• Globalization and Society.
• Foundations of Ethical Behavior. o Relationship between economic systems, businesses and society, require a trust, built on social norms and ethical foundation in order to successfully cooperate. o Company and our employees must act responsibly and behave ethically wherever they go. o Management can and must determine company values and to which stakeholders they must adhere. o We must hire individuals who are willing to work in particular ethical environments and train them as necessary. (PG 404)
• Cultural and Legal Foundations of Ethical Behavior. o Cultural Foundations.
• As MNC with multiple locations worldwide, Mentor Graphics representatives should try to customize to cultural relativism within particular country of operations, unless it is interfering with legal or ethical foundations of company’s home country. (PG 407) o Legal Foundations. • Corporate laws of the home country must be followed by all employees in addition to the legal laws of the country they operate in.(PG 408) • Social Responsibilities and Social Activities. o Mentor Graphics is committed to environmental responsibility. o Sustainable use of Earth’s resources through reduction in pollution and waste, usage of appropriate energy resources and materials, protecting the native environment on all campuses. (Link1) o Mentor Graphics Foundation. • One percent of yearly profits are donated to the communities within the company’s presence. • Foundation has two programs to support the development of quality education for employees and their families. (Link2) o Employees involved in “School To Work” activities: Junior Achievement, Saturday Academy, National Engineering Week etc. • Codes of Ethics. o Company must act responsibly in all ethical aspects in order to avoid: legal sanctions, consumer boycotts, lower employee morale, and reduced sales due bad publicity. o Company must set global policy that complies with regions of operation, communicate the code to internal stakeholders, ensure the policy compliance and report result to external stakeholders. …show more content…
(PG 423)
• Strategy of International Business.
• Industry Structure: interdependent relation among suppliers of inputs, buyers of outputs, substitute products, potential new entrants, rivalry among competing firms. (PG 440) o Suppliers of inputs: EDA Industry mainly depends on inputs from three main suppliers – Mentor Graphics, Synopsys and Cadence Design Systems. o Buyers of outputs: Hi-Tech electronics development and manufacturing industry, PCB and semi-conductor manufacturers, aircraft industry, automotive industry, defense industry, computerization and automation, robotics. o Substitute products: Very narrow category of the EDA tools and embedded system products that are unique for specific company. …show more content…
Can be substituted only by the development of new product. o Potential new entrants: Very hard industry to enter. 92% of industry market share belongs to “Big Three”: Mentor, Synopsys and Cadence. (Link 3)
• Firm Strategy. o The nature of the products, customers and industry is suitable for mix of International and Global strategies. o Leverage core competencies and home country innovations into competitive positions abroad. (PG 468) o High Standardization and central control are imperative across international operations. (PG 467)
• Value Creation. o Value creation through latest innovations in the industry and outstanding support. o State-of-of the art EDA system tools and embedded system products designed precisely around the customers’ needs and specifications. o Award-winning support and consulting services for the world’s most successful electronic, semiconductor and systems companies. (Link 4)
• Value Chain. o Concentrated value chain. o Activities are set and directed by home office. o Centralized coordination processes as parent retains control of value activities to apply, regulate, and protect core competencies. o High Pressure for global integration.
(PG 468) • Country Evaluation and Selection. • Country of focus Cambodia. o Location: Indochina peninsula, South East Asia. o Bordered by Thailand, Laos, Vietnam and Gulf of Thailand. o Key Industries: • Garment and footwear manufacturing. • Light manufacturing. • Tourism. • Agriculture. • PESTEL Analysis (In-class notes, February 15) o Political • Constitutional Monarchy operated as parliamentary representative democracy. Multiparty democracy. • Stable political system. • Noted corruption in judiciary, police and other state institutions. • Member of: World Bank, IMF, ADB, ASEAN, WTO. • Simplified and transparent tax collection system. o Economic • Solid GDP growth in recent years. 7% in 2014. 7.3% in 2015. • Continual expansion of key industries. • Rapidly increasing income per capita and dropping poverty rate. • Moderate inflation rate at 2.8%. o Social •
• Foundations of Ethical Behavior. o Relationship between economic systems, businesses and society, require a trust, built on social norms and ethical foundation in order to successfully cooperate. o Company and our employees must act responsibly and behave ethically wherever they go. o Management can and must determine company values and to which stakeholders they must adhere. o We must hire individuals who are willing to work in particular ethical environments and train them as necessary. (PG 404)
• Cultural and Legal Foundations of Ethical Behavior. o Cultural Foundations.
