Management Plan For Transnational Organization

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Management Plan for Transnational Organization

Management Plan for Transnational Organization

Overview of the Company

The company selected in Debenhams (DEB) is basically a departmental store chain originated for United Kingdom that offers cosmetics, apparel and household goods. The company initially started its business from United Kingdom and Ireland with headquarter in London. Similarly, the overseas market that selected for DEB is India. India is one of the biggest emerging markets where DEB could flourish its business on a high pace because the organization's ethical sustainability and logistics and business environment designed in a way that suitable for business.

The reason behind going for expansion in India based on different environmental dimensions for instance like political factor, as political stability in India is one of the main factor that will attract the business to expand into India, as the expansion strategy is vulnerable to the fact that the political environment is very appropriate in the Indian region. Similarly, the economic condition is improving with every passing day, MNCs from all around the world travelled to India and established there businesses and generating enough revenue.

Best Business, Cultural and Legal Practices of Debenhams

DEB should simply follow the business practices in line with the business strategies. While operating in India, DEB need to work on four internal areas of business, i.e. logistics, distribution, ethics and environment in order to balance the economic, social and environmental sustainability. Management of supply chain is the commitment of ethical sustainable working group sourcing with related factors of distribution and logistics. DEB must ensure that the supply chain is robust therefore, the goods all the time flow smoothly in the market. Furthermore, DEB should make sure that the business practices reduce the environmental footprint in the developing markets through undertaking of several steps by the environmental distribution and logistics workforce.

On the other hand, the Indian Market is volatile for the cost of materials and cotton, shipping and labor, but the organization can be successful in the ensuring of continuous supplies of good throughout the year. DEB can work directly with cotton supplying mills, denim and chinos. It can have consolidation in orders throughout the internal divisions so that DEB can have direct negotiation with mills for the secured supplies at reasonable cost to suppliers and the organization.

Cultural and National Variables from DEB perspective

Online shopping is increasingly becoming popular in the India. This has increased the sales from the channel making it an attractive means for retailers to drive their top-line growth. According to Office for National Statistics, non-seasonally adjusted average weekly value for internet retail sales in the UK was estimated at £540.5 million (approximately $863 million) in February 2013. This is an increase of 10.1% compared with February 2012. According to industry estimates, the online retail sales in the UK are expected to grow at 11% per year through 2016. The growing desire for convenience is seeing shoppers buy more online (Neolane, n.d.). Consumers have also become savvier, using the internet more to get the best deal they ...