Expansion into a new territory is not an easy decision to make. Moreover, various factors and principles need to be taken into consideration before a decision is made.
Also, it is important to determine the proper plan of action to effectively achieve the goal being set. Since there are numerous choices to each scenario, each choice must be clearly evaluated. All the accompanying factors need to be defined and characterized in relation to the dilemma or situation at hand.Thus, the concept of critical thinking is of great value to decision-makers especially when they are engaged in a decision that may greatly affect the business.
Globe Trotting Corporation is set to embark on a new phase in their business. Expanding into a new country can either mean growth or stagnation for the company. The success or failure of the move is greatly dependent on the analysis of the situation at hand. Critical thinking must be used in order to effectively evaluate the alternatives that Globe Trotting Corporation may decide on.
The primary decision that needs to be made is on how to expand Globe Trotting Corporation into Kava. There are several alternatives to the said scenario. At the same time, there are various considerations or assumptions that play into the decision. One alternative is to enter Kava with concentration on providing services to the youth. Since GT Corp wants to expand into Kava and at the same time promulgate and act on the company’s mission of social responsibility, GT Corp can open up a school or educational institution in the country.
Moreover, since business management is where GT Corp. excels in, a business school will be a perfect alternative for the company. Such move will allow GT Corp to maintain their for-profit stance and at the same time, give back service to the Kava society. Education is a necessity for the youth of Kava.
Thus, opening a business school is a good choice for the company to help the people of Kava to achieve greater progress and personal growth. Moreover, GT Corp can turn to the school for workforce expansion.Since the students of the school will be trained in business with the company’s mindset, it will be easier for GT Corp to employ the graduates of the school in its various business endeavors. Another alternative for Globe Trotting Corporation is to open up a manufacturing plant in Kava.
The production will utilize the various abundant natural resources that the country has in its midst. This move will generate greater profit for the company due to several reasons. First, the cost of labor in Kava is relatively lower than other countries.This would mean lower production costs for the company which, in turn, will mean greater profit for GT Corp. Second, Kava is abundant in natural resources that the company may choose to utilize. Since GT Corp enjoys the support of the Kava government, it will be easier to gain access to the natural resources in the country.
In exchange for such, GT Corp can opt to provide free training and assistance to the government of Kava on how to restructure the organization in such a way that government will be more efficient and effective in delivering services to the people.This move will be an apt demonstration of the social responsibility that GT Corp has. In both cases, GT Corp must assume that natural disasters are bound to hit Kava while they do business in the country. This is an important assumption to consider because being unprepared for natural disasters may mean great losses for the company.
Thus, based on such assumption, Globe Trotting Corporation must ensure that contingency plans are made in the event that natural disasters do hit the country.Such alternatives were reached by using several critical thinking tools. The two primary critical thinking tools that were utilized are SWOT analysis and force field analysis. SWOT analysis was used to determine the strengths and weaknesses of the company.
At the same time, it was utilized to determine the emerging opportunities and threats in the Kava market. Completing the SWOT analysis required GT Corp to evaluate its strengths and weaknesses and how to take advantage of the former and to improve the latter.Also, the analysis was used to ascertain how the strengths of the company maybe exploited in the plans to expand to Kava. How can they materialize in the expansion plans? How will they affect the plan? Also, the SWOT analysis was helpful in establishing the areas where GT Corp can do business based on the strengths it possesses. For instance, through the SWOT analysis, the company was able to ascertain that its strength in business management can be used in helping the youth of Kava by opening a business school in the country.
Also, it was through the SWOT analysis that GT Corp saw the urgency of including contingency plans in the planning of the expansion as natural disasters pose a large threat in the country. The other critical thinking tool that was utilized was the force field analysis. This tool was used to weigh the forces that were supportive or for each of the alternative decisions against the forces that were opposed to the alternatives. Basically, the company evaluated the situation and identified the factors that were favorable to each alternative and those that were detrimental to each decision.
Then, the management and strategic planners identified the extent by which the said forces affected the decision. From there, the decision that generated a greater positive score was chosen. With the use of both critical thinking tools, Globe Trotting Corporation reached the decision to open up a business school in Kava. Such decision was determine to be the most effective in terms of ensuring that the company makes profit in the country and at the same time abide by its belief in social responsibility.
The management saw the idea of a business school as the best alternative since it was the most cost efficient means of doing business in Kava. More importantly, it was the best way to give back to the people of Kava since education of the youth of the country is a necessity in the country. Upon weighing the forces for and against the move, it was evident that there were more forces that were in favor of the said alternative. The decision was reached upon considering several assumptions. One major assumption is that education is vital to the greater development of Kava.
Moreover, GT Corp perceived that it is through education that the people of Kava will benefit the most from the presence of GT Corp in their country. Upon analysis of the factors surrounding the decision, GT Corp saw a great opportunity in the decision since the decision was the alternative that allowed GT Corp to maximize its strengths and at the same time give back to the people of the country. This was the primary goal of GT Corp’s expansion plans and putting up a business school was the best alternative to achieving such goals.
