R.I.M expansion options - Assignment Example

R.I.M expansion options Option one: Do more R.I.M had the option of maintaining what they did at the time, by increasing the scale to manage growth. The main advantage of this approach was that they had an opportunity of attracting developers from emerging economies (Rob and Paul, 2010). Coupled by the good living standard of their country, R.I.M could as well benefit from harnessing the best global talent. The disadvantage to this approach was the lack of a formal system of managing candidates who were posted to the wrong teams (Rob and Paul, 2010).

This would have added a challenge of the management trying to fix the misplaced candidates into a suitable position at research and development. In addition, the company would have lost considerable revenue in the process. Option two: Grow and Expand Growth and expansion to a new geographical area by R.I.M would ensure that the company enjoyed a critical mass of talented individuals in the area of expansion (Rob and Paul, 2010). The disadvantage to this option was the variance in wages based on the location of engineers.

Software engineers in Palo Alto, California for instance, demanded more pay than those situated in Waterloo, Canada (Rob and Paul, 2010). Option three: Increase acquisitions Through acquisitions, R.I.M could ensure advantages to its growth plan. The company could for instance benefit from penetration of the European market, which was stubborn to foreign companies in preference of the local companies (Rob and Paul, 2010). The disadvantage of this approach was the failure of success to materialize after spending a large sum in acquiring a company and speculating growth in a foreign market.

Option four: Go Global A global approach by R.I.M would ensure that the company harnesses top-notch engineering and innovative services on a global scale (Rob and Paul, 2010). The company would also enjoy such services at considerably low costs from countries in the Far East. Going global was, however, associated with numerous challenges to R.I.M. the company for instance, would suffer from leakage of source code, challenges of organizational design, integration between head office and subsidiaries and communication problems.

Reference Rob, W. and Paul, B. (2010). Case 1.4: Research in Motion - Managing Explosive Growth Reading. New York: McGraw Hill Higher Education.