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Disruptive technologyA technology may be of sustaining nature or a disruptive nature whereby a sustaining one results to further increment in technology upon an already existing technological innovation. A disruptive one is usually detrimental to the old technology usually displacing it, with consequential performance problems and devoid of refinement. Its application is limited in scope to its recipients and lacks the potential of reinforcing the current goals and aspirations of the society. The strategy of this technological innovation is more disruptive rather than revolutionary. The technology therefore serves the interests of the minority, (Anthony, 2008).Disruptive technologies however may be favorable to the consumers of goods as well as services brought about by the technologies.
The efficiency and intensity of the production has significant influence on the economies of scale, making production more profitable to the manufacturers. This in turn gives the manufacturer a greater bargaining power and competition ability in the market, (Stephen, 2000, Ditritrios, 2003).Industrial revolutionThis technological innovation brought about drastic changes in the agricultural sector, the manufacturing industry, as well as the transport sector notably affecting socio-economic as well as human culture. The onset of machinery in the fields of production replaced human labor thereby disrupting every aspect of of the human daily routines. The capacity of production in the manufacturing industry was greatly enhanced. On the economic terms,the GDP changed from stability to a real capitalistic economy, (Roger, 2002).
The most dramatic effects to the society brought about by the industrial revolution revolve around changes in the the social setup as well as institutional spheres. Diseases outbreak were on the rise which mostly affected the infants hence accelerating the infant mortality rates, (Edward, Jean, & Mark, 2003).The production of food was more intensive and efficient through the use of machines in agriculture This consequently resulted to the displacement of a part of the society who worked in these fields. They therefore had to look for alternative employment elsewhere leading to a mass movement of the people from the rural areas to the urban centers, (Richard, Robert, & Nicholas, 2005).Steam locomotivesThe industrial revolution further spread to cover steam locomotives whereby steam generated by coal was used as the source of power for for railway as well as ship locomotives. This technology persisted until the time that the technology was overtaken by the innovation of electrical as well as engines of internal combustion, (Philip, & Kevin, 2006).
The steam locomotives is an innovation of the second industrialization with the effects of accelerating development in the locomotive industry. The steam engine technology was very influential to the enabling of industrial revolution, (Anthony, 2008).2. Business cultures: America versus AsiaMost of the Asian countries such as India, China as well as Japan are potentially able to shape the economy of the world.
The workers are computer literate, competent in engineering, biological scientists as well as manufacturing industry. In their culture, they are collectivists as compared to the Americans. Team work and group work is eminent among the Asians with an action cause being made collectively, (Paul, 999).Group influence is very strong in shaping the the identity of an individual Asian. As for the Americans, it is very hard to have strategies that are collaborative with the exception of the youngest generation of the workers whose notions have started to change.
In Asia, personal space between workmates is very important and it is impolite to stand in a close proximity to a workmate, (Edward, Jean, &Mark, 2003).The business professionals in Asia observe punctuality and they are very timely to any meetings involving business. Strong relationships as far as business is concerned are very important in Asia with Americans lagging behind in this respect. Honest and boastfully display of personal skills is evident in Asians They as well talk less but listen the more, (Stephen, G, H, 2000).
The Asians value status as well as ranks. The way of greetings as well as dressing is more formal among the Asians business community as compared to Americans who mostly prefer jeans and t-shirts. The use and exchange of business cards is more common among the Asian business community, (Paul, N,1999).Americans versus EuropeansAs regards the Europeans, nepotism as well as impropriety is part of the business culture which complicates and makes usual business almost impossible. Each business has to create a vacancy for the mistresses, cousins and nephews of the bosses. The responsibility positions are therefore unavailable for the competent workers with promotions being evident to the young well suited individuals at the expense of the long serving employees not favored by nepotism.
Thus for the Europeans, the free market opportunities are hindered thus giving the Americans the benefits of becoming the superpowers at the expense of the Europeans. Europeans are said to know how to eat better than how to work, (Roger, F, J, 2002), (Edward, W, S, Jean, G, S, Mark, S, 2003).The American business is usually conducted in a hurry and hover y efficiently as well as productively relative to the Europeans. Similarly, the markets of the Americans are oriented towards efficiency with a lot of customer loyalty. The Europeans are also slow accumulators of wealth as compared to the Americans and their economy is more socialistic. Therefore the Europeans are always not in a hurry.
The business culture of the Americans make the upper class much wealthier while the lowest class access less opportunities, (Paul, N,1999), (Ditritrios, B, 2003).3. Hostile takeoverCorporate growth is achievable with the acquisition of companies. This commonly leads to the generation of efficiencies that in turn results to economic development.
Especially for the case of inefficient companies, takeover is especially beneficial to the stakeholders most importantly the shareholders. Great precaution is required for the affected persons who might need to get new employment opportunities, and the best method to achieve this objective is to enact a gradual change enough to allow the affected workers sufficient time for training and securing fresh employment, (Paul, N,1999).Hostile takeovers also described as unfriendly takeovers involves the act of a company to acquire a different company through bypassing directors board of the company and purchasing the shares of the company from different sources. Hostile takeovers are usually favorable to the managers of the company at the expense of the shareholders, (Richard, B, Robert, F, J, Nicholas, J, A,2005).Takeovers may be voluntary or hostile in which case, voluntary takeovers are ethical as opposed to hostile takeover which is unethical. Application of pressure as well as coercion tactics done on others is the cause of the unethical status of hostile take overs and should be prohibited.
