Wednesday, May 28, 2014

How should companies resolve domestic and international issues differently?

How should companies resolve domestic and international issues differently?
A company that is international will come upon issues that involve the company's home office (its domestic origin ) along with issues that will arise in the foreign operations of the company. For this example, the company will be a manufacturer of microwave ovens.
A microwave oven is an "electronic" cooking machine. It relies on proper wiring, microchips and plastic and/or metals. For domestic sales, the domestic standards set for microwave emissions, standards of wiring and safety, for example must follow government requirements. It's easier to iron out any problems in the "final product" in the company's home country because the standards are more likely to be readily understood by the designers of the oven. There is also no language barriers.
For international sales, the standards the oven must meet could be different than the domestic standards. Questions concerning the viability of the oven with regard to its sales abroad need to be resolved by consulting with foreign engineers and with foreign regulatory agencies. There will be a language barrier that must be overcome as well.
All this requires the domestic company to hire as consultants or as regular employees, engineers and designers that are up to date on a foreign nation's requirements for the new microwave oven.


Also, there are other issues that may need to be resolved. For example:

* How strong is demand for microwave ovens in a foreign market; and

* Can the price for consumers in the foreign market be affordable.





No comments:

Post a Comment