Question

Assignment 2: Leadership Strategies Presentation

Directions:

Taking on the role of a CEO, develop a PowerPoint presentation of approximately 15 slides that explains how you would adapt the Western leadership strategies of either Heifetz and Linsky or Drucker in your approach to managing an international organization on the brink of structural change and expansion. One of your main goals will be to motivate and communicate a vision while connecting to the firm’s mission for all stakeholders, including your Board of Directors. A brief profile of the organization is as follows:

The company is a manufacturing firm with annual earnings in excess of $350 million.

It is headquartered in the United States, has two branches in the United Kingdom, and one expansion branch set to open in China.

A new branch will provide more innovative technologies to infuse the firm’s declining market share while also presenting cultural management and organizational integration challenges.

Your presentation should contain the following components:

Identification of your chosen leadership philosophy with justification of your choice.

Using Porter’s Five Forces as a strategic guide, please explain how you will approach Foreign Direct Investment and Financial Risk Assessment.

Complete a Financial Risk Assessment for acquiring the new technology company by identification and explanation of at least four risks which could impact your organization.

Identification and explanation of the key internal structures (at least 3) that will be designed to enhance the culture within your organization

Explanation of how projected global and market trends over the next 10-15 years will impact your company’s ability to maintain a competitive advantage.

Answer 1

Answer ) The firm’s declining market share is one of the most vital problem in the existing market for the company. A proposed new branch in new geographical region can be a solution for the problem . As a manager of the company will not only provide a new market for company but also some new innovative technologies from new market will improve the domestic share.

Under the concept of Porter’s Five Forces model a strategy has been designed to select new market for the company. This is the correct time for company to diversify a new market like china , as by dint of falling market share company still have a sizeable excess revenue of $ 350 million .

• Competitive Rivalry. This looks at the number and strength of your competitors. China can be a new market for such type of products , either very few or no domeatic company is involve in trading of such products .
• Supplier Power .Although company has its own manufacturing facility in USA , but as obivious China can be a best place for cheaper place to start a new factory with suitable suppliers .
• Buyer Power. As there is no supplier of such products in China market so company is in better situation to decide a high margin selling price in the market .
• Threat of Substitution None of the domestic company in China is suppling such product
• Threat of New Entry. China is very suitable place to start a new office with less threat for new global company

The company can operate in China as representative office , Franchisee method or subsidiary mode.Under representative office pattern , company will open only office and sell their product there by importing from parent country . Under Franchisee method ,company will hire some local firm with profit sharing method. Under Subsidiary method , company will open a new firm registered in China for its trading activity.

China is one of the grwoing economy on the globe with very high consumption rate . The economy growth can be continue for next 10-15 years . India and other Asian countries can be a good target for company in future for growth of business.

Global diversification always have some risk ;risk of foreign exchange , risk of politics , risk of slow down in economy ,demographic risk etc.