Question

For an organization to be successful, its leaders must be fully aware of their environment. What are the primary internal and external organizational considerations for the development of a global strategic plan? In your opinion, which 3 considerations have the most impact and why?

Share your response in a minimum of 175 words.

Answer 1

Some of the primary internal factors are:

• Availability of skilled resources
• Weaknesses of the organisation
• Core competency of the organisation
• Employee loyalty also plays a major role.

Some of the primary external factors are:

• Tax rules and regulations
• Legal implications
• Economic condition
• Social considerations and demographics of the global environment

In my opinion I strongly feel that the below 3 considerations play a major role and has the most impact as far as global strategic plans are concerned:

• Tax rules and regulations (legal considerations are included many a times in this) because if the company is planning to go global then it becomes very necessary to study the tax laws there and all the legal complications as far as the import laws are concerned.
• Core competency of the organisation so that the company can capitalise on it, as it is going global it has to put its best foot forward and gaining the trust of the customer by showing the best product they have and their core competency would make it easy for them to settle there.
• Economic condition relates to the paying capacity and business setting cost in a global environment.