Fujitsu

International strategic management and its concepts can be evidenced by Fujitsu website. The site provides a clear view of the company’s international branches under each continent. It is a show of international expansion strategy that the company has adopted so as to reach widespread markets across the globe. The maps of some of its locations show that the company pursues international expansion with an aim of expanding its market reach. The company definitely makes strategic plans and processes for developing its international growth.  The site also has pages linking directly to specific branches such as Fujitsu South Africa (Fujitsu, 2013).

The company has so far sought expansion and growth through geographical expansion, which has created branches of the company all over the globe (Fujitsu, 2013).  In a bid to increase its effectiveness, it may be necessary for Fujitsu to clear-cut its operations and develop new market segments or at least make them into specialized operation centers so as to delineate Fujitsu’s product lines in term of specialized business. Narrowing down the product lines of what it offers will increase specialization, which may in turn promote better growth. Additionally, it will be more manageable to handle one product or service-line rather than bundling all its products under one umbrella. Such specialization will increase the company’s potential to comprehensively understand the operations of each business under it.

Unlike America and some parts of Europe, a number of countries where Fujitsu has opened its branches are politically and economically unstable. If the company has operations in these unstable places, then it is highly likely that in-case of instability the company may lose greatly in terms of manpower and even assets. The will lose be magnified because Fujitsu fully owns such branches of its operations. This structure puts full responsibility on the hands of the company, which will bear all the risk. However, it should be noted that such unstable nations can still provide a good market for the company, but at a higher risk, which may devastate the company if the potential risk come to pass. In order to overcome a negative possibility, it would wise for the company offer franchises to business partners wishing to sell Fujitsu’s product (British Franchise Association, 2013). Making franchises will significantly cut down the risk that the company bears at the moment. In turn, the company can enjoy parts of sales’ profits through royalties while still steering from the possible risk (British Franchise Association, 2013).

 

References

British Franchise Association (2013). Advantages and disadvantages of franchising. Retrieved from http://www.thebfa.org/join-a-franchise/advantages-and-disadvantages-of-franchising

Fujitsu (2013). About Fujitsu. Retrieved from http://www.fujitsu.com/za/about/index.html

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