EXHIBIT 10.1 Dominant Growth Pates Lge Corporations Strategies leading to new st

Question

EXHIBIT 10.1 Dominant Growth Pates Lge Corporations Strategies leading to new structure Growth in revenues and employees Dominant growth path for U.S. firms Diversification into unrelated areas Structure Vertical integration Holding Company Structure Diversification into related products and markets Functional Structure Increase relatedness of products and markets nternational xpansion Divisional Structure Related diversification International expansion Worldwide Holding Structure Worldwide Functional Structure expansion Increase relatedness of products and markets International Structures Related diversification

Explanation / Answer

1. The growth pattern of P&G needs a product based organizational division that takes care of its product division across the globe. Such structure will be effectively used to explore the market, devise the strategy for global products, monitor the progress of different products in the markeplace, managing their lifecycle, researching the lifestyles and needs of the consumers worldwide, analyzing the competitive products and coming up with innovative products that add value to the customers to gain competitive advantage.This unit should be an autonomous one, taking vital decisions under strategic directions of the top management.

2. Another part of organizational design should be a pivotal team of functional heads assisted by competent professionals in the fields of Operations, Finance, Marketing, HR, Technology and Strategy to address the issues related to fundamental business functions, ensuring the implementation of best practices, formation and implementation of functional strategy to contribute to the organizational growth and address the changing business scenario with corrective actions to gain and sustain competitive position.

3. To take care of the global operations of the company, the organizatonal structure should have global teams spread across geographies, heading different functional units under guidance from the corporate headquarter. These teams, being part of the local environment, would be more culture sensitive and conversant, will have better knowledge of local market and its specific customer needs, would be better equipped to analyze and capture the new opportunities of business and would help in giving strategic directions to the local arm of business to ensure active contribution to the overall growth of the organization and help achieving global competitive advantage.

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