial investment schemes supported by government extensively supports trade and commerce. Furthermore, the close and forthright bilateral relation also optimizes the political aspects by encouragement of entrepreneurship in Singapore. (DFAT, nd) 5 b.Economical: Singapore is said to be one of the most Western influenced country of all the Asian economies with an approach to business (World Business Culture). Singapore is ranked number four in the world when it comes to doing business and number one in the world with the ease of doing business (Doing Business, 2011). Singapore has a highly developed and successful free-market economy. Their per capita GDP is higher than most developed countries, with an average of 7.1 percent between 2004 and 2007(CIA, 2011). The Singaporean Dollar is one the top Asian currency selection for 2011 (Singapore Business Forecast Report Q2 2011). 6 c.Social/ Cultural: Singapore is very business orientated; most business people speak and understand English (Katz, 2008). Business men normally dress in light weight conservative clothing, like dress slacks, long-sleeve shirt with a tie. Business women normally wear skirts below the knee with blouses, and light makeup. Most private business in Singapore generally is open Monday through Friday from 9:00 a.m. to 5:00 p.m. and Saturday from 9:30 a.m. to 1:00 p.m. Lunch are taken between noon and 2:00 p.m. (Worldroom.com). 6 d.Technological: Rapid technological growth can be regarded as the heart of growing economy of Singapore. The strong infrastructure of developing industries working on international standard has amplified the demand of technological maturity and acceptability of e- commerce. In addition, technological modification is also extensively supported in the country to cultivate Prime compatibility. 6 4.Strategic management and corporate public affairs; 6 5.Analysis of electronic market of Singapore: 7 6.Suggestions for Operations Management of Cybertronics; 7 a.Senior management; Leadership is an interactive directional guidance enables an organization to set challenging targets in light of the vision and mission statements of the company to attain corporate objectives. The higher is the level of leadership the complex are the requirements. Hence, it is believed that such a leadership style will smoothen the activities of opening operations and thereafter. 7 b.Stakeholders; We believe to progress with stakeholder’s perception by keeping our commitment and fulfilling our corporate responsibilities revolving around the corporate objectives. Cybertronics future progress relies heavily in upholding its values. The same strategy will also support the project from stakeholder’s point of view. 7 c.Employees; We live in a world of rapid changes; through development of the culture of leadership and learning the company’s environment evolve with empathy, empowerment, initiative, accomplishment and fun. It must be acknowledged those skilled employees are the secret of long term success. Although, the development of such a culture in an organization needs heavy investment of time and energy, but at the end the result always concludes with multitude of benefits. 8 7. Conclusion: 8 8.Recommendations: 8 References 9 Letter of Transmittal: November 23, 2011 Mr. Michael W. Greene Cybertronics Incorporation United States Dear Mr. Michael: We are submitting to you the report, due November 24, 2011 that you requested. The report is entitled on the Expediency of Expanding Cybertronics Incorporation into Singapore. The purpose of the report is to assist in your decisions of expanding business into a foreign country. The content of this report concentrates on the investigation of the expectations of Cybertronics Incorporation to enter into the market of Singapore. This report also discusses the plus points of Singaporean electronic market. If you should have any questions concerning our project and paper please feel free to contact Kirk Smith at 491-5048. Sincerely, Kirk Smith Executive Summary: Currently the trends of business operations management have visibly tilted emphasizing over contemporary advanced factors that includes focus on globalization, efficient on time production, supply chain efficacy, innovative procedures for product development, customer oriented customized production, leadership cultivation by employee empowerment and ethical deliberation with environmental friendly initiatives. (saleetha, nd) Singapore is an acceptable choice for international business expansion on the grounds of favorable features of micro environment. Further on, it must be mentioned that technology and innovation are the key factors to be adopted for this project, as it supports the modern aspects of operations management through the insight of infrastructure and operational research (Gartner, nd) to attain productivity, innovation and competitive success (APICS, nd). 1. Business and Society; The development of society is closely interlinked with the development of business of an economy. The interrelation between the two in a microenvironment (Social, economical, political, technological) is that of a stake holder. Business is the keystone that supplements the development of a society and spares funds for necessary resources to permit the development and welfare of society. Hitherto, control of power through legislation enhances the capacity of conjunctional development for uniform advancement. The point of view is attempted to be illustrated with the help of diagram illustrated below; Two way shared understanding of Legislation The reputation, innovation, competiveness and growth of society and business are interdependent upon corporative adherence to legislation by the two. Imbalance of each unit can cast massive negative impact on maturity of microenvironment. 