Provide a 2 pages analysis while answering the following question: Operations Management In Dynamic Business Systems. Prepare this assignment according to the guidelines found in the APA Style Guide. An abstract is required. Operations Management Why are international issues now important in operations management Give an example In the clichd ‘global village’ we livein, there is no system that can survive in isolation. Especially when considering a business system, which is integrally dynamic and constantly evolving. Both national as well as international issues have a very strong bearing on the direction of the operations management in a business. In particular, when considering the work of Multi National Corporations, one cannot stay oblivious of the circumstances that are prevalent globally, as the entire world stands as their domestic customer.
The economic risks due to international issues can primarily include risks of: cancellation or non-renewal of trade licenses, conflict and political unrest, confiscation of the importer’s assets, imposition of unforeseen import bans, imposition of exchange controls, and surrendering of political sovereignty by the host country. All these are issues that would be beyond the controllable limits of the parent company, thereby making the business operations vulnerable to the ever-changing international scenario.
A good example here would be of the current banning of online gambling in the US due to passing of new legislature by the Congress. This law inhibits the payments from banks and credit cards to be made to gambling sites and punters. Now sites based in other countries would be gravely affected by this drastic change in their operations, while incidentally, they have no control over the circumstances. Though there are strong rumors that international site owners paid millions of dollars to Washington lobbyists to get this stopped, yet the inevitable happened. Hence, this issue single handedly has changed the direction of the future of many sites.
2. What are the ways you would determine the demand of your firm’s new convertible roadster
The basic element of economics being at the forefront always, one would go by the notion of demand and supply. However, being novel product, even though a dire need for the product may not be there, yet the demand for it would have to be created. And the crucial word here is ‘customer’. A convertible roadster is not something that would have a potential buyer everywhere. This requires a certain niche of buyers, with a certain amount of style and balance in their accounts to accomplish the needful.
The first step is to engage the existing customers of the company. If the buyer has used one product of the company and is seemingly satisfied, there is every probability that he can be allured into another one. The database for the current clients shall be very important. Then, based on the features of the roadster, a market sample would be acquired as to who can be the future lot with possible interest in the product. That area of the population would then be targeted by means of conventional marketing tools involving print and electronic media. It is important to create the demand, that the necessity and difference of the new product be highlighted to the maximum.
Perhaps the most important venture would be getting involved in a one-to-one method of communication with the customer. One the target areas has been established, then the sales and marketing people, using methods of emails, telephones, letters and even workshops, would endeavor to convince the potential customer in a personalized and customized way, making them feel that this product was created in the first place for their convenience. The moment a client starts to feel special, the product is half sold. This also covers the credibility, reliability and after sales issues for the customer if initially, they are being approached as someone special.