International Business -Week 3 Discussion Responses #1

Christopher’s Post Comparing and contrasting the Tesla virtual tour and the Google Intern's first-week video, we can identify the following. “The tangible benefits of global integration may be seen within the global data showing increases in economic production for all countries involved” (Peng, 2023). First-mover and late-mover advantages: Tesla can be considered a first-mover in the electric vehicle industry, which allowed them to establish its brand and gain a significant market share before other competitors entered the market. This has given them an advantage in terms of brand recognition, customer loyalty, and economies of scale. However, late-movers like traditional car manufacturers are now catching up and investing heavily in electric vehicles, which may pose a threat to Tesla's dominance. Google can be considered a first-mover in the search engine and online advertising industry, which has given them an advantage in terms of market share, brand recognition, and access to vast amounts of user data. However, late-movers like Bing and Yahoo are now gaining traction, and there is a growing concern over privacy and data protection, which could impact Google's market dominance. Management strategies: In the Tesla virtual tour, we can see how the company is using a vertically integrated production model, where they design and manufacture most of their vehicle components in-house, to maintain quality control and innovation. Another management strategy is their focus on developing sustainable energy solutions, which aligns with their mission to accelerate the world's transition to sustainable energy. In the Google Intern's first week video, we can see how the company fosters a culture of creativity and innovation by providing employees with a range of perks, including flexible working hours, free meals, and access to various amenities. Another management strategy is their focus on data-driven decision-making, where they use data analysis to inform their product development and marketing strategies. Foreign market recommendation: If tasked with searching for a new foreign market for Tesla's operating segment, I would recommend China. China is the world's largest car market and has significant government incentives for electric vehicles. Tesla already has a significant presence in China, with a factory in Shanghai, and they have been able to leverage the country's low labor and production costs to lower their production costs. Additionally, China has set a goal of reaching carbon neutrality by 2060, which aligns with Tesla's focus on sustainable energy solutions. By expanding further into China, Tesla could gain access to a massive market and potentially solidify their position as a leader in the electric vehicle industry.

References

Brownlee, M. [Marques Brownlee]. (2018, August 20). Tesla factory tour with Elon Musk!Links to an external site. [Video]. YouTube. https://youtu.be/mr9kK0_7x08

Google. (2013, June 4). Google interns’ first-week links to an external site. [Video]. YouTube. https://youtu.be/9No-FiEInLA

Peng, M. W. (2023). Global Business (5th ed.). Cengage Learning.

Era’s Post Tesla and Google are very successful and popular companies, and I've chosen those two for this

discussion post. Both tours were awe-inspiring and informative. Tesla altered people's

perceptions of what an automobile should be. Their ground-breaking invention fundamentally

changed the auto industry. You can tell right away during the Tesla tour that it is run mainly by

robots and machines. Elon appeared to be enthusiastic about outlining how everything interacted.

The Google interns appeared to be happy with their lives. Google plays a significant role in

almost everyone's daily activities, and I use it frequently.

Compare and contrast first- and late-mover advantages in the industries:

The First-mover advantage has an early start, while the late-mover advantage has a late start.

(Peng, 2023). "Business executives from every type of company maintain that a firm's early

entry into a new industry or product area provides it a virtually unbeatable head start." (Suarez &

Lanzolla, 2005). Tesla was leading with the first-mover advantage when it unveiled the electric

vehicle. Telsa, in the video, did have some late-mover advantages with the assembly line and

putting the car together, making it the same as every other car in the market. As for Google, they

have first mover advantages with how they run the intern program and include them as team

members from day one. A happy employee will be more productive than an employee who is

unhappy and does not feel like they are a part of the team (Preston, 2017). Google also has an

advantage with all the technology they have, and they are constantly changing and keeping up

with the times.

Describe two management strategies you discovered in each company tour:

Google is all-inclusive, and everyone matters. No idea appears to be off the table, and they have

the interns with senior leadership interacting immediately. There are constant activities where

feedback is almost impossible not to have. Tesla has a management strategy of ensuring the job

gets done precisely, and it is understood that humans are needed. In the video, he stated that

downtime with a machine is no good, so having the "dumb robot" for small tasks saves. Elon is a

hands-on leader and a part of the team. He knows what works or does not work because he is on

the floor with his team.

Select one of the companies you reviewed and take the position of an analyst tasked with

searching for a new foreign market for the operating segment reviewed in the video. Which

country would you recommend and why?

The company I would choose is Tesla, and Japan is the country of choice to operate in. With cars

like Honda, Japan is known to have successful automobiles already. Japan is also advanced in

technology, and there may be a cost advantage for Tesla. Tesla is quickly growing and becoming

the car more people want; the brand is becoming a household name. Japan had been putting off

making electric cars, but Nissan and Toyota have been successful, so this can mean bigger things

for Tesla since it is capturing more of Japan's young and wealthy (Fortuna, 2022).

References

Brownlee, M. [Marques Brownlee]. (2018, August 20). Tesla factory tour with Elon Musk!Links

to an external site. [Video]. YouTube. Tesla Factory Tour with Elon Musk!

Fortuna, C. (2022, February 18). Tesla's Popularity in Japan & Its Future EV

Market. Cleantechnica. https://cleantechnica.com/2022/02/18/teslas-popularity-in-japan-its-

future-ev- market/.

Suarez, F., & Lanzolla, G. (2005). The Half-Truth of First-Mover

Advantage. https://hbr.org/2005/04/the-half-truth-of-first-mover- advantage Links to an external

site.

Peng, M. W. (2023). Global business (5th ed.). Cengage Learning.

Preston, C. (2017, December 13). Promoting Employee Happiness Benefits

Everyone. Forbes. https://www.forbes.com/sites/forbescoachescouncil/2017/12/13/promoting-

employee- happiness-benefits-everyone/?sh=d23ee6f581a1.