Case Study Blackberry
Broadly speaking, all the business activities involves a certain degree of risks. When the domestic firm’s business activities happened across the border, it will generates an additional risks whereas no longer happens in domestic country area – Country-risk. In additional, Country-risk various exists whatever the level of economic development of the country (KOBRIN, 1979). Thus, Country-risk analysis for the case aim to identified the potential risks that enhance the expected return of a cross-border investment.
The U.S. political/legal environment is viewed as the legal framework where the BlackBerry. Inc. operates and this is processing through law or regulations (e.g. Intellectual property rights) that …show more content…
Inc. lack of local partner support. Such benefits/advantages as local partners could help BlackBerry. Inc. decrease political risks by the comprehensive understanding of domestic marketing and legal issue, and provide feedbacks back to BlackBerry. Inc. Moreover, the local partner may share the risks if the projects/cases are intractable based on alliance relationship. In fact, multi-national cooperation have to deal with an invisible market barriers and uncertainty political environment without the help from their domestic ally. Under these circumstances, this options could be most effective and useful to the most major international …show more content…
Inc. was proud of their leading technology in the mobile industry (SMS messaging and network connections). However, the whole mobile industry structure has been influenced by new popular trends, such as, touch-screen technology, curved screen and double-digital camera. Each company with new technology and new interventions will considered as an undefeated player in global market. This principle indicate that it involves transforming a technical invention into their product line based on an advanced technology. It also considered to “improvements in technology and better ways of competing.” As a results, innovation can be seen as the main driving force of the BlackBerry Company. More specifically, multi-national firms has the creative power and ability, and they should focus on promotion and development of new product, rather than patent strategy or lawsuit. Refer to figure 3. Figure 3 Factors that determine Multi-nation business success
The multi-national corporate growth depends on the successful operation strategy in different business environment. As far as this case is concerned, managing risk is one of the primary objectives of BlackBerry. Inc. operating internationally. Especially for Country risk, a clear international competitive focus on acquired a knowledge of the host county political and legal environment. An effective “MNE-Government” relationship strategy could be contributes to the growth of multi-national corporates.