International management Essay Example | Topics and Well Written Essays - 2500 words

International management - Essay Example................................... 13 1. installation It is often said that international companies which have become tools for globalization have made the serviceman a marketplace where peoples and countries have no recourse merely to buy what they do not want to buy. planetaryization, despite its many setbacks, has also positive benefits. Due to globalization national borders are not very of the essence(predicate) now, and there is the interconnectedness of organizations and product linees, while countries focus more on deregulation, privatization and liberalization of industries, and the importance of populace markets. Global firms have the whole world as its market field that they outhouse offer a roomy array of products and services - firms keep growing while others downsize or rightsize. One aspect of globalization is that firms can assign departmental functions, such as marketing, finance, operations, human resource managemen t, and accounting to other firms this is known as outsourcing. Global firms use many different structural forms in dealing with globalization. They can use the flat construction which is made easier with the availability of the internet and Information Technology. It is still possible with the old structure, i.e., the vertical structure where the top echelon of the organization can dictate or take hold of the reins of business even if they are in the other side of the world. Whether we see this as positive or negative, globalization has change the world in terms of commerce and trade and how we see the world in different perspectives. After the world economic downturn, some of Europes giant firms have continued to keep watch the playacting arena of businesses in terms of acquisitions and mergers. They have turned their eyes on the rising markets of China, India and other countries of Asia. This is because these emerging markets survived and made remarkable steps during the fina ncial crisis. And this is virtuoso of the reasons why Bernard Arnault, who is believed to be Europes wealthiest man, has shifted business focus to Asia, particularly the emerging markets of China and India. Combine these two countries in terms of population, you have about one third of the worlds peoples who have the urge and the motivation to buy consumer products. In China, particularly Shanghai, the motivation is on luxury products, which is why Bernard Arnault has his own ambassador there in the person of tin Galliano. Arnault has made business trips using his private jet to wherever he wants to promote the latest of his consider bags and perfumes. He has made instant visits to places as far as Morocco not only to promote but to measure how much profits the company has earned there. 2. Background of Bernard Arnault and LVMH Bernard Arnault is not only Europes wealthiest businessman with an estimated worth of $39 billion, he is a multi-talented and product-oriented artist. He has acquired brands from bags to perfume and has made corporate acquisitions one after another. He describes his quest for perfection as a duality which should be reinforced without delay with timelessness and utmost modernity. His desire to acquire businesses is not only motivated by monetary resource but by his dream to infuse art on commerce (or commerce on art). And he is doing this because he believes he is doing it for France and the people who patronize LVMH. His modernity and art includes a collection of modern and present-day(a) art which will soon be housed in a grand museum designed by free-spoken Gehry, which Arnault has