Business Management free essay sample

Risks that are common today include: barriers to repatriation of funds, forced sale of equity to host-county national usually at or below depreciated book value, expropriation of corporate assets without prompt and adequate compensation, and Discriminatory treatment against foreign firms in the application of regulations or laws. Terrorism poses a severe and random political risk to company personnel and assets and can, obviously, interrupt the conduct of business. Terrorism is the use, or threat of use, of anxiety-inducing violence for ideological or political purposes. The increasing incidence of terrorism, especially in Latin America is a big concern. Also, the kidnapping of business executives has become quite common. Those events that affect one industry or company or only a few companies are called micro political risk events. 2. What means can managers use to assess political risk? What do you think is the relative effectiveness of these different methods? At the time you are reading this, what countries or areas do you feel have political risk sufficient to discourage you from doing business there? After assessing the political risk of maintaining or investing current operation in a country, managers face hard decisions on how to manage that risk. We will write a custom essay sample on Business Management or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page They can decide to suspend their firms dealing with a certain country at a given point either by the avoidance or by the withdrawal of current investment. If they decide that the risk is relatively low in a particular country of that a high-risk environment is worth the potential returns, they may choose to start operations there and to accommodate that risk through adaptation to the political regulatory environment that adaptation can take many forms each designed to respond to the concerns of a given local area. 4. Explain what is meant by the economic risk of a nation. Use a specific country as an example. Can economic risk in this country be anticipated? How? A country level of economic development generally determines it economic stability and therefore its relative risk to a foreign firm. Most industrialized nations pose little risk of economic instability; less developed nations pose more risk. An example is when Argentinas economic woes, expected to result in the country’s economy shrinking up to 15 percent in 2002, negatively affected foreign firms doing business there. A country’s ability or intention to meet its financial obligations determines its economic risk. The economic risk incurred by a foreign corporation usually falls into one f two main categories; its subsidiary in a specific country may become unprofitable if the government abruptly changes it domestic monetary of fiscal policies or if the government decides to modify its foreign-investment policies. 5. Discuss the importance of contracts in international management. What steps must a manager take to ensure a valid and enforceable contract? Contract law p lay a major role in international business transactions because of the host in the contract complexities arising from the differences in the legal systems of participating countries. Common-law and civil law countries enforce contracts, although their means of resolving disputes differ out specifying the details in the contracts under common law, the details of promises must be written into the contract to be enforced. Astute international mangers recognize that they will have to draft contracts in legal contexts different from their own, and so they prepare themselves accordingly by consulting with experts in international law before going overseas. The risk is you could have a contract torn up or changed. . Discuss the risk of terrorism. What means can managers use to reduce the risk or the effects of terrorism? Where in the world, and from what likely sources, would you anticipate terrorism? The risk of terrorism for global businesses is only focused on in certain areas such as the Middle East and South America. That risk now has to be considered in countries such as the United States, which was once regarded as safe. Kidnappings are common in Latin American a s a mean of raising money for political activities. Business Management free essay sample Positioning: It applies the targeting plans in to business. Positioning of the HEM products are illustrated in details in UP analysis. Proposals For Each Of The ups Product rhea attributes of the product is very important. The product gets the main priority and if the marketer knows that the product is not up to standard, it will only make it more difficult for the marketer to make the product acceptable in the market. We know that HEM is already a very well established organization in I-J and they are specializing in music, movies and video games. We will write a custom essay sample on Business Management or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page Therefore, a few things should always be kept in mind such as maintain their service quality and probably should priorities their loyal customers and offer special discounts. They have to ensure that the product is available at all costs and deliver the products to their consumer as scheduled. Everyone wants to stay up to date with the latest music, movies and video games. This is why they should never have their shelves empty and make sure all is Jp to date as well as maintain the quality of the product. Price Price is an important factor and should be handled very delicately.A certain group of people enjoys the deduction of price and on the other hand, others would doubt the quality of the product because of lower prices. Since HEM is already a well reputed ND one of the eldest stores in the I-J, the prices should not be any less then its competitors because of its brand image which should be maintained and after all, this will