Social Influence on Global Management
• WTO vs. U.S. Marine Mammals Protection
Act – Flipper Seal of Approval
• Starbuck’s Fair Trade Blend
• U.S. MNCs that outsource/off-shore are 21st
century “Benedict Arnolds”
• Access to lower priced drugs from Canada
• Angola bans genetically-modified grain
donated from World Food Program
Hierarchy of External Influences
• Social
• Economic
• Technical
• Global
• Political/Legal
Firm
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Five Forces
Competitor Intelligence
Industry Structure
Strategic Groups
Political/Legal
Social Influencers (Stakeholders)
• Shareholders
• Government
• Financial Community
• Host Community
• Ecological Environment
• Society in General
Firm
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Rivals
Customers
Suppliers
Employees
Managers
Board Members
Social Influence on International Strategy
Acme Inc.
HQ in U.S.
Acme GmbH
WOS in
Germany
Cervesa SA
JV in Mexico
Gang Ped LTD
Contract Supplier
in Thailand
Stakeholder Analysis
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Who are they?
How can they be classified?
How do they exert influence?
What is level of threat [opportunity] ?
Your Examples and Recommendations
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What company/industry?
What are social issues?
How do they impact the company?
Describe issue in greater detail:
– Relevant political, legal, social, ethical, economic, and/or
strategic drivers
• How do issue(s) impact company's strategy,
entry mode, value chain activities, financial
performance, etc.?
• What are YOUR recommendations?