Negotiating International Market Essay Example for Free

Negotiating International Market Essay †¢Negotiating with international customers, partners, and regulator NEGOTIATIONS ARE FORMAL DISCUSSIONS B/W PEOPLE WHO HAVE DIFFERENT AIMS OR INTENTIONS , ESPECIALLLY IN BUSINESS ,DURING WHICH THEY TRY TO REACH AN AGREEMENT. Negotiating with international customers , partners and regulators often requires a lot of meticulous preparations and skill. Successful negotiation demands threadbare analysis and evaluation of the commercial and their impressive presentation and proper understanding and appreciation of the cultural nuances of the negotiating party and skilfully navigating the negotiation process accordingly. In order to successfully negotiate with international customers one needs impressive presentation skills, proper understanding of cultural nuances of the party with whom one plans to negotiate. Negotiations in the international scenario are governed by 4Cs they are common interests, conflicting interests, compromise and criteria. Government authorities can be viewed in two different view-points namely hierarchial view and bargaining view. Negotiation is a process in which at least one individual tries to persuade another individual to change his or her ideas or behavior. Business negotiations often involve one party attempting to influence another to make a particular decision of sign a contract. Thus negotiating is a process in which at-least parties with different view points and needs try to reach an agreement on matters of mutual interest. There are 4Cs of negotiation: 1. Common interests 2. Conflicting interests 3. Compromise 4. Criteria for agreement to hold The outcome of any negotiated agreement depends on the relative bargaining power of both parties. Negotiating Globally Negotiating effectively across cultures is one of the most important global business skills. Global negotiations contain all the complexity of domestic negotiations, with the added dimension of cultural diversity. Top managers spend more than 50% of their time in formal or informal negotiations. Two tables below highlight the differences in negotiating styles across cultures. When to negotiate? According to experts, negotiating is not always the best approach to do business. Sometimes the best strategy is â€Å"take it or leave it†, other times its bargaining. Negotiating demands more time and resources. Therefore managers must negotiate only when the value of the exchange is important. Negotiating is often seen as strategy to create a win-win solutions in business. Consider the following conditions while negotiating: 1. Your power position w.r.t that of the counterpart 2. The level of trust 3. Sufficient time available 4. True commitment to carryout the agreement. 5. The value of exchange 6. Importance to relationship The success of negotiations depends on: 1. Individual characteristics 2. Situational contingencies 3. Strategic tactical processes. Stages of negotiation: 1. Preparation 2. Relationship building 3. information exchange 4. Persuasion 5. Agreement Prerequisites for effective negotiation† 1. Selection of appropriate negotiation team. 2. Management of preliminaries,including training,preparations,and manipulation of negotiation setting. 3. Management of the process of negotiations , that is , what happens at the negotiation table. 4. Appropriate follow-up procedures and practices. Cultural problems in international negotiations: 1. Language and non-verbal behaviors 2. Values 3. Thinking and decision making processes. Negotiating with regulators: in many instances government is a party in international business negotiations. there are two view points of the governmental authorith: 1. Hierarchical view 2. Bargaining view Deteminants of bargaining power: 1. Relative importance of the project. 2. Alternatives 3. Urgency 4. Strengths SUMMARY: . negotiation with international customers,partners and regulators requires impressive presentation and proper understanding and appreciation of the cultural nuances of the negotiating party. . common interests, conflicting interests,compromise and criteria are the 4 Cs of the negotiation. . there are two views of government authority: hierarchical and bargaining view

