Reference no: EM131635970

Maitland, E., & Sammartino, A. (2012). Flexible footprints: Reconfiguring MNCs for new value opportunities. California Management Review, 54(2), 92–117

The article indicates that senior executives of multiple multinational organizations are compelled to reexamine and restructure value chains to be competitive continuously. The authors suggest that through strategic flexibility, there are three dimensions of measurement that should be considered to determine a global footprint of strategic roadblocks and opportunities to expand into new markets, divest redundant markets, and adapt for future challenges. These areas are use, firm, and flexibility. Data is collected through an analysis of three organizational sources, GM, Qantas, and a mining multinational corporation. The data is used to model a decision tool that is designed to assist management and organizational leaders in being innovative in creating new products and new markets for the organization. The framework is built on a set of core questions about the organization and the use and location of the dimensions of assets to construct a flexibility profile for the individual assets or groups of assets. Several aspects of the sample organizations are reviewed and molded into the designed format for the analysis. The conclusion of the study revealed that there is a complexity in global and international business decisions. Each industry has a set framework and there is importance in focusing on the asset level when pursuing strategic flexibility and competitive advantages, but there is not one global decision model or tool that can be formatted to fit all industries.

The reliability of the article is questionable. The method of data collection was based upon raw data collected on three organizations, without an identifiable way to check the integrity of the data. It is unclear who the targeted audience is, and as such, I am unable to identify the appropriateness of the intended audience. The authors are professors of management at University of California and have limited range of authority on the subject. The age of the article is less than three years old. There are several limitations on the data collected and the sample size was extremely small. As such, this article is not useful when evaluating the relationship between entrepreneurship and innovation.

QUESTION: Provide an analysis of how the information contained in the article relates to strategic alliance or value opportunities for your current or former organization, using specific examples.