This paper puts forward the benefits of implementing a global strategy in the establishment and sustenance of the company’s competitive advantage. The creation of the company’s social networking system is an approach which would be very effective in the 21st century. Major global markets comprise of effective organization, innovation and competition which should strictly suit the global requirements. The global strategy may be utilized for sustenance and conception of a viable advantage in the mature digital present world. The factors considered in the implementation of social network include the clientele foundation as well as the outlay consideration. As in the case with other strategies, the global strategy possesses various advantages and disadvantages, which will help the company to make a concrete decision on whether to adopt the strategy or not.
How Global Strategy can be employed to Create and Sustain a Competitive Advantage.
A global strategy is viewed as an aggressive, contingent and dynamic strategy of exposing an organization to an international market. The most efficient business approach in this century is a universal strategy that puts into thought the benefits of internet. Much is prepared of international markets, but organization, modernization and competition are evenly global (Buckleyet al., 2004). The idea of a social network is an element concerning the internet which can be used as a platform whereby the clients can be in charge of over the information rather than hierarchical command being applied. With the day to day multiple organizational challenges, social networking can be a robust and an applicable solution. The customer base lies in the social network and this being a digital age, the needs of the client can be very efficiently catered through this means of communication. Most organizations have adopted this method to constantly advertise their goods and services and even to establish customer care where the clients can enquire about anything that they are interested in (Grant, 2010).
Strategic Options: Pricing, Features, and Clientele Base for a Social Networking Application
The social network application should be designed in a transparent way, targeted to reach a large customer base. For example, in this case the company deals with fancy communication gadgets which involve phones, tablets, notebooks and a wide range of products. In this case, the features should be able to attract the teenagers to the mature generation whether male or female. The features should allow the intended audience to develop interest in purchasing the products that fit their personal goals and lifestyles and the social network can help to carry out appropriate marketing for the company. With the use of blogs, websites and already established networks, transactions are made simple through the use of online shopping in which the customer does not really have to go to the actual shop (Fanget al., 2009). Rather, the product of their preference can be delivered at their own comfort. The application should have a customer care base to be able to answer the clients’ questions about any kind of problems that may be experienced with the products and suggestions on how to improve the service (Yapraket al., 2011).
The fact that most people use the social networks everyday should be put into the consideration of maximizing on the idea of focusing on major marketing. This kind of plan will enable the company to accomplish its intended profit benefits. All things well thought-out, this strategy will arbitrate the association between the organization and market past history of performance and premeditated performance itself.
Pros of the strategic options
The global strategy means that an organization can compete on an international level by constructing rigid international and local presence through responsiveness and sensitivity to different national differences. A Global organization creates a cost advantage during incorporation of centralized scale process. For example, a super-large design proposal for engines in the vehicle industry worldwide enables it to explore a full international market. Large organizations adopting a global strategy are able to exploit parent company capabilities and knowledge by means of worldwide adaptation, sharing and diffusion (Segal-Horn et al., 2010).
Cons of the strategic options
When an organization settles on growing outside its local market, there are changes that come with this decision. The process is challenging than operating on a local market. Majority of decisions made by managers make additional problems and risks. For example, an organization’s choice to expand on a global market entails a complex process of transformation as opposed to choosing to operate on a local level. The organization planning to expand needs to pay a lot of attention on the cost of setting up a global market which involves barriers of trade and challenges imposed by governments. This basically means that the decision to operate globally has to involve a lot of questions within the company about its expectations. The development of robust policies which are capable of being delivered entirely across a global market is a complex and dynamic process.
Recommendations
There are many strategies that can be used by the company to better it. However, four options are listed. First the company can engage in a social networking application as a marketing tool to enhance global diversity and inclusion in all its daily operations to drive an enterprise-wide impact as well as create worldwide tangible markets for the organization. Second, on expanding the global market, a target groups should be identified who would act as seeders and buzz groups of the social networking system. These target groups might include college students, jobs seekers, or even executives in organizations. Thirdly, to establish a platform in the entire top performing social networks for instance linked in, face book and twitter to facilitate external and internationalization of profitability growth as well as export growth across different countries. Lastly, to improve the organization’s conduits for knowledge and information through implementation of training programs aimed at sharpening managerial openness, international vision as well as stimulating alertness of foreign market prospects through adopting a social networking approach.
Conclusion
The idea of a global strategy would help the organization in the performance outcomes through reaching out to the customer base through social networking. A global market is important for a company engaging in social networking. A global market can be used to: listen to customer needs so that operations can be improved; socialize local content globally; and aids in flexibility where certain trends or customs are different hence require different approaches in business. Therefore, a changing world requires people to change with it if they have any intentions in making it. The organizations’ market framework and traits will affect the strategic execution positively because these are some of the virtues that a clientele base would search for. Expansion of a firm into large economies of scale comes with a lot of responsibility therefore research should be appropriately carried out before the overall execution of the plans.
Buckley, P. J., &Ghauri, P. N. (2004).Globalization, economic geography and the strategy of
multinationalenterprises.Journal of International Business Studies, 35(2), 81–98.
Fang, E., &Zou, S. (2009). Antecedents and consequences of marketing dynamic capabilities in
international joint ventures. Journal of International Business Studies, 40(5), 742–761.
Grant, R.M. (2010). Contemporary Strategy Analysis (7th ed.). New Jersey: Wiley & Sons. Pp. 23-109
Katsikeas, C., Samiee, S., &Theodosiou, M. (2006). Strategy fit and performance consequences
ofinternational marketing standardization. Strategic Management Journal, 27(9), 867–
890.
Segal-Horn, S., & Faulkner, D. (2010). Understanding global strategy. Andover, Hampshire: Cengage Learning EMEA: pp 1-10.
Yaprak, A., Shichun, X., &Cavusgil, E. (2011).Effective Global Strategy Implementation.Management International Review (MIR), 51(2), 179-192.doi:10.1007/s11575-011-0071-6
