Globally integrated enterprise model and its interaction whit

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GLOBALLY INTEGRATED ENTERPRISE MODEL AND ITS INTERACTION WHIT GLOBAL BUSINESS STRATEGIES. The deference between GIE and multinational enterprise is not only the grade, the GIE enterprises establish its operations and functions anywhere in the world based on the right balance between costs, talent available and appropriate environment for Business. This factor makes these enterprises more flexible to do business in any region in the world but the enterprise must know very well the cost, talent available and the environment of that region in order to make the right decisions.

Transcript of Globally integrated enterprise model and its interaction whit

  1. 1. GLOBALLY INTEGRATED ENTERPRISE MODEL AND ITS INTERACTION WHIT GLOBAL BUSINESS STRATEGIES. The deference between GIE and multinational enterprise is not only the grade, the GIE enterprises establish its operations and functions anywhere in the world based on the right balance between costs, talent available and appropriate environment for Business. This factor makes these enterprises more flexible to do business in any region in the world but the enterprise must know very well the cost, talent available and the environment of that region in order to make the right decisions.
  2. 2. The workflow depends, to a greater or lesser extent, three main forces: costs knowledge environment interconnected.
  3. 3. The cost is almost the most important factor that the investors have in mind , have a good production whit low cost is one of the most used strategy to have a competitive advantage. But the cost isnt the only factor, if that were the case the work would move to the lowest cost country or region but that is not the case.
  4. 4. The talent is a very important factor to considerate because there are many countries whit talent people, whit differentiated talent a company have the possibility to be innovative and have news forms to make the things. The developed countries arent the only ones that can produce people whit talent; there are people whit talent in many countries and the enterprises should find these persons and hold them, because if the enterprise hold the talent, it can have the best idea or the best solution at the problems.
  5. 5. The third factor is the opened environment for the business, this include the technology, the commerce and business activity. Whit an opened business environment an enterprise can share activities whit organizations that have the same standards when doing business. An opened commerce system make easier the integration of supply chains across different countries, and the technology further the integration and collaboration whit shared work platforms.
  6. 6. GLOBALLY INTEGRATED ENTERPRISE MODEL IN ASIA The difference in infrastructure makes a complex supply chain mix in Asia, and this make very volatile supply chain infrastructure. Countries even invest in their people and skills, and suddenly they move out We need to hold back the people, because we invested and we are talking about skilled people
  7. 7. Excessive government interference at all levels, high and excessive indirect taxes, restrictions on foreign investment; differential tax rates for foreign companies, weak protection of intellectual property, substandard infrastructure whit excessive cost, corruption, regional decisions that contradicts central government policy.
  8. 8. GLOBALLY INTEGRATED ENTERPRISE MODEL IN EUROPE To ensure stability and prevent decisions in one country causing spillover effect, economic policies are in part regulated at EU level whit two main rules: the government debt may not exceed 60% of GDP. Borrow is fine when a country invests for future growth, but if it is too high, then it may become a burden on economic development. And the second rule: The national deficit may not be greater than 3% of GDP. When spending exceeds income then a country must borrow to fill the gap, which adds to the government debt.
  9. 9. The debt of Greece is 170% of Greeces gross domestic product, even though approved by the European Union in its bailout loans.
  10. 10. GLOBALLY INTEGRATED ENTERPRISE MODEL IN LATIN AMERICA Latin America has the smallest banking system in proportion of GDP A speculative attack on the currency can precipitate a banking crisis if deposit money is used to speculate on the currency and banks are depleted of funds Despite of the talent people in Latin America the governments dont prioritize the inversions to create news technologies and the countries in Latin America should adapt the existing technologies instead of creating new ones.
  11. 11. (John Dinges, 2011) I have reporting a wonderful revolution and make me most of my career documenting human rights violations The prevalence of corruption in the business sector is a factor to be considered when analyzing the stability of a country as it can be considered an ordinary economic activity that arises in some institutional environments and becomes dangerous to democracy itself
  12. 12. GLOBALLY INTEGRATED ENTERPRISE MODEL IN MIDDLE EAST The inversion can have high cost but the revenue is also high and that is the reason why many enterprises invest in some government projects as artificial islands, oil rings, etc. Now a woman can prove her identity without having to resort to the family document or her guardian. Now she can do some things for example, like open a bank account simply by producing her identity card even her passport
  13. 13. The Islamic bank only invests in actual assets and services, buy machinery, lease out cars or invest in small business, but the transaction is always tried to a real asset or service Conventional finance sells money when there is no money, sells assets before they exist and allows debt to grow unchecked. Interest creates artificial supply, not backed by real assets the results: increases inflation, heightened volatility, and economic disparity
  14. 14. GLOBALLY INTEGRATED ENTERPRISE MODEL IN AFRICA Kenia is an example of the good environment that Africans countries can offer to enterprises, the president Uhuru support the foreign inversion in his country and there are many sectors to invest as the basics sectors of extraction and the more modern as telecommunications. The global business outsourcing market is estimated to be more than 500 billion dollars a year, the main place in this industry have long be India but times are changing and the new home can be Africa
  15. 15. Every year the universities graduated over 100 000 people in the market force the people in Africa have been exploited by foreign companies in the past and also their natural resources has been exploited in the same way, to mitigate the negative effects that the view of the population have of the foreign enterprises, these ones should work in their social responsibility
  16. 16. GLOBALLY INTEGRATED ENTERPRISE MODEL IN NORTH AMERICA At 2008 trade between Canada and Unites States had exploded to 700 billion dollars a year, its over 2 billion dollars a day 1.3 million dollar a minute every minute at every hour at every day, the largest demand of commerce between any two nations in the history of the world NAFTA has open the marked to 100 million people creating the largest single bridges market in the world, as a result since NAFTA Mexico has surpass Japan as American number two trading partner even though Mexicos economy is 1/12 of the size of Japan
  17. 17. ocean pollution in Centro America affects the water quality of the beaches in California, if we are able to help Centro America improving protection, conservation, improve the quality of water, reduce air pollution, that not only help Centro America but also America Mexico can be the weaker country in the zone the south border is a big challenge in North America, in the south border is violent and the cartels traffic whit illegal goods and drugs. USA and Canada help Mexico against the organized crime to have safe ways to trade goods.
  18. 18. Next week is the fifth anniversary of the collapse of leman brother, signal of global crisis and we still recover and I think we will take another five years to recover at least to really get over