ensure their customers that HEM is providing them with the best quality of service and product in the market available. Promotion Promotion plays a major role in the perception of a particular segment.The promotion should be compatible with the positioning of the product which will lead to recognition of the brand and play as a proxy to evaluate quality of the product based by the prospective customers. HEM should come up with innovative rumination strategies and advertise through the medium of television networks, radio channels, leaflets, banners etc. They could always use a little promotional video before a movie starts at theaters or organize events such as unplugged concerts and games conventions with the latest trends which is very popular with the youngsters standard and one of its kind to complement the brand image.We certainly cannot forget the World Wide Web, where they can advertise through social networks such as Face book, etc. Place Place is Just as important. Its the location which should be convenient and easy to access for the customers. Distribution depends a lot on the place. Various strategies such as the intensive distribution, exclusive distribution and selective distribution should be considered to help other aspects of the marketing mix. HEM stores should be available at every corner of any commercialese area for consumer satisfaction and to create brand superiority. People People are important and crucial in service delivery.Intensive training program is required for store clerks and any human resources on how to handle and treat customers and also how to deal with difficult customers. They should be presentable ND their behavior should be at utmost best. Their salesmanship should be at level best and should have a wide range of knowledge about the current products, to ensure they can priorities and provide the best service as well as meet the customers demand at any given time. Process Its important to deliver a quality service which is why processes are crucial to ensure standards are met. HEM cannot have empty shelves.It is vital that they fill up those shelves as soon as possible by using Information System such as Enterprise resource planning (ERP). Commitments should be treated with utmost importance for e. . If a CD is not in display and the store clerk makes a commitment to the customer to have it by the next day, that commitment should be met with intense care. All the transaction processes should be easy to handle where customers would be able to pay through credit cards, debit cards, cash, Papal etc. Home delivery services should be made available specially if the customer is buying through E-store or online shopping.Physical Evidence Physical Evidence plays a vital part for the satisfaction of the customers. When a customer walks into a HEM store, it should be like no other experience. There should be huge card board cutouts of the latest blockbusters to welcome them to the store. HEM should have booths inside the stores placed at different corners with the latest LCD monitors, quality headphones with quality speakers option where the customers can check out and listen to the latest music and preview all the blockbuster trailers Including the current and upcoming games available at the store.They should also have a kids play area with adult supervision where the customers with children can leave their child to maximize and fully enjoy their ultimate HEM experience. No doubt the stores should amazing displays and lighting to make it look as trendy as possible. rhea customers will surely evaluate the quality of their experience through such proxies. HEM have been around a long time, and they are a familiar name across the globe among masses that refer to the brand as a trusted choice for getting their music, movies and video games.Such broad market coverage ensures HEM stays relevant and all the history that comes with the name itself makes the brand somewhat of a novelty as well; the image of a dog singing into a microphone is something that sticks o the memory over time and all the great artists they have been associated with throughout the past century gives the brand a mark of distinction that stands out among all the labels that operate in their wider business environment. Such a reputation comes with the responsibility to deliver consistently high standards.They must understand the changing nature of a market that is growing exponentially, and in order to appease a wider mass HEM must deliver products that are differentiated, Innovat ive and customized to the customers choice. Use of e-commerce to sell their reduces will negate piracy to a certain extent at least and keeping their name and striking images associated with them out and about in the electronic and print media Nil ensure they continue to be a familiar if not household name in this industry.Recommendations: HEM must avoid any semblance of complacence being communicated to their customer, both old and new, by ensuring their strategies factor in the changing tastes and preferences of the masses over the eras. An attempt to connect with their customers on a more personal level not only bodes well for consolidating brand loyalty, but an astute use of e-commerce for the sale of their products will shut a lot of doors on the piracy industry. Staying in touch with the people that buy their products will help them cater to their customers preferences.Across all the regions Inhere HEM operate, they need to use electronic and print media to make sure they are seen and talked about; word of mouth literally goes a long way. Hams video game merchandise needs to be bolstered; they need to observe the gaming industry more actively and throw their hat in the ring in terms of being one of the principal providers of a diverse range of video games. They must increase their operations on the internet, by making their virtual stores as accessible and relevant as their hysterical stores.