m1a1 Globalization Impact on Strategy Formulation

With globalization, organizations care less about country frontiers in their usual business operations, looking for opportunities across borders to:

• Increase their base of customers,
• Take advantage of cheaper labor to manufacture items, and
• Avoid the increasing competition in their domestic markets.

Companies go international for different reasons. Such a move can be really profitable; however, sometimes challenges can diminish the positive outcomes. Good planning is crucial for a successful and profitable international operation.

Using the Argosy University online library resources and the Internet, search recent business news on two companies that expanded their operations abroad.

• Describe the global business environment and discuss the implications globalization may have on strategy formulation.
• Concerning the two companies chosen for this discussion, analyze the reasons that led them to expand their operations internationally, as well as the main advantages and challenges of such a strategic move.

By the due date assigned, post your responses to the Discussion Area. Through the end of the module, comment on at least two of your peers’ responses.