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International Operations - Dissertation Example

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International Operations: Brummie Screens Inc. - Expansion Strategy Executive Summary International operations management in such an environment aims at managing the diverse operations globally in such a way as to achieve overall optimum results consistent with the objectives and strategies of the firm (Cherunilam, 2007:33)…
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International Operations
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International Operations

Download file to see previous pages... Extensive and efficient infrastructure is critical for ensuring the effective functioning of the economy as it is an important factor determining the location of economic activity and the kinds of activities or sectors that can develop in a particular economy. Singapore, though being a small nation has a good GDP and per capita income as compared to United States and this coupled with good spending habits of consumer provides good market for Brummie Screen Inc. Introduction Globalization implies emergence of a borderless, hurdleless, competitive economy in which survival of the fittest is the order. International operations management in such an environment aims at managing the diverse operations globally in such a way as to achieve overall optimum results consistent with the objectives and strategies of the firm (Cherunilam, 2007:33). Most of the countries are developing relations to create market for their businesses whereas the developing countries are allowing the foreign companies to invest in their market so as to create employment as well develop the economy. Several studies of international business have indicated that internationalization of the firms is a process in which the firms gradually increase their international involvement that influences the pattern and pace of internationalization of firms (Johanson and Vahlne, 1997:23). Internationalization of business is important in order to create a market for the product or to utilize the market demand of a product which is increasing by establishing an operation plant in other country. However, according to Hymer (1960:5) businesses go for internationalization because the firms control enterprises in many countries in order to remove competitor between them when the enterprises sell in the same market or sell to each other under conditions of imperfect competition. The world and its customers are changing constantly creating markets for world class organization to meet these changes and to compete successfully by transforming themselves into a global operation, with multiple production facilities in multiple countries to service international consumers (Schniederjans, 1998:3). Firms undertake operations in a foreign country in order to appropriate fully the returns to certain abilities which they possess. Firms, before entering into the alien land, formulate and devise an effective strategy to analyze the market situation, competitors, political situation, economic development, available resources and capabilities, etc. so as to start successful operations in the country. Similarly, present paper analyzes the above factor for Brummie Screens Inc. as the management of the firm proposes to establish its plant in Singapore or in the United States to procure the market for Tablet PCs “BrightWy”. Anyhow it is important to mention that despite all the differences among regions within countries, the diversity between nations is small when compared to the differences among nations. Therefore, to successfully conduct business abroad, companies must often adopt practices other than what they are accustomed to domestically (Katsioloudes and Hadjidkis, 2007:3). Brummie Screens Inc. – Introduction Brummie Screens Inc. is one of the world’s major manufacturers of screens for laptop computers, PC monitors and other large devices. ...Download file to see next pagesRead More
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