MBA - business Startegy Essay Example | Topics and Well Written Essays - 2000 words

MBA - business Startegy - Essay Example In today’s world, a company can have its head office in London, the main production facility in China, the research laboratories in Germany and the support centre in Pakistan. At the same time, the individuals working for the company in different locations are likely to come from different cultures, have different logistical needs and they may even require different management policies (Hollinshead and Leat, 1995). While it may seem complicated, these elements are just some of the basic concerns of a modern MNE (Johnson et. al., 2005). However, it must be noted that the functioning of the company may be much simpler than comparative companies in the past and the size of the company can actually be tiny compared to the global organisations of the past. The internet is certainly a great tool which allows relatively miniscule companies to come face to face with big players in the market. A company can have less than ten employees, work only with a capital of a few million and yet have a logistics and supply chain system which works better than giants such as BP. Margulius (2006) presents several examples of how companies can use information technology to improve their position in competing with larger companies on the basis of their created supply chains. This certainly complicates the organisation of the company since every individual is a key decision maker but at the same time, it lets the MNE be more agile in terms of conducting business across the world. For example, a very small company such as Oriel wines was the subject of the cast study by Chozich (2005) who showed that a producer and supplier of wine could used the internet to give their clients an image of a company which seems to be much larger than it actually is with a supply chain that runs from California to Germany and as far as Japan. The company is simple in structure, but the organisation of such an effort depends on several very complicated technologies which work