Hamlet Appearance Vs Reality English Literature Essay

Hamlet Appearance Vs Reality English Literature Essay In general, mankind tends to hide their emotions and actions to protect themselves or someone else to keep their discrete interests private. In the tragedy of Hamlet, almost all the fundamental characters have lied to each other to protect themselves. The lies may appear to be true if one does not carefully read and understand the thoughts and actions of Hamlet, Gertrude, Polonius, Claudius, and Rosencrantz Guildenstern. The characters may seem to act one way in a scene and then changing themselves in another scene. At the end of the tragedy, the intentions of each of the characters are publicized plus the ultimate consequence of their actions: death. The story revolves around Hamlet where he is the perfect example of someone appearing to be different than what his actions prove him to be. This is done to mislead his true motives and intentions. I will tell you why. So shall my anticipation prevent your discovery and your secrecy to the king and queen moult no feather. I have of late-but wherefore I know not-lost all my mirth, forgone all custom of exercises, and indeed it goes so heavily with my disposition that this goodly frame, the earth, seems to me a sterile promontory; this most excellent canopy, the air-look you, this brave oerhanging firmament, this majestical roof fretted with golden fire-why, it appears no other thing to me than a foul and pestilent congregation of vapors (II. ii, 293-303). This is a perfect example of Hamlet stating directly about appearance and reality. The denotation of the first sentence implies that Hamlet is testing the trustworthiness of Rosencrantz and Guildenstern. Hamlet probably already figured out that the King and Queen asked RG to talk to Hamlet to find out whats wrong with him. In the second sentence, Hamlet proves to RG that he is crazy on purpose so the King and Queen wont discover Hamlets true motives. Lastly, it seemed that RG received the message about Hamlet and this gave Hamlet time to think about what actions to take to get revenge. But Rosencrantz and Guildenstern are appearing in a different way. RG are appearing to be Hamlets longtime friends but they are in this situation because of money and greed. They are not aware of the real issues and they really dont care too much about Hamlets feelings. They are also confused about the situation and try to make the best of it, but in the end, Hamlet sends them off to die. Hamlets mother, Gertrude, appears in a way that is disgusting in reality. In Act I. ii, Claudius tries to calm Hamlet over his grief of his dead father but Gertrude wants to keep Hamlet there for her personal family reasons. After this happens, Hamlet rambles on saying, within a month, Ere yet the salt of most unrighteous tears, Had left the flushing in her galled eyes, She married (I. ii, 153-156).Hamlet is disgraced with the events after his fathers death. After the death of Hamlets father, Gertrude portrayed herself to be a person in mourning by shedding tears and acting as if she was in agony. After Claudius becomes king and they get married, Hamlet realized that his mothers tears were deceptive since she quickly got remarried and showed no remorse over Hamlet senior. Hamlet probably thought that his mother should not have gotten married so quickly to Claudius. This was a dishonorable thing to do to the old king. Hamlet possibly believed that his mother was adulterous and this may have caused him to hate women in general, including Ophelia. Because of this event, Hamlet became harsh on Ophelia, criticizing her wearing makeup because it hides ones true nature. His mothers action changes Hamlets view about Ophelia. He thinks that Ophelia isnt as pure as he thinks and she may also be hiding something. Claudius himself is no different from the rest of the characters. He appears to be someone different than what his actions prove him to be by the fact that he killed his brother, Hamlet. Claudius wanted the power and rulership to carry out his dream. In Act 4, Claudius is talking to Gertrude and says Whose whisper oer the worlds diameter, as levels as the cannon to his blank transports his poisoned shot, may miss our name and hit the woundless air. Oh come away! My soul is full of discord and dismay (IV. i., 41-45). While conversing with Gertrude, Claudius appears to be worried about Hamlets psychological health, not because Hamlet is acting crazy, but because Claudius is fearful that Hamlet may have learn the truth about him while he was praying and from Hamlets performers that portrayed the events that happened almost exactly the way Claudius murdered his father. Claudius wanted to send Hamlet away to be executed but Hamlet managed to make it back to Denmark avoiding death. Literally speaking, the quote mentions how Claudius hates slander and it can travel very far all around the earth. He might be also saying that he does not want a bad reputation for him and his kingdom over certain mishaps. Polonius is the Kings councilor and appears to be a good person at heart. He is Ophelias and Laertes father. As a father normally do, he gives his blessing to his son, to thine own self be true, and it must follow, as the night the day, Thou canst not then be false to any man. Farewell. My blessing season this in thee (I. iii. 1 78-81). Here Polonius wishes his son the best. Even though Polonius gave Laertes his blessing, he is fearful of what his son might do when he is away on his own, so he sends Reynaldo to spy on him. Polonius is also worried about Ophelia and wants her to stop seeing Hamlet. Polonius uses Hamlets madness as a way to be agreeable with the king and be on his worthy side. Polonius misleads the King and his family into believing that he has good motives and intentions. Polonius speaks thoughtfully and carefully to his superiors so he appears to be very knowledgeable. The characters in this play dont all appear to be who they actually pretend to be. Hamlet appeared to be crazy for a couple of reason but mainly to prevent anyone from discovering his plot. Gertrude appears to be mournful for Hamlet seniors death, but quickly forgets that she is in mourning when she marries Claudius and Hamlet takes out his anger on Ophelia. Claudius also appears to be a nice and caring king for his subjects but in Hamlets case, Claudius knows Hamlet is conspiring against him and is being cautious. Lastly, Polonius seems to be a caring father but tricks his family while trying to be on the kings good side. So something is truly rotten in Denmark.

