Industry Computers industry Routine household products like fan, motor pumps, wet grinder , mixers et Industrial products like machine tools Project marketing ie large complex equipment Governmental projects / contracts
Key success factor Technology leadership and new product introduction Product performance, choice Product performance, delivery and after-sales services Technical consultant and mechanic – key influencers Decision-maker ie. the authority is concentrated with one person who may or may not understand all the nuances of technology improvements or of new designs of products
Michael Porter’s Five Forces Model Strategy Risk of entry by potential competitors
Bargaining power of suppliers
Rivalry among established firms
Bargaining power of buyers
Threat of substitute products
NATURE OF INTERNATIONAL OPERATIONS MANAGEMENT Globalisation – a wide canvas for the business organisations to paint upon Aspects to be carefully analysed before globalisation
To face world-wide competition
Focus – ie. who is our customer? What services does he need and/or expect?
Depending upon the market segment chosen, the basis for competitive advantage for the organisation has to be chosen
Technology – Choice
Location – Where will the organisation’s presence be and in what form?
Orientation : o If it is Product orientation, few facilities can produce the entire worldwide requirement 18