Global expansion essay

The advantage of being the first mover gives the opportunity to gain control. Which could bring great success and also the risk to fail.

Both companies had the first mover advantage over other companies, Both were capable of expanding their busniness and achiving customer satisfaction. Not with the same level of achievement but both are still standing firm. 2. The difference is that for service company they must provide customer satisfaction and for a manufacturing company they must provide product satisfaction.

To achieve global success a service company must have a good communication with their customers by having well trained employees. The element is having excellent customer service. An obstable to global expansion is the high competition. 3.

The merits of having its own staff spread around the world consist of providing the customer quality service. Meaning the importance of making sure the customers feel secure of sending their items with a “ local” office and communicating with their native people bulding strong relationships. The drawbacks of the International staffing is the earlier traditions in many countries. 4.

I think DHL decrease in bussiness because of their merger with Airborne Express in 2003. I think the dangers of being the first movers made them ambitious of becoming better and lead them to a wrong investment 1. Yes because DHL gets to have more business with boeing than others because they are ranked first and their were there first. Boeing gets to make a lot of planes and other transportations that go internationally that DHL would get more because they were first and better. Since they are ranked so high and were there first, people will see that they do good business and will choose them over other countries. 2.

Service companies try to focus on the service quality, developing strategies such as hiring staff in the countries it operates which makes clients develop a stronger relationship with that company. Manufacturing compaines focuse on the quality and quantity and how many products of goods they can make while making sure they perform good. The elements that a company needs to have global success is knowing the culture of the countries that they are going to do business with and sending the right workers to the countries they will do best in to do business. The obstacles for global expansion would be like not finding good supporting countries like a company like boeing and now finding good staff that can do business in a certain country. . They want to build relationships between other countries and their customers is a good thing.

Another good thing is that they want to hire people in that country and place that know it better and have lived there because they would know where everything is and who lives there and needs what. Some bad things though is since they have so many staff workers across the world that those business could be inefficient and they could lose their relationship with the people and places and even countries. Then DHL could start losing their high ranked reputation and lose a lot of business with customers and other types of companies such as boeing and then they could even go bankrupt or out of business for good. 4. DHL failed in the U. S.

because of the Airborne Express, which they paid $1 billion for and ever since it has been making them lose money. The dangers are that other companies are going to be looking at them more and waiting for them to mess up so that they can step in and try to take over there business. . You have too much to do with too few resources. You therefore focus on specific target markets, on your most important products or services, and on your most productive sales and marketing activities. Developing Your Strategy •Focus on selected target markets.

•Focus on selected target market needs and selected product or service offerings. •Focus on your company’s strengths. Play toward your strengths and away from your weaknesses and take advantage of the opportunities ahead.