1. Did Holden choose to standardize or adapt their business procedures when they went global? “Local adaptation modifies its standard operating procedures to adapt to differences in foreign customers, governments, and regulatory agencies,” (Williams, 2014, p. 161. Holden chooses to adapt their business procedures when they went global. Being a global commercial enterprise requires a correspondence between global consistency and local adaptation. Holden chose to maintain consistency because it simplified decisions and paperwork especially when it came to shipping their products. Not only by standardization it allowed them more control over their merchandise as well as ensuring that all of their merchandise arrived at the same time. 2. Identify the form of global business Holden choose when organizing their company to do business globally. What are the benefits of this strategy? There are four stages of global business, “domestic, international, …show more content…
The manager of Holden’s had to coordinate with twelve different shipping companies. Having the twelve different shipping companies required a lot of paperwork which in turn utilized an abundance of resources. Thus, their garment pieces often failed to come together at the same time, producing long delays for the consumer. Over time, managers found ways to consolidate overseas shipping into a more achievable and effective manner. In addition, Holden’s managers faced significant challenges in the economic, legal, political, and sociocultural environment., which was a concern also. When operating business operations internationally, managers can expect to encounter difficulties related to addressing communication and cultural barriers, diversity, poor infrastructure, government takeovers, tariffs, and even globalization