Managing Change at SLMC Essay examples -- Change Management

If organizations are to thrive and be sustaining, they need to respond to the dynamics of their environment with change. However, change is not a singular event with an isolated focus (Spector, 2007). Effective strategic renewal is a combination of â€Å"the three faces of change†Ã¢â‚¬â€turnaround, which targets costs; technology, which targets internal process; and behavioral, which targets employee actions and interactions (Spector, 2007). In a discussion on change management, particularly management-by-control versus management-by-shaping, Palmer, et al. (2009) draw a similar conclusion that â€Å"organizations and human systems are complex and evolving and therefore cannot be reduced to a single, linear objective of maximizing shareholder value† (p. 50). Leaders and managers must be able to champion change in their organizations. Initiating and implementing new business strategies are some of the most significant and challenging of a leader’s duties (Mullins, 2011). Because people are often satisfied with the status quo, resistance to change is common. Therefore, a successful change leader must be capable of managing people and the process well. Unfreeze In order for SLMC to transform and achieve strategic renewal, which would require focus on the company’s fully insured health plan, the new leadership team made a compelling argument for change. By being able to demonstrate a need for change people will be less likely to resist change efforts (Mullins, 2011). Sloans’ new leadership was able to provide adequate justification for change by demonstrating the urgency that was required in order for the organization to survive. In addition, the new leadership explained the opportunities for success and advancement within the organ... ...Dunford, ,. R., & Akin, ,. G. (2009). Managing organizational change (2n ed.). New York, NY.: McGraw-Hill Irwin. Preziosi, R. C. ((n.d.)). Organizational Diagnosis Questioinnaire (ODQ). NA: NA. Robbins, & Coulter. (2007). Management. Upper Saddle River, NJ: Pearson Prentice Hall. Robbins, S. P., Judge, T. A., & Vohra, N. (2012). Organizational behavior (14th ed.). Upper Saddle River, NJ: Prentice Hall. Spector, B. (2010). Implementing organizational change: Theory into practice (2nd ed.). Upper Saddle River: Pearson Prentice Hall. Tyson, B. (2010, August 25). Overview of Lewin's three stage change model. Retrieved from http://www.brighthub.com/office/project-management/articles/84148.aspx. Vecchio, R. P. (2008). Leadership understanding the dynamics of power and influence in Organizations,( 2nd ed.). Notre Dame, Indiana: university of Notre Dame Press.

Hector Tobars The Tattooed Soldier Essay -- The Tattooed Soldier Essa

  Ã‚     Ã‚  Downtown Los Angeles is one of the busiest commercial centers in the United States. However, the city holds two groups of people in different economic level-the homeless and the working class. Hector Tobar frequently includes the landscape of the setting in downtown Los Angeles in The Tattooed Soldier. The novel is about two immigrants from Guatemala who have moved to Los Angeles. The protagonist, Antonio, takes a revenge on the antagonist, Longoria because he murdered Antonio's wife and son when he was a Guatemalan soldier. Tobar applies a number of metaphors to connect the buildings and freeways in downtown to Antonio's position in the city. Buildings, freeways, and shadows are metaphors for Antonio's economic and social status.   Ã‚  Ã‚  Ã‚  Ã‚  Tobar uses description of buildings to reinforce Antonio's economic and social position in life. He informs the reader about the squat apartment buildings when the protagonist is on the way to a homeless camp, which have a significant contrast with the skyscrapers where Antonio observes later. Everyone can see the skyscrapers, but not many people know the existence of the short apartments. Tobar uses the invisibility of these apartments to reflect the inferiority of the protagonist in Los Angeles. Antonio's existence is the least significant as an illegal immigrant. He is seen as a parasite that is not accepted by the city. The apartment owner, Hwang, even forces him to leave with a call to the police (9). On the other hand, the auth...

