There’s no doubt about the benefits this brings us all in business. There is a permanent shift in the domain of knowledge that enables any individual from any country to access large databases of resources and information. What have been the results?

Rise in Competition
This is the single biggest benefit of globalisation all around the world. With enhanced competition from foreign brands and companies, industries of every nation are compelled to improve their standards and quality and customer satisfaction services. This benefits the customers and the economy as a whole, and raises the standard of living of everybody. This could be viewed as a negative impact by many, but no-one can deny the impact it has had.

Rise in Technology and Know How
The rise in knowledge levels of countries as newer cultures and technologies are opened to a particular area are clear, Their knowledge base also grows and expands simultaneously. As a result, they are better able to handle their primary and secondary industries, and this ultimately affects their tertiary sectors in a positive manner as well.

Rise in Opportunities
With a larger number of industries and resources available, the opportunities for people grow exponentially too. There are many more jobs available to people, and more and more people are also exposed to the lucrative benefits of moving abroad. This increases immigration rates as well, thus giving people the chance to grow economically and socially. Whatever your viewpoint of immigration, there is no doubt it has opened up masses of opportunities to millions of people who would otherwise have not seen any improvements

Rise in Investment Levels
The rise in foreign investment in countries helps industries and native cities grow at a rapid pace, and this is something that every nation should be open to since it is a highly beneficial venture for them. There is so much that they can gain in the process as well. Every country now imports more than ever before, so that global growth has shared resources and abilities in a way that we could never have imagined even 50 years ago

Whatever your viewpoints on globalisation, you cannot hold it back and it is offering opportunities that we have never seen before. Only by tapping into the benefits that exist within the global network will nations, industries, companies and individuals learn to grow and nurture each other to everyone’s benefit.

Thanks again

Sean

Sean McPheat
Managing Director
MTD Management Course

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Now, name three dominant food-chains.

And finally, three dominant supermarket chains.

I’m sure you found that exercise easy. And it’s not surprising, because there is a theory that explains how, in every industry, three major players emerge to dominate the market, and the balance is made up by specialist niche players or companies that stand out in different ways.

It’s called The Rule of Three, developed by Professors Jagdish Sheth and Rajendra Sisodia. What their research showed was that three market leaders emerge, surrounded by other smaller niche brands or companies that create a different marketing direction for others to follow, away from the mainstream.

It helps companies to identify whether they want to become part of the ‘big three’, and is useful for strategic and competitive moves carried out by businesses. Companies can determine where they stand in respects to competitors.

There are some limitations to the rule, and in Europe it may be better to consider it appropriately as the Rule of Four, as there are several industries where the competition laws allow more bigger players to take part than in the USA, but it’s an interesting analysis for industries and competitors to think through if they are considering changes and expensions in the way they work.

This is expecially true in developing markets. And, of course, the web has created a different marketing culture. Think about books (Amazon), online auctions (Ebay), search engines (Google). These are prime examples of how single categories can be dominated by one company, allowing others to occupy niche positions.

And other industries are dominated by just two companies (Pepsi and Coke, Duracel and Energiser, Visa and Mastercard are just some examples), so there may be room for other companies there, too.

Who knows what the future will bring in terms of the competition to these dominating businesses in their specific industries? It may be that the Rule of Three (or Four) only applies in a long-term frame. But it’s an interesting concept to consider as the markets change through greater competition from the Far-East, Brazil and Russia, and as the US dominance is threatened in other areas of the world.

Thanks again

Sean McPheat
Managing Director
MTD Management Course

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If you manage teams that are not within meeting distance, how can you keep the morale and momentum going so that they and you produce the best possible results?

1) Firstly, build a foundation of trust with each other: Without the face-t-face contact, trust is vulnerable to breakdown. Virtual and remote team members must know that their mangers trust them to carry out their functions without micro-management, to required standards.

2) Make real time for individuals: Plan real time meetings so everyone knows when they are expected to chip in with ideas and reports. If possible, plan a regular conference call for all team members, or at least those who need specific information. Then plan specific follow-up times to discuss the plans for each individual. They must feel that distance is not an object when it comes to dealing with the boss.

3) Maintain a sense of teamwork: You still need to maintain a sense of camaraderie, commitment and collaboration, even if the team members rarely meet up. Have a specific forum area on your intranet so people can contribute to discussions, and get them to log in at least weekly for catch ups. Everyone needs a forum in which to share problems and acknowledge successes.

4) Increase communication as you increase distance: You have to make even more efforts the further away people are. Think about an e-letter to all far-flung members and get them to contribute. It can be really interesting for people in the US to discover the situations their Far-Eastern colleagues face, and vice-versa.

5) Keep a recognition log of what remote team members are up to, so you can share these successes with everyone. The successful parties will feel honoured that their accomplishments have been beamed around the world.

6) Use technology to reinforce the human contact at work: Consider leaving positive voice-mails on people’s phones when it is their night-time, so that when they wake up in the morning and download it, it gives them an immediate lift. When you praise someone by email, call them first to tell them and copy the email in to their colleagues, so all can share in the acknowledgment. Use the intranet to keep in contact with the remote teams. These are systems that can be accessed anytime, and will keep people up-to-date with new ideas and articles that can be downloaded. Share any items that have impressed you with your remote teams…it will keep them involved and you can mention them at your next conference call.

Remember to keep the momentum of communication going, regularly ‘meeting up’ so they feel involved. And remember that virtual rewards must be tailored to virtual employees who don’t have the extra job perks that people in the ‘home’ country might enjoy.

Thanks again

Sean

Sean McPheat
Managing Director
MTD Management Course

Click below for a:
FREE email course “Improve Your Management Skills”

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In order to be an effective manager its important for you to understand the dynamic of the international workplace. A company may call itself “international” but that could mean one of many things. Let’s take a look at the differences between them.

First we have domestic businesses. Domestic businesses are generally located in one country only and obtain all of their resources from that same country. Examples of domestic businesses are banks, mortgage companies, and small retail chains.

International companies are becoming larger in number and represent organisations that have their main offices in one country but at the same time finds its resources or makes a large percentage of its sales in another country (or in several others).This company will earn most of its revenue from its main country or origin but will earn a significant percentage (even if only 10%) from selling in other countries.

Multinational companies, also known as MNCs or multinational corporations, have a much wider global reach. The company’s home offices may be based in one country but the organisation will have several other administrative and manufacturing offices located in several countries around the world. Many of today’s modern car companies have locations in several countries, making it easier for them to make and sell their cars to a global market while making sure they’re tailored to the needs of each demographic location.

Last, but certainly not least, are global businesses. Global businesses tend to operate in several countries but never really claim one as being “home.” Some companies, like energy companies, may find it possible to operate without claiming one country or another as home but in reality it is very difficult to operate in this manner.

So what type of company do you work for? I’d venture to guess you work for one of the first three- most likely one of the first two. Do you think there are advantages or disadvantages to companies attempting to spread their wings internationally?

Thanks again,
Sean

Sean McPheat
Managing Director
MTD Manager Training

Click below for a:
FREE email course “Improve Your Management Skills”