Global Business Plan: Thailand Operations, Research Paper Example

Operations Plan

The operations plan includes the mode of entry; as it was established above, this would be through exports and technology. The Thailand market for technology is very open for foreign investors as it is not one of its strongest markets (Kohpaiboon, 2010). This gives us the opportunity to penetrate the market and offer such technologies which are not available in Thailand; these technologies would benefit their operations and ways of handling business. The proposed firm must establish competitive advantage within the foreign market. Enhancing productivity through technology upgrading is a main key driver in economic growth; developing countries have relied on imported technology through foreign direct investments. The host country can associate inflows of this foreign direct investment (FDI) with a variety of benefits for their economy; the most common one seen are transfers of modern technology and more competitive market products (Kohpaiboon, 2010). However, the most frequently observed policy which may restrict this is the number of foreign firms already in Thailand as well as the extent of foreign ownership which is allowed (The Nation, 2010). This may come as a problem seeing that Thailand is considered one of the strictest countries when it comes to foreign ownership, according to a report filed by the World Bank (The Nation, 2010).

The mission and objectives of the company will revolve around benefiting the Thai market through globalization and the advancement of foreign technologies which the United States can offer. This can be done through the implementation of American business operational procedures and the training of Thai employees. Organizational structure will define the hierarchy in running the firm; however before this is implemented proper training will be needed (Kohpaiboon, 2010). The organizational structure of the firm will follow a matrix structure which will group employees according to their function and the product. This will reflect on their knowledge and maybe experience in the technological field, if any. Training will come as more costly, although this can be seen as a valuable investment since returns will be optimal. There are certain cross cultural bounds in how South East Asian culture may come into conflict with the American standard of running a business (Kohpaiboon, 2010). This is in terms of piracy in technology and software replication. Studies have shown that perceptions regarding the use of unlicensed software is important in the United States, and there are very strict rules when it comes to piracy and the patent of products; however in reference to the Thai market, these beliefs may not be held as valuable in comparison to the United States (Kohpaiboon, 2010). This might come as a problem when introducing new technologies to the country.

Marketing Plan

The marketing plan of the firm will directly fulfill the mission of the company, which is to revolve around the benefiting of the Thai market through globalization and technology. This will be presented in an economically as well as environmentally friendly way of running business. The obstacles which are needed to be tackled are the perspectives of Thai business men on foreign investors (Kohpaiboon, 2010). A concise review of the Thai market is needed as well as their current marketing activities. Since technology is not as prominent in Thailand, and they still depend largely on foreign imports, this can be a strategy to market the business for embittering the Thai market and deepening its ties with foreign investors.

References

The Nation (2010). Thailand among the most restrictive for foreign ownership. World Bank. Retreived from http://www.nationmultimedia.com/home/2010/07/09/business/Thailand-among-most-restrictive-for-foreign-owners-30133391.html

Kohpaiboon, A. (2010). Foreign direct investment and Technology Spillover: A cross-industry Analysis of Thai Manufacturing. World Development. 14(24).