Euthanasia: Precious Life :: Free Euthanasia Essay

Euthanasia: Precious Life   Ã‚  Ã‚  Ã‚  Ã‚  My impression is that the idea of euthanasia, if not the practice, is gradually gaining acceptance within our society. People like Jack Kevorkian attribute this to an increasing inclination to devalue human life, but I do not believe that this is the major factor. The acceptance of euthanasia is much more likely to be the result of unthinking sympathy and benevolence. It is an easy step from this very human response to the view that if someone would be better off dead, then it must be right to kill that person. Although I respect the compassion that leads to this conclusion, I believe that this conclusion is wrong. I want to show that euthanasia is wrong. It is inherently wrong, but it is also wrongly judged from the standpoints of self-interest and of practical effects.   Ã‚  Ã‚  Ã‚  Ã‚  Before presenting my arguments, it would be well to define â€Å"euthanasia†. An essential aspect of euthanasia is that it involve taking a human life. Also, the person whose life is taken must be someone who is believed to be suffering from an incurable disease or injury from which recovery cannot reasonably be expected. Finally the action must be deliberate and intentional. Therefore euthanasia is intentionally taking the life of a presumably hopeless person.   Ã‚  Ã‚  Ã‚  Ã‚  It is important to be clear about the deliberate and intentional aspect of the killing. If a hopeless person is given an injection of the wrong drug by mistake and this causes his/her death, this is wrongful killing but not euthanasia. The killing cannot be the result of an accident. In addition, if the person is given an injection of a drug that is believed to be necessary to treat their disease or better their condition and the person dies as a result, then this is neither wrongful killing nor euthanasia. The intention was to make the patient well, not kill them.   Ã‚  Ã‚  Ã‚  Ã‚  Every human being has a natural inclination to continue living. Our reflexes and responses fit us to fight attackers, flee wild animals, and dodge out of the way of trucks. In our daily lives we exercise caution and care necessary to protect ourselves. Our bodies are similarly structured for survival right down to the molecular level. When we are cut, our capillaries seal shut, our blood clots, and fibrogen is produced to start the process of healing the wound. When we are invaded by bacteria, antibodies are produced to fight against the alien organism, and their remains are swept out of the body by special cells designed for clean-up work.   Ã‚  Ã‚  Ã‚  Ã‚  It is enough I believe to recognize that the organization of the human

Legalizing Marijuana

I. Introduction Marijuana has been one of the most researched drugs in the history of pharmacology, and there is still considerable disagreement about its short-term and long-term effects. It was made an illicit drug in the United States, and many states have established harsh penalties for those convicted of possession of even small amounts. In the recent years, there has been a move toward decriminalization of marijuana. The purpose of this study is to show why marijuana should be legalized. II. Discussion A. What is Marijuana? Marijuana is the name given in the United States to the drug produced from the hemp plant Cannabis sativa. The use of cannabis derivatives under such names as hashish, charas, bhang, and ganja is widespread throughout the world. The most active ingredient of the plant derivative is tetrahydrocannabinol (THC). The potency of this chemical is indicated by the fact that the average street sample of marijuana contains less than .5% THC. Some samples are considerably higher in THC content; thus, effects from the drug vary according to its quality, meaning its THC content.   The flowering parts of the plant contain the greatest amounts of THC (Belenko, 2001). These are usually dried and smoked, but they may be made into a drink somewhat like tea or blended into various cooking recipes. B. Why should it be legalized? Marijuana is being used as legal medical therapy for several conditions. Careful studies have shown that it is effective in treating severe nausea in cancer patient undergoing chemotherapy. Older patients seem to respond less well than younger patients and complain more about side-effects, including feeling â€Å"stoned.† Researchers are continuing studies of marijuana’s possible usefulness in reducing pressure within the eye in glaucoma and in treating muscle spasticity (Earleywine, 2002). Marijuana has been used for thousands of years, both as a medicine and for its intoxicating effects. In the form of tablets, marijuana is frequently prescribed to relieve the nausea and vomiting that often accompany chemotherapy. Its non-medical use, however, is illegal in the United States and most other countries. The penalties for possessing or using marijuana are, in many states, as severe as those imposed for the possession or use of much more potent drugs (Goode, 2000). Many argue that marijuana is no more harmful than cigarettes and liquor and should be legalized. III. Conclusion In conclusion, most people use marijuana for the altered states it produces. These states are a little easier to control than those produced by other hallucinogenic drugs, unless the dosage is very high. At low to moderate dosages, hallucinations are not present. Instead, the person typically reports of calmness, increased sensory awareness, changes in space and time, and increased appetite, often with a craving for sweets. Many researchers too have concluded that smoking marijuana is no more dangerous, and perhaps even less so, than smoking cigarettes or using alcohol. Reference: 1.  Ã‚  Ã‚  Ã‚  Ã‚   Belenko, S. R. (2001). Drugs and Drug Policy in America: A Documentary History. Greenwood Press. Westport, CT. Pp. 34-67. 2.  Ã‚  Ã‚  Ã‚  Ã‚   Earleywine, M. (2002). Understanding Marijuana: A New Look at the Scientific Evidence. Oxford University Press. New York. Pp. 123-156. 3.  Ã‚  Ã‚  Ã‚  Ã‚   Goode, E. (2000). Marijuana. Atherton. Chicago. Pp. 567-575.   

