Introduction to Global Business Management.edited.edited

Introduction to Global Business Management
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Abstract
International business has grown over the years into a lucrative expansionary strategy for businesses hence becoming a critical segment of the World’s economy. As such, more and more companies have ventured their operations into global production. Like any other business strategy, global production presents advantages and disadvantages almost in equal measure. Global production may open up opportunities to venture into new markets hence offering efficiency and an advantage on the product lifecycle management. It may also come with disadvantages such as microeconomic risk and operational risk. This paper assesses the essentials of international business with a focus on the strategies and controls. Also, it reviews the aspects of a successful expatriate; who are characteristic of international business. Moreover, it will outline the major categories of international markets and factors that influence the choice of the international market segments. Finally, this paper will highlight the critical issue of organizations using private Google search history for purposes of marketing.
Key Words: International Business, market segments, expatriates, global production, international marketing.
In this course, I have been able to learn all matters surrounding international businesses. In the current economy that is supported by huge technological advancements, many companies have opted to venture into global production.

Global production provides efficiency since it enables an organization to maximize the economies of scale. By selling a large quantity of goods worldwide, global businesses can source its raw materials at low prices hence save on costs and increase the profit margin. Besides that, global production enables efficiency in managing the product lifecycle through market differentiation and price discrimination. Companies such as Coca-Cola and Apple have enjoyed this strategy. However, global production has a downside since the product may not be accepted in some markets due to cultural differences. Also, operational risks which accrue from changes in laws and regulations in different countries may negatively impact business (Rugman & Verbeke, 2017).
Secondly, I learnt the different market segments and categories in the international market. Foreign markets occur outside the boundaries of the country base of a company. These international markets can be groups into developed, emerging, and underdeveloped markets. Developed markets include the USA, Germany, and Japan. Nigeria is a perfect example of an emerging market. Whereas, countries in the sub-Saharan region that present low-profit turnouts make up the group of underdeveloped markets. Companies utilize these market segments to practice product differentiation in building their product lifecycle.
Another important aspect of international business is the factor of global human resource management. Outsourcing involves the use of third parties in production in other countries whereas offshoring involves conducting production in other countries using expatriates and the resources from the mother company (Rugman & Verbeke, 2017). In my opinion, offshoring is more advantageous to the company due to the use of skilled labor from the company hence cutting on cost and the efficiency of maintaining the business culture of the mother company.
Finally, I believe that the act of organizations utilizing personal Google search history for online marketing purposes is unethical. Although it provides an advantage towards accuracy in meeting the marketing needs of clients, in an event where a customer files judges on copyright infringement, defamation of content, and infringement of freedom of privacy; it may ruin the reputation of the company and result in major financial loses.
References
Rugman, A., & Verbeke, A. (2017). Global corporate strategy and trade policy. Routledge.