2. Singapore as a Pluralistic Society: Pluralism is the political philosophy which acknowledges diversity and supports methodological metropolitans. The society of Singapore can be regarded as pluralistic on the basis of the fact multicultural aspect of the country because of the residents of different tastes, values and beliefs. (HUI, John, 2011) The referred feature of the society has its positive and negative aspects as well. No doubt the society offer comfortable reception and space to new business but a rational evaluation of five W’s can only grant success, as a minor error in terms of consumerism but also in the determination of commercial convulsion strategies. Hitherto, the initial review for backing up the determination of business expansion logistic is presented highlighting the various aspects of the state. 3. PEST Analysis: (Aspects of Macro Environment) ; To come up with innovative and creative ideas to deal with an ever changing business environment, there is an essential need of in depth understanding of every aspect of macro environments.. With increased competition, advance technology and a well informed consumer, a static business strategy must change promptly; it cannot be business as usual (Cusumano and Markides, 2001). On the other hand socio-economic, political and environment changes must be followed keenly to ensure that they can be extensively exploited to the advantage of the company. Therefore, responding to customers that is, how fast, well and how much deeper a company can go in gathering the information on customer needs will be a big contributor to determining the future growth or failure of any company. In the light of illustrated perception, the PEST analysis of Singapore Business environment is pointed out. a. Political / Legal; the legislation structure of Singapore is drafted in a manner that makes it compatible for global competitiveness. The Ministry of Trade and Industry have a compact structure of rules and regulations that supports pro enterprise environment. The financial investment schemes supported by government extensively supports trade and commerce. Furthermore, the close and forthright bilateral relation also optimizes the political aspects by encouragement of entrepreneurship in Singapore. (DFAT, nd) b. Economical: Singapore is said to be one of the most Western influenced country of all the Asian economies with an approach to business (World Business Culture). Singapore is ranked number four in the world when it comes to doing business and number one in the world with the ease of doing business (Doing Business, 2011). Singapore has a highly developed and successful free-market economy. Their per capita GDP is higher than most developed countries, with an average of 7.1 percent between 2004 and 2007(CIA, 2011). The Singaporean Dollar is one the top Asian currency selection for 2011 (Singapore Business Forecast Report Q2 2011). c. Social/ Cultural: Singapore is very business orientated; most business people speak and understand English (Katz, 2008). Business men normally dress in light weight conservative clothing, like dress slacks, long-sleeve shirt with a tie. Business women normally wear skirts below the knee with blouses, and light makeup. Most private business in Singapore generally is open Monday through Friday from 9:00 a.m. to 5:00 p.m. and Saturday from 9:30 a.m. to 1:00 p.m. Lunch are taken between noon and 2:00 p.m. (Worldroom.com). d. Technological: Rapid technological growth can be regarded as the heart of growing economy of Singapore. The strong infrastructure of developing industries working on international standard has amplified the demand of technological maturity and acceptability of e- commerce. In addition, technological modification is also extensively supported in the country to cultivate Prime compatibility. 4. Strategic management and corporate public affairs; The analysis including investigation of internal surveys and statistics of the company’s of same industry in Singapore or competitors, with an aim of bridging the gap is an essential factor, strategic drift analysis determine how far of the track the company is, looking at the unrealized strategy and the reason as to why, and the emergent strategy and their advantages to the company as well as product life cycle analysis will help a company on resource allocation and on which strategy to adopt (Johnson and Scholes, 2000). 5. Analysis of electronic market of Singapore: Before a firm determines what plan or strategy to use then it is crucial for her to analyze and have a clear understanding of her current market its challenges and the way to navigate through them. This may be done by carrying out a Strength, Weaknesses, Opportunities and Threats analysis of the current market and therefore devise strategies to deal with them(Barney, 2010). The electronic manufacturing circuit is a declining industry of Singapore with ample space of a new entrant after the instability of Key industry players such as Seagate Technology, STMicroelectronics, Murata Manufacturing Co and Venture Corporation have established themselves in Singapore. (GMS, 2009). The business of electronics in Singapore is being monitored by Association of Electronic industries in Singapore. The association is continuously striving to support the growth of electronic industry in Singapore with regular negotiations with the relevant government agencies, trade association and chambers of commerce (AEIS, nd) 6. Suggestions for Operations Management of Cybertronics; The market acceptability and employee relation will be challenging with different situation, probably an exact system of strategy cannot help with coping with such scenarios efficiently. Hence, focus