make or buy decision Essay

Introduction The debate to buy or make has taken many dimensions, with wit economists, citizens, politicians, and businesses pulling the debate to suit their intentions. When the public is dependent on the rational consumption process amid constraints, the politician is obligated to safeguard the interests of their representatives. In the same breath, the concerns of economists and academicians are overinforming on the implications of each action and businesses have a moral responsibility to remain afloat. The decision to buy or make to some extent is obvious as no company would survive by making all what it uses in its operations and complete buying of the company’s products may make the company lose identity. To some extent, this is true but on the flipside, the decision to buy or make can be a tough managerial dilemma. The buy or make decision is centered on issues that may be situational or strategic. Issues that influence this decision are competitive advantage, flexibility in the fac e of technological changes, and potential coordination inefficiencies. Small firms may not have choices when called upon to produce through a manufacturing plant whose laying down would require a substantial capital. It is common knowledge that firms remain afloat by engaging continuously in decisions that ensure profitability and outsourcing has over the years given small firms competitive advantages in the manufacturing sector. Established firms have internalized and perfected their production schedules and regimes and efficiency of their production schedules gives them the competitive advantage. How to Make Choices Making this choice as Fine and Whitney (2002. p.25) posit is based on the restrictions unique to every firm. The product itself determines how the firm goes round it to make it happen; it is an undertaking that relates to the skill set required to make the product, manufacturing issues, and designing issues. To make it happen, each firm relies on its unique characteristics that determine its competitiveness. The engineering process and management commitment toward a product ought to be harmonized for the prosperity of the company. Because of this, a company must understand its core competencies, the product development process, the engineering process and systems, its architecture, supply chain modalities and other relevant characteristics (Fine and Whitney 2002 p.1). Taking the example of an automobile industry, varying degrees of outsourcing is apparent. The two big players in US markets GM and Chrysler are the ideal examples of this diversity. GM buys over 70% of its products whereas Chrysler buys only 30% (Fine and Whitney 2002, p.3). This disparity, to some extent, could be attributable to strategic, but also due to GM’s contractual obligations to UAW and the fast-growing corporate changes (Fine and Whitney 1996, p.5). While cost may look like it is the underlying factor, but as Harvard research group posits if this decision to buy or to make is given a one dimension of cost it may be a bad idea as strategic business concerns for example supply chain and keeping up with customer demands could overshadow the gains in cost cutting if they are not favorable (HRG, 2005: 3). To-buy decision, according to Chan et al. (2006, p.98) can prove costly due to the high turnover of experts in the field and costs related to training and retraining of these experts to remain relevant to the rapidly changing IT sector. Cost-cutting alone would not be reflective of strategic decision as Leiblein et al. (2002)posit that companies that have some capital intensive production phases may adopt buying option on grounds that changes to the production needs may require further capital outlay and this would threaten the firm’s profitability (817). On this basis, firms are seen to have more flexible production capacities that customer reviews can incorporate in phases and not necessarily continuing to sell the product as it was originally produced. The decision to buy also comes with the disincentive of developing further the company’s capabilities as it limits the scope of imagination and self-sustenance due to the contracted firm dependence. Some buy-options ha ve in some ways weakened competitive edge of firms, as its buying option could be a competitor and quality can only be close to what the product was intended to be (Leiblein et al. 2002, p.818). Advantages of buying It this backdrop, this study looks into the merits of buying at the expense of making. Flexibility tops the list, as cost cutting cannot be particularly observed by the buying company. Flexibility in terms of production changes and technological alterations to incorporate features that were previously not present increases customer needs responsiveness. For manufacturing designs and products that require reengineering, buying makes more sense for firms that have small capital outlay. Some firms require adopting services different from what they currently pursue, which may demand the employment of specialized skills. Through buying, firms do not have to hire such services as the services can be offered from outside the firm. Firms can supplement their skill set without overstretching their social security obligations and other employment limitations (Ordoobadi 2005, p.1). Production and manufacturing plants come with risks as regards safety of machines and chemicals that characterize production plants. Through outsourcing manufactured