Global Analysis & Conclusion, Essay Example

An understanding of the global economy allowed my organization, Dynamic, to outcompete other shoe companies in the region. Ultimately, our strategic plan was to assess the exchange rates in different countries and to capitalize on the funds available in different regions. To ensure profitability, our company chose to forgo the use of “green” footwear materials, therefore allowing for a more significant net income. However, energy efficiency initiatives were put in place, not because this would enhance the company’s image, but because this would save the organization funds. Workforce diversity and ethics were emphasized in the company’s vision, contributing to greater respect for the organization across the world.

Ultimately, the decisions that the organization made were focused on potential profit. Trade was avoided when countries were experiencing economic difficulties, and instead, trade was focused exclusively in the regions in which profit could be made. Furthermore, efforts were made to minimize transportation costs. A balance between economic stability of trade partners and costs of transportation were determined and business deals that would prevent reasonable income were avoided. To minimize costs, the product offered to consumers in each region were relatively similar. However, the availability of products was more prevalent in areas with better economic stability. Incidentally, these areas were also those with the greatest demand for these footwear products. Thus, Dynamic’s primary strategy was to command the footwear market in regions that had the highest demand for these products and to avoid areas with low demand, high transportation costs, and economic instability. It is valuable to consider the importance of supply and demand as a tenet of worldwide trade to ensure that the most profitable deals are made.