Global business strategy case - Essay Example

The application of management theories helps the organizational management to design appropriate strategies geared towards performance improvements. Additionally, there are customer relationship management models, which provide effective frameworks on how an organization like Marco Polo in Brazil can improve its relationship with their available customers, as well as analyzing the impacts that may be felt when the organization would design ways of reaching more target consumers in China. Proximity, cost, environment, and learning are items of quality consideration in regards to the global management strategies for the company (Lasserre, 2007).

This paper investigates the aspect Global Strategic Management, analyzing a case of Marco Polo and the type of plant type of plant. The understanding of such a case is enhanced by the study of its steering for business in China in regards to cost, proximity, environment as well as learning realms. An overview of Global Strategic Management strategies at Marco Polo Company The business operations for Marco Polo are based on the 3L’s (location, localization, as well as linkage). They are the major determinants of its success in the global realms.

Location of the company at Brazil is suitable for it is central to business operations in the global fields. Its location will enable it to steer to China without transportation and communication challenges. The importance is accompanied by the rationale of location area consideration, in addition to the consideration of the best strategies that suit location of the reinstated business in Brazil. Since Marco Polo Bus Company chooses to invest in China, it will need the application of comprehensive plans in the setting up of its business entity in an acceptable region (Lasserre, 2007).

The company has to consider its localisation forces; the consideration of crucial global success features that enable the enhancement of competitive advantage and growth opportunities. These competitive forces are inclusive of cost of commodities, physical and intellectual support resources, proximity, legislation as well as learning and relationship with consumers. The linkage forces for the company portray the scope of global operating businesses in regards to projects handling and production capacity.

Nevertheless, the interplay of the forces provides a rationale for the desire of Marco Polo in Brazil to steer business in China (Lasserre, 2007). Marco Polo as a Global plant network and its choice of China Marco Polo can be classified as a contributor factory type of production plant. The factory in Marco Polo is also a lead factory due to its supply to global networks. This company deals with bus manufacture accessories and distributes them to other countries as well as local markets. The possession of procurement offices is a rationale that provides a ground for planning, procurement, as well as management strategies application.

The company will have to embrace the interaction theory, which implies that market expansion and involvement in the activities in the affairs of others is a rationale for learning and productivity. The act of purchasing raw materials and bus