LewisGlobalwork Saudi Arabia
LewisGlobalwork Saudi Arabia
Snyopsis:
For the LewisGlobalworks board, the current proposal for expansion into Saudi Arabia has been extrapolated into government/laws, economy, culture and technology considerations.
This breakdown emphasizes the strategic issues if action is needed to push forward or reject the current Saudi Arabia proposal.
At LewisGlobalwork, we strive to maintain integrity of our production facilities. As a leading manufactuer of textiles, computers, and auto parts it is imperative to maintain our dependable global brand image while minimizing costs and risks, therefore the advantages and potential threats of expansion will center around the corporation strengths, regional threats, while suggesting risk hedging possibilites.
Government and Laws:
The political enviroment of Saudi Arabia has several key considerations mostly in regards to Islam. Because Islam is tightly bound to both the government and legal system, LewisGlobalwork will need to consider carefully the needed adjustments to operate in Saudia Arabia.
1) Foreign Policy "Saudi foreign policy objectives are to maintain its security and its paramount position on the Arabian Peninsula, defend general Arab and Islamic interests, promote solidarity among Islamic governments, and maintain cooperative relations with other oil-producing and major oil-consuming countries."1 . Due to America 's large oil consumption, US based companies have enhanced political influence in Saudia Arabia, despite being softend by the Islamic non-affiliation. In addition, there have been continued efforts by the US trade department to improve relationships with Saudi Arabia which is a distinct advantage for LewisGlobalworks: "During the Council meeting, held on January 15 in Riyadh, Saudi Arabia, officials from the United States and Saudi Arabia pursued various mechanisms for expanding their trade and investment
Snyopsis:
For the LewisGlobalworks board, the current proposal for expansion into Saudi Arabia has been extrapolated into government/laws, economy, culture and technology considerations.
This breakdown emphasizes the strategic issues if action is needed to push forward or reject the current Saudi Arabia proposal.
At LewisGlobalwork, we strive to maintain integrity of our production facilities. As a leading manufactuer of textiles, computers, and auto parts it is imperative to maintain our dependable global brand image while minimizing costs and risks, therefore the advantages and potential threats of expansion will center around the corporation strengths, regional threats, while suggesting risk hedging possibilites.
Government and Laws:
The political enviroment of Saudi Arabia has several key considerations mostly in regards to Islam. Because Islam is tightly bound to both the government and legal system, LewisGlobalwork will need to consider carefully the needed adjustments to operate in Saudia Arabia.
1) Foreign Policy "Saudi foreign policy objectives are to maintain its security and its paramount position on the Arabian Peninsula, defend general Arab and Islamic interests, promote solidarity among Islamic governments, and maintain cooperative relations with other oil-producing and major oil-consuming countries."1 . Due to America 's large oil consumption, US based companies have enhanced political influence in Saudia Arabia, despite being softend by the Islamic non-affiliation. In addition, there have been continued efforts by the US trade department to improve relationships with Saudi Arabia which is a distinct advantage for LewisGlobalworks: "During the Council meeting, held on January 15 in Riyadh, Saudi Arabia, officials from the United States and Saudi Arabia pursued various mechanisms for expanding their trade and investment
Cited: 1) CIA information on Saudi Arabia https://www.cia.gov/library/publications/the-world-factbook/geos/sa.html 2) Cultural information on Saudi Arabia http://globaledge.msu.edu/countries/Saudi-Arabia 3) Improved relationships between Saudi Arabia and United States http://www.ustr.gov/about-us/press-office/press-releases/2012/january/united-states-and-saudi-arabia-work-strengthen-tie 4) FEMA related risks working in Saudi Arabia http://training.fema.gov/EMIWeb/edu/Comparative%20EM%20Book%20-%20EM%20in%20Saudi%20Arabia.pdf 5) Cultural and general information. http://fulbright.state.gov/uploads/02/02/020247f83b6af04c12a098e8c5a67e7a/NEA_Saudi-Arabia.pdf 6) General and business etiquette of Sadi Arabia. http://www.ncbi.nlm.nih.gov/pmc/articles/PMC2446421/ 7) Politcal and financial risks working in Saudi Arabiahttps://new.edu/resources/financial-management-in-international-business 8) A large compilation of Saudi Arabia http://export.gov/saudiarabia/static/CCG_Latest_eg_sa_042616.pdf 9) Information about the fixed exchange rates of Saudi Arabia pegged to US dollar. http://lcweb2.loc.gov/frd/cs/oman/om_glos.html