Cooperative Strategy and Corporate Governance Q Google’s strategy revolves around innovation through better human resource management. The firm has a very good strategy in managing its HR in the attempt to guarantee that it gets the best from it. This strategy has helped the firm very much, leading to Google being a leader in the technology industry as well as one of the best firms in the world. Apple Inc. uses a strategy of technological innovation and leadership within its industry. It chooses to produce the best products and getting the best pricing for the products.
This has worked very well for the firm. Wal-Mart uses a strategy of collaborating with its partners along the supply chain and having a greater control of the value chain. This increases convenience and more barraging power for the firm. The strategy has kept the firm at the tip of its sector which is retaining. Microsoft has also used a strategy of starting alliances. In its maiden days, Microsoft allied with the then leading manufacturer of computer hardware, IBM. This is considered today as the main part of its strategy that made the firm to be the big success it is today. Q2 Corporative risk usually arises from the misconduct of the individuals in the firm.
By having better human resource practices, this can be better management and also distributing and decentralizing the power of the offices and executives so that no one person can have the ability to jeopardize the firm’s public image. Q3 According to Morland and Werhane (179), a firm is judged based on the actions of its employees, especially the top-level managers. This is why the firms should have a control of the way these managers behave.
The behavior and actions of these top-level managers can lead to the decline of the firm. At best, the negative behavior of these managers will lead to huge financial losses which can hurt the firm’s image. Firms therefore need to protect themselves from the harm that comes from top-level managers decisions and actions. Q4 Firms operations in foreign nations must be able to adhere to the cultural attitudes for the local communities. Failing to do this can be very risky for the firm.
Some examples of companies that failed to do this are coca cola where it failed in India, Star Bucks in China, Apple inc. that has been accused of setting up sweat shop in China and McDonalds which has been accused of poor practices in foreign markets. Q 5 Yahoo Inc. has graced the limelight of late for the wrong reasons due to the revelations that its CEO lied about his academic credentials. He lied about possessing a computer science degree. Most people have been concerned that given the fact that yahoo provides services that requires a lot of integrity, whether this mean that Yahoo’s chief executive is able to enforce integrity and compliance with regard to accounting information that the firm offers for listing (yahoo finance) The new policies at yahoo are: The board to vet the potential CEOs- This will be useful in making sure that those put is these positions are competent and have integrity.
The board to review the CEOs annually - people need to be checked on often just to guarantee that they are not failing on their job.
This will be useful to make sure that the employees remain alert. The board to conduct Succession Planning - not every person stays in one position forever and it is important that yahoo has decided to make sure that its board plans the success of its CEO position. Q6 One of the corporate governance issues that Avon had was its tendency to lose grip in the market. Avon has been referred to as the graying Goliath due to the fact that its business was still being done in the old-fashioned way.
Failing improve its products and management to reflect the new global market was an issue. The firm has however tried to change this in order to meet new standards. This has been distributed to all the countries where it operates. This is very important for the firm in order to help to benefit from its over a hundred years of experience but at the same time be able to take up new market and managerial challenges of the modern world. Q7 The marketing industry is a mature industry, but with the exception of the fact that many things have changed over time.
One of the best and relevant strategies to apply is the strategic alliances (Morland & Werhane, 49). Marketing is a B2B business and this means that creating alliances with customers is very useful in the success of the business in this industry. Works Cited Morland, Mollie & Werhane, Patricia. Cutting-edge Issues in Business Ethics: Continental Challenges to Tradition and Practice. New York, NY: Springer, 2008.