This vise is a replica of theft irrespective of whether the price offered is far much ahead of the existing market price of the company. It is only a noble cause of mental anguish on the affected individual, (Paul, N,1999).Bargaining is usually part and parcel of a business transaction and it is usually healthy and quite in order. The buyer is usually allowed to present lower bid as compared to the sellers proposed price.
However, if the seller is unsatisfied with the already suggested bid, the buyer should never try to apply pressure to the seller to accept the bid. The same case applies to the seller on the other hand. Attempts by the seller to continue pressurizing the buyer to buy a commodity while the buyer is unwilling should be discouraged, (Paul, N,1999).4. Levels of strategy: big and small firmsStrategy deals with the competition and the survival of a firm. Competition in the firm is brought about by the the product rather than the company itself which are a result of the company's units of business.
In the business world, change is inevitable as it is dynamic and the firms have to adapt to the changes through strategy. The way in which some objectives and goals in the firm are achieved is a strong foundation to strategy is the facilitator of a strong competitive advantage for the company as far as the market is concerned. It is through these strategies that that business goals as well as objectives in the long ran are attained. The composites of the strategy includes planning, 0organization, implementation as well as execution and a tight control against the activities of the business, (Paul, N,1999).The aspects of the behavior of a firm which includes the management, training the staff, application of government programs, innovations, human resources as well as technology, among others are all determinants of the growth and competition in large as well as small firms.
There is an advantage of performance in large firms as compared to small ones with the large firms exhibiting higher gloss returns as a result of their size. However, the high returns may not translate to returns due to investment and the companies assets, (Lorraine, U, Hendrickson,L, Uhlaner, J, P, 1998).Big firms embrace the advantage of forthcoming opportunities due to their ability to adapt to the environment. Therefore in order to achieve success firms should try to enlarge their sizes.
The available option to glow large in the company is consolidation giving the company's ability for competition. Large firms adapt better and are more aggressive as far as marketing is concerned as compared to small firms. Their organizational design tends to be more central as well as integrated, which empowers them to be more profitable. Thus the growth and development of a firm is mostly achievable through efforts to grow bigger, (Lorraine, U, Hendrickson,L, Uhlaner, J, P, 1998), (Edward, W, S, Jean, G, S, Mark, S, 2003).The growth of these firms has growth influence as a result of management,the morale of the employees as well as marketing of goods and services.
There is a slight difference in business strategy for the two types of firms. The innovation of products has its roots to both the management and customers with the suppliers as well as the production lines becoming next. However large firms are better placed to get linkages to other firms through strategic alliances, ventures as well as partnerships. Government programs finds most application in small firms as compared to large firms.
Small firms have a high likelihood to posses a strong force in the determination of the economic impact of a program. Large firms are are better placed to view organizational culture as well as skilled labor to be vital factors of growth. Similarly, intellectual property rights are more valued in large firms than in small firms, (Lorraine, Hendrickson, & Uhlaner, 1998).5. Forward integration, Backward integration, and Horizontal integrationForward integrationImplies the efforts of a company to expand the scope of its products as well as services with the basic aim of more directly satiating the needs of the customer.
This implies a style of control of a company's products as well as services whereby hierarchy exists in the company. A different product or service is attributed to each hierarchy, all of which are ideally combined to fulfill common need of the company. One firm is engaged in a variety of production aspects. To work well, the forward integration is involved with the setting up subsidiaries responsible for the distribution and marketing of its products to the customers or even make use of the products as well as the services themselves.
A good example is a case of sale of products of a company to the nearest market rather than targeting a certain distribution center, (John, 2002).Backward integration.Aimed at the reduction of dependency, backward integration revolves around the purchasing of the suppliers, for example a timber factory purchasing a forest. A company acquires a certain corporation that it believes is resourceful in terms of goods as well as services to the advantage of thepurchasing company. The company must have enough evidence that the products as well as services of the corporation is of importance to the company with an initial record of quality performance of the products or services and responsible for the improvements in quality.
The acquisition of the vendor as well as its integration of its supply chain as part of corporate family should be responsible for the long term reduction of input cost, (Philip, ; Kevin, 2006).Backward integration has the advantage of pricing, quality as well as supplies and efficiency assurance, a result of coordination of supplies with consumption. The company of interest has a product or service of importance to an earlier stage in the production chain. The supply of inputs is stabilized and ensures consistent final product quality (John, 2002).Horizontal integrationA concept of strategic management dealing with ownership as well as control. Businesses as well as corporations adopts this strategy with a view of targeting several markets to dispose their products creating monopoly.
The company acquires another company, the two of which embark in similar business. The company acquires the activities that deals with similar products as well as services to create diversification. The activities are also substitutes for the company's products. It is aimed at the reduction of the threat of competition through the acquisition of the competitor.
Consequently, horizontal integration leads to a wide business as far as the supply chain is concerned which is influential to the company's efforts to reach customers, (Louise, ; Christopher, 2004).The company's target is the production of diverse products similar to the already existing lines. It also implies the completion of the range of products. It has the advantage of fulfilling the expectations of the customer, increasing the power of negotiation, reducing competition,synergy and economies of scale as well as scope. A sausage vendor expandinding to sell hamburgers is a good example (Louise, &Christopher, 2004).
