CASE

Strategic Management In A Global Context



Strategic Management In A Global Context

Introduction

The strategic management plays an important role in the growth of the organizations. The leadership qualities are very similar to the strategic management and can be linked in different ways. As the organizational decisions affect its performance, the styles of management and leadership greatly affects the strategic decisions. The styles of leadership can be adapted to different situations by analysing the organizational conditions, its tasks and the targets. The styles of leadership play an important role in the organisational planning and development. The theories of the management and the leadership greatly affect the organisational strategy. The leadership and the management theories have directed the organizational strategy for long time in various organizations. There have been designed various leadership strategies that supported the organizational direction in many ways. However, there has been specified the leadership strategies that supports the direction of the organization in every manner. With the passage of time, the requirements for the leaders have also been completely changes. Now the leaders are not only there to lead their members but also to direct them, motivating them and polish their capabilities.

The insurance industry has long been in the vanguard of understanding and managing risk, and has served as an important early warning system for society by amplifying risk signals. Through loss prevention and mitigation, by sharing risks over many shoulders, and as major investors, the insurance industry has protected society, shaped markets and underpinned economic development. Today, the risk landscape is rapidly evolving, spawning new and complex risks that threaten our increasingly scarce nature-based assets and undermine our common future. Underwriting is a challenging process that entails understanding risk, then pricing it. Although the term ESG has not been traditionally used in the insurance industry, generically, the industry refers to new risks affecting policies already issued and/or to be underwritten in the future as emerging risks. It is the connection, symmetry and prior experience of insurers with ESG factors as a critical category of emerging risks that runs as a consistent theme throughout the survey results.

Global Strategy is used when company competes in an industry of all world markets of the product in order to survive and succeed. The competitive advantage of firm depends on the economies of scale and economies of scope across global markets. In global markets the products are largely standardized and hence companies get the advantage of economies of scale and lower costs. Another advantage the firm gets is the strong integration across different businesses. This strategy gives a firm an advantage of some degree of uniformity in marketing practices around the world. It also has some disadvantages like a consumer in one country may react differently from the consumer of other country that is why firm has to focus on its target market needs which vary across the globe.

Issues and Challenges

Globalization leads to lower costs incurred due to various international transactions of all ...