Mgmt 221 Activity 9.5

1. How might cultural, political, or geo-economics challenges affect a global company’s use of the Internet? Give several examples.

Cultural, political, or geo-economics (the study of the relationship between politics and the economy on an international scale) have a profound effect on a global company's use of internet. Several examples of these effects include the distance between consumer/provider; time zones; connectivity; exchange rates and cost of living (COL) in the different living areas. A global company has to be able to provide 24/7 customer service regardless of location of business in support of their services. Part of the challenges with this is the language, cultural and religious difference that is variable in nature based on the work styles and business relationships. Due to this a company may outsource its customer service section to employees more acclimated based on these various challenges. Additionally, politics (geo-economics) can have a profound effect on the business dealings of a country based on the rules, regulations and law that govern within different regions/countries. Tax laws, import and exporting laws can be restrictive causing an inconvenience to a company due to the disruption of potential sales.

2. Will the increasing use of the Internet by firms with global business operations change their move toward a transnational business strategy? Explain.

The increase in use of Internet by firms with global business operations will most likely change their move towards a transnational business strategy. This is essential in order to expand on offering their products on a global scale, causing other companies to do the same in order to maintain competitiveness.

3. What has been the impact of information technologies on the work relationships, activities, and resources of managers?

Information technology (IT) has impacted work relationships, activities, and resources of managers on many different levels. Both on a global and...