In this paper we will conduct Global Consideration for the CheapCo it will include a detail look at areas that a company must address when they make the decision to go Global. CheapCo will address human resources, supply chain management, information technology, research and development, legal and ethical challenges that must be addressed as CheapCo moves into Bulgaria. By addressing the Global considerations it will clearly show the areas of risk for management of the CheapCo. This will determine if there are gaps that need to be addresses before CheapCo continues on with their venture into Bulgaria.
There are many factors to consider when selection a location for a company. Cheap Co used data gathered from analysis that coved four major areas when deciding to locate in Bulgaria. The areas covered in those analyses include Current Global Events, Region, Country, Organization, and Product/Services analysis. The world economy is on target to meet its growth expectations of three percent for 2006 and may even surpass this with the strong economic growth in the United States (US).
The US is the primary force behind global economic growth with China, India and additional developing countries influencing the situation well. Developing economies are to grow by 5.6%. Inflation rates excluding energy and food have remained unchanged; however overall inflation rates have gone up primarily due to high oil prices (World, Oct 18, 06).
There have been no official alliances within the region since the Balkan Alliance in 1911 (On War, 2000). There have been numerous continuing efforts by countries within the region to become members of the European Union. On the same level, there have been fewer efforts to become members of NATO. Bulgaria, one of the few to apply for membership, became a member of NATO on Mar 29, 04.