本文的目的是瞭解非正式和正式機構的功能和作用，進一步評估全球公司在戰略制定和實施過程中應對不同地區環境時的最適當反應。爲了討論的目的，將使用不同的理論和框架進行適當的分析。在此基礎上，本文將對論文的關鍵問題進行解答。公司選擇這種討論和分析的目的是寶潔(Procter & Gamble Co .)開始這篇文章,提供了公司的簡要概述,並討論將進一步闡述了確定正式和非正式制度因素和影響戰略制定和實施的過程。
寶潔公司是一家美國跨國消費品公司，總部設在美國俄亥俄州。它是由James Gamble和William Procter在1837年發現的，他們都屬於英國。2014年,P & G已經成功地記錄銷售831億美元,同年,該公司宣佈精簡,消除100品牌和保持集中關注剩下的65個品牌,生產公司的95%的利潤。P & G的CEO進一步提到，在未來的日子裏，公司將是一個不那麼複雜，更簡單的領先品牌之一，更容易管理和運營。包容和多樣性深深植根於企業的原則、價值觀和宗旨。公司致力於創造一種雙贏的文化，在這種文化中，經理們和同事們互相給予真誠的關心。期望組織中的每個人都充分參與，以確保在業務組織的所有方面都能交付任務。儘管包容性和多樣性在寶潔的原則、價值觀和目標中是隱含的，在其戰略中是明確的，但該公司受到各自行業的正式機構和信息機構的影響。
With the advancement of globalization and the rapidly evolving condition of emerging economies, organizations have started to face major challenges with respect to entering in a specific market. Different strategies of entry are used by a number of companies, while there is huge significance of determining the strategy of foreign market entry. Some companies hold the tendency of focusing more on the internal capabilities and resources, and even though important, there is a need for considering a number of other factors such as formal and informal institutions. These have a profound effect on the global strategy any business, yet there is a determination of global strategies solely in accordance with resource based and industrial factors. Institutional economics is known for maintaining economic, political and social institutions setting the frame for transitions of the economy, and thus impact the development of strategies for multinational national corporations.
The aim of this essay is focused on understanding the function and role of informal and formal institutions, further evaluating the most appropriate responses of global companies when dealing with different regional setting in the process of strategy development and implementation. For the purpose of this discussion, different theories and frameworks will be used for conducting appropriate analysis. Based on this analysis, the key essay question will be answered. The company selected for the purpose of this discussion and analysis is Procter & Gamble Co. To begin with the essay, a brief overview of the company has been provided, and the discussion will further be elaborated to identify formal and informal institutional factors and their impact on the process of strategy development and implementation.
Overview of the Company
Procter & Gamble Co. (P & G) is an American company of multinational consumer products with headquarter in Ohio, United States of America. It was found by James Gamble and William Procter, both belonging to United Kingdom in the year 1837. In the year 2014, P & G had been successful in recording sales of 83.1 billion dollars and in the same year, the company announced to streamline itself, with the elimination of 100 brands and maintaining a concentrated focus on the rest of the 65 brands, producing 95 percent of the profits of the company. It was further mentioned by the CEO of P & G that in the coming future, the company will be a much less complex and a much simpler one of all leading brands, presenting itself as easier for management and operations. Inclusion and diversity has strong roots in the principles, values and purpose of the business. The company shows strong commitment for the creation of a winning culture in which the managers and the colleagues show sincere care to one another. Full engagement is expected from everyone in the organization for ensuring there is a delivery of the mission within all facets of the business organizations. Even though inclusion and diversity is implicit in the principles, values and purpose of P & G, and explicit in its strategy, the company is affected by formal and information institutions in the respective industry.