goods, a company can escape the possibility of such an occurrence. A key reason why many companies go into buying option is to reduce their factor inputs in terms of labor and capital, which in return reduces the potential of increased capital risks and the possibility for increased ability to use innovative and up-to-date developments without paying large amounts of outlay. Firms that opt to buy have the incentive of focusing on their strengths and core business (Ordoobadi 2005. p.1). Disadvantages of Buying at the Expense of Making When firms make their products, there is the application and use of quality control within the production process. Firms can change the production design halfway and can alter the perceived flaws to fit their intended prototype. In the case of outsourcing, firms contract out their production process and have no control over the other firm’s production plant and hence cannot change the process midway or change design. In case of a changing design, the contracting-out- firm is likely to pay more, which was the reason for opting to buy. When making product, firms can keep up with supply fluctuations without having to put up with contractual rigidity of outsourcing. In this regard, a firm whose demand suddenly surges is bound to experience problems, as the making firm capacity may not handle its production. Such issues arise and can threaten not only the profitability of the firm but its customer base satisfaction, which may affect long-term projects of the firm. When competitors outsource from the same firm, problems are bound to arise as regards supply capabilities and any sleight hand may lead to reduced competitive edge that was sought initially. Notably, outsourcing can be a disincentive to the morale of employees as they may feel that they are used within their capabilities. For instance, a trained structural engineer contracted by the company outsourcing designs may make them feel underutilized. The process of continual contracting out may make such skills underutilized and underdeveloped. Some firms may never experience their optimal capacities when buying skills that can be developed locally (Ordoobadi, 2005. p.1). It is at this backdrop that the decision to buy or make can neither be straightforward nor structured, but must be critically evaluated, consultative, and well scrutinized so that the best can be achieved in a company. The Decision-Making Process The pioneer of this debate proposed one of the oldest methods of making this decision. The Transaction Method proposed by Coase in 1937. As it was observed in IBM stance on outsourcing IT products, IBM is motivated by the desire to increase revenues against the wave of the quest for flexibility, modularity and the needs of the customer (IBM 2005 p.2). All these factors may or may not fit in the transaction method (Nikolakakos and Georgopoulos 2001, p.161). An attempt to consider cost incurred by the company to buy that would otherwise have not been spent had the firm made its products requires an even greater evaluation and a time factor that may not be at the firm’s disposal. Consequently, the firm must consider its identity and core properties and mission. A company whose mission is to become a market leader in its line of specialization may consider having its production schedules within its business model as buying may expose its unique competitive and product advantage (M erl and Husa 2006 p.17). The Problem of Misalignment Bidwell (2009) took alignment concerns among contracting-out-firms and observed that firms require a balanced approach to multiple goals to achieve alignment to its core business and the nature of this decision is multilevel and unsubstantiated in most firms. Consequently, contracting out can cause a lapse of any of this decisions and as a result problems of uncoordinated functions may arise to hurt the firms independence (5). In purpose, Bidwell (2009) posits that structural components inherent to the firm and decision to outsource or not go hand in hand (12). Things to Consider In Decision-Making If a firm chooses to contract out, three aspects come into the play: whether there are possibilities of easy exit, or entry if consumer preferences change; the probability that customer responsiveness can be enhanced as feedback is acquired from consumers; and the chances that the relationship is bound to lead to improve relations and not foiled and endurance rather than mutual and loyal working progress (Preker et al. 2000. p.779). Consequently, buying is considered a continuum that ought to have benefits and rarely sacrifices (Sena and Sena, 2010. p.41). Minh (2011.p.647) looks into the Analytic hierarchy Process AHP while modeling relations of buy or make for Japanese automobile that is dominated by buy options and identifies that this continuum requires that firms to focus on specialized core business areas and not aim to control production model. For example, Toyota buys about two thirds of its products and its unique profitability and growth plan is unmatched. Taylor looks at the economists’ view of contracting out especially overseas as seen in evident in IBM. The economy looses the potential to employ its populace when business operations are moved to low-cost production areas, for example, India and China. This premise is countered by the fact that these businesses are morally obligated to ensure sustenance and their collapse would spell doom to the same economy. Furthermore, as this firms