7 Global Context Analysis

7 Global Context Analysis - Global Context 1 MOR 492 Global...

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Unformatted text preview: Global Context 1 MOR 492 Global Strategy Globalization in Context Global Context 2 MOR 492 Global Strategy Overview u Analyzing the Global External Environment u Globalization and Distance u National Competitiveness: Competitive and Comparative Advantage of Nations u Non-Market Strategy u Political Risk Global Context 3 MOR 492 Global Strategy Countrys Overall BENEFITS Size of market Growth rate Economic System COSTS Political factors Economic underdevelop ment Legal system RISKS Political Economic Legal ATTRACTIVEN ESS Global Context 4 Click to edit Master subtitle style GSBA 492 Global Macro-Analyzing Similarities and Differences Global Context 5 MOR 492 Global Strategy Global External Environment u Macro-environmental (PEST) Analysis Political Environment Economic Environment Social Environment Technological Environment u Competitive and Competitor Analysis u Similarities, Differences, and Rate/Velocity of Change u Shocks and Trends Global Context 6 MOR 492 Global Strategy Political Environment u Type of Government Stability Political goals/agenda Succession and transfer of power u Political Alliances u Legal Infrastructure Contract enforcement u Nature and extent of Regulation Global Context 7 MOR 492 Global Strategy Political Environment u Business-government relationships Role of business in political agenda u Role of Public Sector Privatization u Influence Activities Lobbying Bribery/corruption Global Context 8 MOR 492 Global Strategy Legal Environment u Property Rights u Intellectual Property Rights - Patent, trademark, copyright laws u Contract Law common law and civil law u Tariffs, quotas and trade barriers u Restrictive trade practices legislation u Taxation u Product liability, civil and criminal laws u Labor laws u Laws governing business practices Global Context 9 MOR 492 Global Strategy Political Systems Political System the system of government in a nation Collectivism Individualis m Som Communism Social Democracy Individual Freedom & Self-Expression Economic Self-interest (invisible hand) Global Context 10 MOR 492 Global Strategy Political Environment POLITICAL SYSTEMS u Democracy representative democracy u Totalitarianism Communist Theocratic Tribal Right-wing u Others (e.g., Oligarchy) Global Context 11 MOR 492 Global Strategy Economic Environment u Economic growth; stage of economic development u GDP per capita (income) u Financial Institutions stock exchanges, banks, etc. u Monitoring Institutions SEC, Auditors, GAAP u Money supply and monetary stability u Balance of payments; foreign debt u Hard currency reserves u Exchange rate fluctuations Global Context 12 MOR 492 Global Strategy Economic Systems u Market Economy Free interplay of demand and supply No restrictions on supply u Central Command Government moderates the activities of different economic systems...
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7 Global Context Analysis - Global Context 1 MOR 492 Global...

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