GMS 200 Lecture Notes - Lecture 3: Market Entry Strategy, Outsourcing, Foreign Direct Investment

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 200
• Professor: All

Document Summary

Global dimensions of management: globalization: common term searched on google, process of growing interdependence among the components of the global economy, out sourcing: An agency will take care of your product by distributing it to (e. g) walmart, costco etc . Sell your product to foreign customers through: advantages of direct exporting. Can establish and maintain a relationship with foreign customers. Get a larger share of profit, if any: disadvantages of direct exporting. Time and money being spent countlessly to try doing business in this foreign market. Loss in product or loss in transactions: advantages of indirect exporting. Requires limited knowledge of foreign markets: local management in place can handle majority of concerns and issues. The cost of conducting business abroad would cost less: disadvantages of indirect exporting. No opportunity to develop a relationship with foreign customers: the local management in the foreign market is the representative of your business.