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  • Digg it UP - Machiavelli: The Prince - Lessons in Expansion Strategy

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    n even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off land

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    Acquisition and Expansion Strategies

    Machiavelli advocated that a Prince should live in the new territory he has annexed to control the situation on ground and gain respect of the people.

    “When states are acquired in a country differing in language, customs, or laws, there are difficulties, and good fortune and great energy are needed to hold them, and one of the greatest and most real helps would be that he who has acquired them should go and reside there. This would make his position more secure and durable, as it has made that of the Turk in Greece, who, notwithstanding all the other measures taken by him for holding that state, if he had not settled there, would not have been able to keep it. Because, if one is on the spot, disorders are seen as they spring up, and one can quickly remedy them; but if one is not at hand, they heard of only when they are one can no longer remedy them.” ( Machiavelli, Chapter 4)

    There are contrary views to this philosophy in the modern business world where a company often have presence into number of countries. The Japanese has successfully exported a Japanese country head to their companies while conglomerate like Nestle believes in developing local talent that understand the ground realities better than anybody else.

    The strategy should be based upon the nature of product and nature of market. If the products need high customizations than a local head should be a good choice while if the product has global standards than even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off land

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    e greatest and most real helps would be that he who has acquired them should go and reside there. This would make his position more secure and durable, as it has made that of the Turk in Greece, who, notwithstanding all the other measures taken by him for holding that state, if he had not settled there, would not have been able to keep it. Because, if one is on the spot, disorders are seen as they spring up, and one can quickly remedy them; but if one is not at hand, they heard of only when they are one can no longer remedy them.” ( Machiavelli, Chapter 4)

    There are contrary views to this philosophy in the modern business world where a company often have presence into number of countries. The Japanese has successfully exported a Japanese country head to their companies while conglomerate like Nestle believes in developing local talent that understand the ground realities better than anybody else.

    The strategy should be based upon the nature of product and nature of market. If the products need high customizations than a local head should be a good choice while if the product has global standards than even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off land

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    sorders are seen as they spring up, and one can quickly remedy them; but if one is not at hand, they heard of only when they are one can no longer remedy them.” ( Machiavelli, Chapter 4)

    There are contrary views to this philosophy in the modern business world where a company often have presence into number of countries. The Japanese has successfully exported a Japanese country head to their companies while conglomerate like Nestle believes in developing local talent that understand the ground realities better than anybody else.

    The strategy should be based upon the nature of product and nature of market. If the products need high customizations than a local head should be a good choice while if the product has global standards than even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off land

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    e country head to their companies while conglomerate like Nestle believes in developing local talent that understand the ground realities better than anybody else.

    The strategy should be based upon the nature of product and nature of market. If the products need high customizations than a local head should be a good choice while if the product has global standards than even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off land

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    n even a Head Office sent head can do the job. One of the bright examples of trans-cultural CEO doing a great job at alien organization is that of Mr Ghosn CEO of Japanese motor giant Nissan and French auto company Renault.

    Secondly today the communication channels have improves so vastly that a person sitting in remote corner can manage the operations in far off lands so omnipresence is not required. Wal-Mart today directly shares its point of sale information in United States to its vendors running their production in Hong Kong and China. This real time information helps them in managing their production schedule as per the sales in Wal-Mart stores.

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