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The Globalisation of Logistics & Supply Chains Management - Case Study Example

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In the above rationale, the OECD are predicting that there will be shifts in economic power, development and growth from what they term the fast-ageing economic heavyweights, such as Japan and the euro area”, plus the USA (the triad), towards the more “emerging-market…
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The Globalisation of Logistics & Supply Chains Management
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Download file to see previous pages Economies that have been quite strong up to now show signs of decline. These are mainly the Western countries. On the other hand, BRIC countries have strengthened their position and seem to have potentials for a long term growth. OECD has incorporated a plan for promoting the development of economies worldwide by 2060. Emerging economies are expected to show a rapid rate of growth while Western economies are more likely to have a slow growth, as highlighted in the report of OECD.
Under these terms, OECD support that MNEs are expected to change their global strategies so that they are able to respond to the global dynamics, which are based on the swifts of economic power from the countries of the TRIAD towards the BRIC countries.
The above issue is explored in this paper. Emphasis is given on the influence of the changes related to global dynamics on the total global strategies of multinational enterprises (MNEs), not only for the present but also, mainly, for the future. Academic theories and models that have been developed in this field are presented and analyzed aiming to explain whether MNEs are vulnerable towards the changes occurred in global dynamics internationally. In addition, the various aspects of MNEs are presented, in order to understand the responses of MNEs to global market trends and challenges.
The operation of businesses in the global market is closely related to the principles of globalization. In fact, globalization is the framework that sets the rules and the conditions under which firms are able to develop their activities worldwide (Parker 2005). In this context, the understanding of the role and the powers of MNEs requires the understanding of the characteristics of globalization (Parker 2005).
In practice, globalization seems to have four key characteristics: ‘a) promotion of global interconnections, b) rapid change, c) different characteristics of participants, both in terms of their number and their ...Download file to see next pagesRead More
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