Global Management

Essay by mrbudziszUniversity, Bachelor'sA+, January 2005

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The term globalization is not an unfamiliar one. In fact, global commerce has become a way of

business for some U.S. companies. Globalization is about international economy, open markets,

competition, and free enterprise of goods, services, and capital. As domestic industries venture

abroad to global communities, the paradigm of organizational management must seek to protect

foreign investments and enhance a global growth strategy. Organizations must have a strong

management team and a strategic plan to organize the mobility of affairs between nations.

There are a host of concerns that businesses embarking on global matters should be alert to and

prepared for in the face of challenge. Global management is a challenge in and of itself.

Managers must learn to embrace the concepts of the global market and utilize these concepts to

optimize the organization's objectives. When going from a domestic market to a global market,

managers must conduct business with these objectives in mind:

1) Knowledge of foreign currencies-It will be imperative to have an awareness of the foreign

exchange of monies when figuring financial gains and taxation.

2) Labeling/Packaging-Not only will it entice the consumer, but it will also need to be in

exchangeable languages. You can differentiate companies who participate in a global market by

the multiple languages printed in the product instruction guides and manuals.

3) Imports/Exports- Organizations must weigh the cost against the benefits of moving products

out of the country, whether via cargo or air or necessitate production overseas; consider


4) Climate considerations-It is important to consider the change in climate when shipping

products whether excessive heat, extreme cold, or condensation will affect the product.

5) Supply and Demand-are the resources (human laborers, material, etc) available and is there a

market, or demand for the product or services?

6) Opportunities-Increase in production, efficiency, and...