– International Analysis and Diversification and Integration Strategies of RTX(formely Raytheon)
Module 4 Application Research and Report Instructions
International Analysis and Diversification and Integration Strategies of rtx, formeyl known as raytheon
The readings for this week provide the terminology and concepts associated with international strategy, foreign market entry, diversification of products and services offered in the marketplace, and integration along the value chain.
For this module:
Research the firm’s international presence and strategy. Look for evidence of globalization by examining sales/revenues/profits by country or region (i.e., globalization of markets) and for evidence of expansion by examining factors of production (e.g., location of headquarters, employee bases, factories, investments in land, etc).
Report which international strategy (i.e., standardization/low-cost, localization/differentiation, or transnationalization) the firm uses and the levels and types of (related and/or unrelated) product diversification in their product lines or services.
Analyze the information in the context of the international and diversification strategy frameworks presented in the readings.
Label vehicles of diversification –acquisitions and mergers, joint ventures, strategic alliances, and partnerships- by a) region and by b) vertical and horizontal integration. I want to know where the diversification is located (i.e., country/region) and what the diversification is attempting to add to the organization’s value chain (i.e., horizontal versus vertical integration).
Report on opportunities to improve competitive advantage through outsourcing.
Report on how both of these factors have impacted the firm’s ROIC over time. Attempt to find changes in this metric that corresponds to these types of organizational changes. Demonstrate how the ROIC, based on the firm’s expansion efforts has changed over time; see if you can correlate changes to this metric with decisions and actions made within the organization.
Demonstrate how the internationalization of the firm is shaping its competitive advantage, as well as how the diversification and integration of the firm is shaping its competitive advantage.
Apply your findings, and include critical commentary to indicate the “fitness” of the observed firm’s strategy with the criteria from the readings. Does the analysis indicate strategic opportunities and threats that have not yet been considered in the firm analysis? Are there some strategic alternatives in the global business environment that better fit the company’s competitive advantage? Can strategy alternatives be used, in related or unrelated industries, that better fit the company’s environment? Are there diversification opportunities that require capabilities investments not yet considered?
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Previous classes had two assignments associated with this one assignment… Here are some examples for each associated past assignment. International focused: oneLinks to an external site. and twoLinks to an external site.; Non-international organization exampleLinks to an external site.; Diversification focused: 1Links to an external site. & 2Links to an external site.
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Recommended outline (if a section does not apply to your organization then state this in your paper):
- Globalization/Expansion of
- Sales (report sales by region)
- Production (report where the company has invested resources by region)
- Vehicles of Expansion (describe for each instance, if the expansion effort relates to regional expansion and if it relates to horizontal or vertical integration efforts; indicate whether it is upstream and downstream for vertical integration)
- Export
- M&A
- JV
- Partnership
- Other
- International/Expansion strategy
- Standardization/low-cost
- Localization/differentiation
- Transnationalization
- Related and unrelated diversification – explain which strategy they use
- Outsourcing activities – what business functions do they outsource? What should they outsource and why?
- ROIC and other metrics (over time how has their expansion and integration strategies impacted their accounting and financial metrics)
- Impact on their competitive advantage
- How has their expansion and integration strategies impacted their competitive advantage?
- Note possible ideas for future expansion
Please submit (document to upload) for this assignment:
- Please include your name and the module number at the top of each page, preferably in the header.
- Use one-inch margins on all four sides.
- Single space and indent paragraphs.
- Use a 12-point font for body text.
- Use a distinguished font for headings and subheadings.
- Use page numbers, preferably in the footer.
- Follow APA (American Psychological Association) style guidelines for documentation, and cite and reference everything.
Rubric
Criteria | Ratings | Pts | ||||||
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Gathers relevant & credible information
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20 pts
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Analysis: Identifies relevant facts and assumptions
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20 pts
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Analysis: Applies appropriate analytical methods competently
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20 pts
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Analysis: Applies quantitative analysis
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20 pts
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Communicates effectively
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20 pts
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Total Points: 100
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