is suggested to be centered over the development of leadership culture that enables employee handle situations with proactive reasoning. a. Senior management; Leadership is an interactive directional guidance enables an organization to set challenging targets in light of the vision and mission statements of the company to attain corporate objectives. The higher is the level of leadership the complex are the requirements. Hence, it is believed that such a leadership style will smoothen the activities of opening operations and thereafter. b. Stakeholders; We believe to progress with stakeholder’s perception by keeping our commitment and fulfilling our corporate responsibilities revolving around the corporate objectives. Cybertronics future progress relies heavily in upholding its values. The same strategy will also support the project from stakeholder’s point of view. c. Employees; We live in a world of rapid changes; through development of the culture of leadership and learning the company’s environment evolve with empathy, empowerment, initiative, accomplishment and fun. It must be acknowledged those skilled employees are the secret of long term success. Although, the development of such a culture in an organization needs heavy investment of time and energy, but at the end the result always concludes with multitude of benefits. 7. Conclusion: The purpose of this project is to align the information and informal values for company expansion under a defined strategy to come up with the best results in terms of profit and sustainability. (Plan, nd) thus, it can be stated that an efficient operations management can be achieved through efforts to enhance the potential of an organization through outstanding performance in each of the business function. (Durant, nd) Therefore, the operations management of recent times can be acclaimed far more challenging because of advanced technology of engineering, finance, marketing and information system strategy (business, nd). In addition, the modifications have further supplemented business sustainability by means of significant element such as capacity planning and forecasting. (L, nd) 8. Recommendations: Value chain analysis is recommended for identifying different ways to create customer value. According to Porter the founder of this analysis, every business is a synthesis of activities performed to design, produce, deliver market and support its products as well as its services. It identifies nine activities that create value and cost in a specific business (Cusumano and Markides, 2001). These activities are classified into two broad categories the primary activities and the support activities. The primary activities include inbound and outbound logistics, operations, services and marketing and sales. On the other hand the support activities include the procurement, the firm infrastructure, human resource management and the technological development. (Stacey, 2010) The firm’s core task is to examine the cost and the performance of each and every activity and design ways and means of improving them. The success of the firm is determined by how well each department performance its duties. This model as well identifies five core business process; the marketing sensing process, the customer acquisition process, the new offering, customer relationship and the fulfillment process(Johnson and Scholes, 2000). References AEIS. nd. Message from: MR RONNIE WONG-President Association of Electronic Industries in Singapore. [online]. [Accessed 24 Nov 2011]. Available from World Wide Web: APICS. nd. APICS. [online]. [Accessed 13 Oct 2011]. Available from World Wide Web: BUSINESS, reference for. nd. OPERATIONS MANAGEMENT. [online]. [Accessed 13 Oct 2011]. Available from World Wide Web: Barney, J. 2010, Gaining and Sustaining Competitive Advantage, 4 th Ed,. Pearson Education Cusumano, M A and Markides, C. 2001, Strategic Thinking for the Next Economy, New York: Jossey-Bass DFAT. nd. Singapore country brief. [online]. [Accessed 23 Nov 2011]. Available from World Wide Web: Doing Business in Singapore vs USA.” Guide me Singapore. Guidemesingapore.com. n.d. Web. 10 Nov. 2011. Doing Business in Singapore.” World Business Culture. Worldbusinessculture.com. n.d. Web. 25 Oct. 2011. DURANT, Rick. nd. Operations Management - leveraging talents from business, technology, finance. Best Thinkling. “Ease of Doing Business in Singapore.” Doing Business. Doingbusiness.org. 2011. Web. 28 Oct. 2011.< http://www.doingbusiness.org/data/exploreeconomies/singapore/>. GARTNER. nd. IT Infrastructure and Operations Management. [online]. [Accessed 13 Oct 2011]. Available from World Wide Web: GMS. 2009. Major Industries in Singapore. [online]. [Accessed 23 Nov 2011]. Available from World Wide Web: HUI, John. 2011. Voices. [online]. [Accessed 24 Nov 2011]. Available from World Wide Web: Katz, Lothar. “Negotiating International Business – Singapore.” Global Negotiation Resources. Resources for Successful Negotiations in A Global Economy, March 2008. Web. 4 Nov. 2011. L, Richard. nd. Capacity Planning: Critical for Business and IT Success. [online]. [Accessed 13 Oct 2011]. 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Central Intelligence Agency. 28 Oct. 2011. < https://www.cia.gov/library/publications/the-world-factbook/geos/sn.html>. “Singapore Consumer Electronics Report Q4 2011.” Business Monitor International. Marketresearch.com. 25 Aug. 2011. Web. 09 Nov. 2011. "Singapore: Country outlook. " EIU ViewsWire  11 Sep. 2011: ABI/INFORM Global, ProQuest. Web.  10 Nov. 2011. “Singapore - Customs & Culture.” Worldroom.com. Worldroom Limited. n.d. Web. 3 Nov. Stacey, R D. 2010, Strategic Management and Organisational Dynamics, 6th Ed., New Jersey: Prentice Hall Read More