Select and study an ASEAN company which has to experience international management related challenges in a developing country/countries, such as understanding the local environment and matching its existing strategies/policies to local expectations, cross-cultural communication issues, cross-cultural/social differences, workplace diversity, Human Resource issues, and other international management issues.
Your task is to write an essay which answers the following 4 (FOUR) questions:
1. What are the specific issues that the case company faced?
2. The reasons: why is the company experiencing those problems?
3. What are the responses of different stakeholders to problems in the host country/countries?
4. As an expert in international management, provide the best solution to challenges that the company is facing.
Please draw on relevant theories or models introduced in the textbook to help you analyse the causes of the problems.
Answer:
SingTel is an multinational Singapore based telecommunication company which has well established in many nations and acquired reasonable shares in the global market. This is the largest mobile operator in the home nation i.e. Singapore nation. It has great presence in Australia, India and other large nations. It has around 640 millions of customers using their telecommunication services. Its headquarter is at Singapore ( 31, Exeter Rd). It serves the market of Asia, Australia and Africa regions.
Key issues faced by Singtel in their international market business are that they face low profit in their initial time and they managed the operations with low profit and then emerged as stronger player in the global market. Technological issues were also big challenges for Singtel. They faced issues in digital technology adaptation in global market. Later Singtel managed the digital technology for their business. Strategic management was lacking in Singtel company later they experienced strategic management and then they embraced it adequately. Another key issue they faced is the natural disaster impact to their business like T-sunami and it impacted the business significantly in their region of operations. Similarly they face many issues in their global operations but they manged slowly and overcome form those issues.
The company experiencing those issues because of lack of expertise and awareness of the global market. The lower profit is mainly due to lack of global market experience and how to remain profitability in the global market. Thus with time they understand and overcome from this issues. Technology awareness and necessity is experienced at global operations, as they were easily managing their local business with their existing technologies.
The responses of different stakeholders to problems in the host country/countries is that they were knowing that this are the problems expected as part of the learning curve and after exposure to the global market, they will learn it and will manage the show effectively. Thus the stakeholders were positive and confident that the company will emerge stronger form these problem and will manage the problems adequately.
As an expert in international management, we provide the best solution to challenges that the company is facing is that company needs to have adequate research of the target market so that they can get better understanding and can compare their strength with the requirements on the target market. They can perform the PESTEL analysis, SWOT analysis, cultural impacts, customer paying capacities, legal frameworks, market competition etc so that they can analyze the market suitably and expand their business properly.
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