MGMT 2500 MIDTERM STUDY GUIDE
Reasons to Globalize - Answers - reduce costs, improve supply chain, provide better
goods and services, understand markets, learn to improve operations, attract and retain
global talent
Improve the Supply Chain - Answers - locating facilities closer to unique resources
provide better goods and services - Answers - Objective and subjective characteristics
of goods and services
- on time deliveries, cultural variables, and improved customer service
Understand Markets - Answers - Interacting with foreign customers, suppliers,
competition can lead to new opportunities
- cell phone design coming from a Europe, cell phone fads from Japan, and extend the
product life cycle
Learn to Improve Operations - Answers - Learning does not take place in isolation.
Remains open to the free flow of ideas.
For example, GM found that it could improve operations by jointly building and running,
with the Japanese, an auto assembly plant in San Jose, California. This strategy
allowed GM to contribute its capital and knowledge of U.S. labor and environmental
laws while the Japanese contributed production and inventory ideas.
Attract and Retain Global Talent - Answers - Offer better employment opportunities
- better growth opportunities and insulation against unemployment
- relocate unneeded personnel to more prosperous locations
Missions - Answers - Tell an organization where it's going
- organization's purpose for being, provides boundaries and focus
- answers "what do we provide society?"
Factors affecting mission - Answers - philosophy and values
profitability and growth
public image
benefit to society
customers
environment
