OPS 570 Fall 2011 Global Operations and Project

Transcript:OPS 570 Fall 2011 Global Operations and Project:
OPS 570 Fall 2011 Global Operations and Project Management Business Environment Improvement of organizational activities to ensure quality, customer satisfaction , and loyality Capital Stock Market Investments NceufIhkurreffg Org. Behavior Policy Strategy Sit on their ass Sales Promotion Research Behavior Fairy land The application of people, technologies, and procedures to solve business problems Bookkeeping Pensions Audits The study of how the forces of supply and demand allocate scarce resources In the past, complex international transactions were the domain of diplomats and international policy and business experts. Today a converging set of powerful economic, technological, demographic and geopolitical trends will demand that all citizens, not just the elite, have that kind of global fluency. Knowledge of the world is no longer a luxury, it is a necessity. Nicholas Platt, president emeritus of the Asia Society The world is moving away from self-contained national economies toward an interdependent, integrated global economic system Globalization refers to the shift toward a more integrated and interdependent world economy Globalization has two facets: 1) the globalization of markets 2) the globalization of production What Is Globalization? Globalization Forces Globalization is a result of Political forces that reduce barriers to trade and foreign investment by governments induce privatization of industries of former communist nations Technological forces that lead to advances in computers and communications technology allow low cost network computing and ubiquitous Internet collaboration across borders Globalization Forces Globalization is a result of Market forces lead to globalizing companies’ need for their suppliers to globalize too allow easier revenue seeking activity abroad due to home market saturation Cost forces demand economies of scale -- product line and manufacturing -- to reduce unit costs lower cost production factor seeking efforts in other countries Competitive forces more intense due to explosive growth internationally of small and new businesses Globalization Forces Globalization Forces The globalization of markets refers to the merging of historically distinct and separate national markets into one huge global marketplace In many industries, it is no longer meaningful to talk about the “German market” or the “American market” Instead, there is only the global market The Globalization Of Markets Falling trade barriers make it easier to sell internationally The tastes and preferences of consumers are converging on some global norm Firms help create the global market by offering the same basic products worldwide The Globalization Of Markets The globalization of production refers to the sourcing of goods