• As MNC with multiple locations worldwide, Mentor Graphics representatives should try to customize to cultural relativism within particular country of operations, unless it is interfering with legal or ethical foundations of company’s home country. (PG 407) o Legal Foundations. • Corporate laws of the home country must be followed by all employees in addition to the legal laws of the country they operate in.(PG 408) • Social Responsibilities and Social Activities. o Mentor Graphics is committed to environmental responsibility. o Sustainable use of Earth’s resources through reduction in pollution and waste, usage of appropriate energy resources and materials, protecting the native environment on all campuses. (Link1) o Mentor Graphics Foundation. • One percent of yearly profits are donated to the communities within the company’s presence. • Foundation has two programs to support the development of quality education for employees and their families. (Link2) o Employees involved in “School To Work” activities: Junior Achievement, Saturday Academy, National Engineering Week etc. • Codes of Ethics. o Company must act responsibly in all ethical aspects in order to avoid: legal sanctions, consumer boycotts, lower employee morale, and reduced sales due bad publicity. o Company must set global policy that complies with regions of operation, communicate the code to internal stakeholders, ensure the policy compliance and report result to external stakeholders. …show more content…
(PG 423)
• Strategy of International Business.
• Industry Structure: interdependent relation among suppliers of inputs, buyers of outputs, substitute products, potential new entrants, rivalry among competing firms. (PG 440) o Suppliers of inputs: EDA Industry mainly depends on inputs from three main suppliers – Mentor Graphics, Synopsys and Cadence Design Systems. o Buyers of outputs: Hi-Tech electronics development and manufacturing industry, PCB and semi-conductor manufacturers, aircraft industry, automotive industry, defense industry, computerization and automation, robotics. o Substitute products: Very narrow category of the EDA tools and embedded system products that are unique for specific company. …show more content…
Can be substituted only by the development of new product. o Potential new entrants: Very hard industry to enter. 92% of industry market share belongs to “Big Three”: Mentor, Synopsys and Cadence. (Link 3)
• Firm Strategy. o The nature of the products, customers and industry is suitable for mix of International and Global strategies. o Leverage core competencies and home country innovations into competitive positions abroad. (PG 468) o High Standardization and central control are imperative across international operations. (PG 467)
• Value Creation. o Value creation through latest innovations in the industry and outstanding support. o State-of-of the art EDA system tools and embedded system products designed precisely around the customers’ needs and specifications. o Award-winning support and consulting services for the world’s most successful electronic, semiconductor and systems companies. (Link 4)
• Value Chain. o Concentrated value chain. o Activities are set and directed by home office. o Centralized coordination processes as parent retains control of value activities to apply, regulate, and protect core competencies. o High Pressure for global integration.
(PG 468) • Country Evaluation and Selection. • Country of focus Cambodia. o Location: Indochina peninsula, South East Asia. o Bordered by Thailand, Laos, Vietnam and Gulf of Thailand. o Key Industries: • Garment and footwear manufacturing. • Light manufacturing. • Tourism. • Agriculture. • PESTEL Analysis (In-class notes, February 15) o Political • Constitutional Monarchy operated as parliamentary representative democracy. Multiparty democracy. • Stable political system. • Noted corruption in judiciary, police and other state institutions. • Member of: World Bank, IMF, ADB, ASEAN, WTO. • Simplified and transparent tax collection system. o Economic • Solid GDP growth in recent years. 7% in 2014. 7.3% in 2015. • Continual expansion of key industries. • Rapidly increasing income per capita and dropping poverty rate. • Moderate inflation rate at 2.8%. o Social •