Description

Overview This project will help you achieve the following learning outcomes: Explain the strategic reasons for an organization to engage in global business. Summarize the steps in developing a global business strategy. Compare functional strategies for domestic and international markets. Recognize demographic, geographic, and socioeconomic factors driving purchase decisions in different countries. Point Value: 100 points Min. Required Score:80% Allowed Attempts: 2 Grading Time: 3 days Directions In this project, you will conduct research on strategic manufacturing of an individually selected product. The product should be 1) simple, to assure project completion within the allotted time, and 2) currently manufactured outside of the United States. The objective of the project is to come up with a recommendation as to whether or not manufacturing of this product should be brought back to the United States. Analyze the process originally used by the company to outsource the manufacturing task. Explore why and how the company engaged in global business and analyze factors, such as price and quality, leading consumers in the U.S. and in the current country of manufacture to a purchase decision. Common strategic reasons for outsourcing include lower costs of inputs, including the cost of labor, lax regulations regarding sustainability and environmental protection, preferential treatment for tax purposes (tax holidays), and improved access to local markets. In completing the project you will discuss the impact of the decision to go global on an organization’s functions. Requirements The project consists of a written analysis of at least 10 pages prepared for an executive. The report should include a comprehensive analysis of the domestic and foreign manufacturing options for the product. The analysis should be supported by tables, charts, or graphs generated based on appropriate data sources. Steps to Complete This Project Select a product that is currently being imported to the United States that could possibly be manufactured here. Visit a local Wal-Mart, Lowes, or Home Depot store to identify a suitable product. Sample products appropriate for this analysis include a dress hanger, a toilet plunger, a hammer, a spade, or any simple tool. Provide a short background of the company that currently manufactures and distributes this product in the U.S. Summarize the steps used by the organization to develop its global strategy. Identify and analyze strategic reasons for this company to engage in international business (i.e., establish why manufacturing of the selected product has been outsourced). Was the decision to outsource based on complete information, or was it based on a few key factors such as lower labor and energy costs? You might find the learning resources listed on the project page helpful.   Discuss market factors, such as price and quality, leading consumers in the U.S. and in the current country of manufacture to a purchase decision. Include a discussion of demographic, geographic, and socioeconomic factors driving purchase decisions in different countries. Discuss the impact of the decision to engage in international business on the organization’s functions. Include the following factors: Organizational structure implications (decision-making decentralization) Human resource management issues Financial and tax implications Transportation and logistic issues Culture issues Calculate the Total Cost of Ownership (TCO) for the selected product. Establish an account at http://www.reshorenow.org/TCO_Estimator.cfm (Links to an external site.) . Conclude the analysis with a recommendation section providing the executive with a clear go or no-go recommendation on re-shoring. Format 10-pages, double-spaced 12-point, Times New Roman font 1” margins Evaluation A rubric for this assignment is located below the instructions. SUBMISSION  You are encouraged to submit assessments as you complete them. Feedback provided by your instructor is often helpful as you complete future assessments. Please know, if you choose to submit multiple assessments at the same time, you may experience a delay in grading turnaround time. Rubric Project: Part I – Strategic Reasons for Doing Business Globally Rubric Project: Part I – Strategic Reasons for Doing Business Globally Rubric Criteria Ratings Pts This criterion is linked to a Learning OutcomeIdentified a simple product currently manufactured abroad that could possibly be manufactured in the U.S. 5.0 pts Completely Meets Expectations A simple product is identified. 0.0 pts Does Not Meet Expectations A simple product is not identified. 0.0 pts Partially Meets Expectations A simple product is not identified. 5.0 pts This criterion is linked to a Learning OutcomeSummarized the steps used by the manufacturer and distributor of this product to develop its global strategy 10.0 pts Completely Meets Expectations The steps used to develop global strategy are comprehensively discussed. 8.0 pts Partially Meets Expectations The steps used to develop global strategy are partially discussed. 6.0 pts Does Not Meet Expectations The steps used to develop global strategy are discussed to a minimal level or not discussed at all. 10.0 pts This criterion is linked to a Learning OutcomeAnalyzed strategic reasons to engage in global business 15.0 pts Completely Meets Expectations The strategic reasons for outsourcing are comprehensively analyzed. 12.0 pts Partially Meets Expectations The majority of the strategic reasons for outsourcing are analyzed OR the strategic reasons for outsourcing are partially analyzed. 10.0 pts Does Not Meet Expectations The strategic reasons for outsourcing are analyzed to a minimal level or not analyzed at all. 15.0 pts This criterion is linked to a Learning OutcomeDiscussed market factors leading consumers in the U.S. and in the current country of manufacture to a purchase decision 15.0 pts Completely Meets Expectations Factors leading consumers in two countries (U.S. and one other) to a purchase decision are comprehensively discussed on the 3 dimensions. 12.0 pts Partially Meets Expectations Factors leading consumers in two countries (U.S. and one other) to a purchase decision are sufficientlydiscussed OR the factors are discussed only for one country OR only 2 dimensions are included. 10.0 pts Does Not Meet Expectations Factors leading consumers in two countries (U.S. and one other) to a purchase decision are superficiallydiscussed OR only 1 dimension is included. 15.0 pts This criterion is linked to a Learning OutcomeDiscussed the impact of the decision to engage in international business on the organization’s functions 15.0 pts Completely Meets Expectations Impact of the decision to engage in international business on the organizations functions is comprehensively discussed using all 5 factors. 12.0 pts Partially Meets Expectations Impact of the decision to engage in international business on the organizations functions is partially discussed OR at least 4 factors are used. 10.0 pts Does Not Meet Expectations Impact of the decision to engage in international business on the organizations functions is superficially discussed OR is discussed using fewer than 4 factors. 15.0 pts This criterion is linked to a Learning OutcomeCalculated the Total Cost of Ownership (TCO) for the selected product 25.0 pts Completely Meets Expectations TCO estimator is fully utilized. 21.0 pts Partially Meets Expectations TCO estimator is partially utilized. 19.0 pts Does Not Meet Expectations TCO estimator is utilized to a minimal level or not utilized at all. 25.0 pts This criterion is linked to a Learning OutcomeProvided recommendations 15.0 pts Completely Meets Expectations Comprehensive recommendations are provided. 12.0 pts Partially Meets Expectations Sufficient recommendations are provided. 10.0 pts Does Not Meet Expectations Minimal recommendations are provided or no recommendations are provided. 15.0 pts  This criterion is linked to a Learning OutcomeGBUS_01 Explain the strategic reasons for doing business globally.  threshold: 3.0 pts 5.0 pts Mastery with Distinction 3.0 pts Mastery 0.0 pts Not Yet Mastered —  Total Points: 100.0