Chap009第九章.pptVIP

Part Three: International Strategic Management Objectives of the Chapter DISCUSS the meaning, needs, benefits, and approaches of the strategic planning process for today’s MNCs IDENTIFY the basic steps in strategic planning, including environmental scanning, internal resource analysis of the MNC’s strengths and weaknesses, and goal formulation DESCRIBE how an MNC implements the strategic plan, such as how it chooses a site for overseas operations EXPLAIN how an MNC implements an ownership and/or entry strategy REVIEW the three major functions of marketing, production, and finance that are used in implementing a strategic plan International Strategic Planning Strategic planning Process of determining an organization’s basic mission and long-term objectives, then implementing a plan of action for attaining these goals Process takes on added dimensions when companies go international Growing Need for Strategic Planning MNC must keep track of diversified operations Continually changing international environment FDI has grown faster than both trade and world gross domestic product Approaches to Formulating and Implementing Strategy Economic Imperative Worldwide strategy based on cost leadership, differentiation, and segmentation Political Imperative Strategic formulation and implementation utilizing strategies that are country-responsive and designed to protect local market niches Quality Imperative Strategic formulation and implementation utilizing strategies of total quality management to meet or exceed customers’ expectations and continuously improve products and/or services Administrative Coordination Strategic formulation and implementation in which the MNC makes strategic decisions based on the merits of the individual situation rather than using a predetermined economically or politically driven strategy Large MNCs try to combine the economic, political, quality, and administrative approaches to strategic planning Figure 9-1 Basic Elements of Strategic Planning f