move abroad, notably IBM stance to move abroad, they are able to use the advantage attained to offer lower costs for consumers (IBM 2005. p.371). Mohamed et al. (2009 p.144) presents a similar outlook to that of Walker and Weber (1984. p.373) regarding choices. Although they differ on reasons for decisions, they pose that firms require understanding choices available to them and tradeoffs regarding decisions influence on long-term and short term company objectives. Walker and Weber opine that decisions about transactions today are governed by the uncertainty associated with decision and uniqueness or specifity; hence, high-specialized goods may better be bought than made. Concerning manufacturing firms they have â€Å"technologically constrained systems, with inherent limitations in equipment, space, process technology, and other resources such as labor and capital. All of these limitations make trade-offs in the decision-making process inevitable.† The key difference between firms buying and those making is in their individual and unique capabilities. Some firms after trade off are forced to use the focused factory with objectives ranked on priority basis and dealt with in the same order (Dabhilkar 2011. p.60). IBM uses the focused system with priority being to enhance flexibility of their product designs. Based on the nature of technology p roducts and consistency of its competitive priorities, its decisions are warranted. However, just like Dell their persistent use of buy-option makes their products lack the appeal that brands like Apple command. The Consequences of Decisions Even with modularity playing a pivotal role in IBM’s decision to consistently buy Arya et al. (2013. p.24), have reservations over such decisions. They argue that the transaction costs lack the accuracy, and the decision to buy or make may be based on a false premise. The difficulty is when computing in-house production estimates with those of external buyers are offering ( IBM 2013 p.24). Consequently, McIvor and Humphreys (2000. p.306) devised a five-stage decision process. In manufacturing decisions, the first stage incorporates the identification of options and categories related to the firm’s performance. In this stage, IBM poses that setting a plant would enhance the appeal of their core business, yet at a cost higher than its projected growths. Step two involves a detailed analysis of the firm’s abilities. The limitation of keeping up with technology boom becomes a headache that ought to be eliminated in their books. What follows is the comparison stage be tween available options, and in this case, IBM figures that only rigorous training is avoided, as its producers require that its IT department remain updated with current technology. It also figures that it saves on flexibility and customer responsiveness better by simple design alterations, and not plant overhaul, as would be the case had they decided to make. Just like Japanese companies that focus on their strengths, IBM does study suppliers to level that it strategically aligns itself with firms that complements its weaknesses. In short, step one is about defining company motive and objectives, step two evaluates options against the fulfillment of goals, step three analyzes the evaluated options on merit and strategic purpose with costs and suitability concerns, and lastly selection (Bajec and Jakomin 2010 p.288). A follow-up of these procedures as posed by Klein (2005:441) ensures that misalignment and mal-adaptation of methods are avoided at an earlier stage. This method of evolution assumes that firms are aware of their business environment, which is not usually the case as some firms thrive on the basis that their competitors are ineffective. IBM may be buying over two thirds of its product components to enhance its chances of profitability, but firms its age have larger asset bases owing to their ability to have and maintain production plants unlike it, which focuses on the rapidly changing designs to respond to a market, which compromises customer loyalty eventually. Evidently, firms with production plants take time to develop and research a product well before production since they realize that the cost associated with mid production changes to the plants design unlike firms that buy and can rely on changing products midway to respond to customer reviews. Conclusion In this regard, firms are compelled to make, and in doing so, they must ensure that they consider all the drivers of their markets and products. A blind look at technology change may overshadow the less urgent concern of long-term ambitions, the core business concerns, and capabilities, and participatory decision with stakeholders to ensure that decision achieves flexibility, modularity and gives the firm a competitive edge or strategic gain over an otherwise decision. The decision to buy or make rests on the management of each firm upon careful consideration of all the factors including costs, flexibility, technology, long-term ambitions, core business and competencies and relative advantage of the decision over the foregone. Reference List Arya, A., Mittendorf, B., & Yoon D.H., 2013. Revisiting the make-or-buy decision: Conveying information by outsourcing to rivals. The Accounting Review, pp.1-37. Bajec, P., & Jakomin, I., 2010. A Make-or-buy Decision Process for Outsourcing† PROMET-Traffic&Transportation, 22(4), pp.285-291. Bidwell, M., 2010. 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