MN3216K Asia Pacific Business Report: Company Analysis

This report provides a comprehensive analysis of five major Asia-Pacific multinational enterprises (MNEs): Secom, Mitsubishi Corporation, Toyota, Hitachi Corporation, and Samsung Electronics. The analysis covers each company's strategy, corporate organization, core capabilities, and the role of the government in its operations and international competitiveness. The report examines how each company navigates the global market, including its use of various strategic approaches such as SWOT and PESTLE analysis, market penetration, and market development strategies. It explores the organizational structures, from board of directors to corporate governance systems, and identifies each company's core capabilities, such as technological innovation, extensive product lines, and strong customer service. Furthermore, the report delves into the role of the Japanese and Korean governments in supporting these companies through various policies, investments, and regulatory frameworks. The report also includes comparisons with other global companies, highlighting the competitive landscape of the Asia-Pacific region.

Running head: Asia pacific business
Asia pacific business
2018

Asia pacific business
Table of Contents
Introduction.................................................................................................................................................4
Secom-Japan................................................................................................................................................4
Strategy...................................................................................................................................................4
Corporate organization............................................................................................................................4
Core capabilities......................................................................................................................................5
The role of government...........................................................................................................................5
Mitsubhishi Corporation-Japan...................................................................................................................6
Strategy...................................................................................................................................................6
Corporate organization............................................................................................................................6
Core capabilities......................................................................................................................................7
The role of government...........................................................................................................................7
Toyota-Japan...............................................................................................................................................8
Strategy...................................................................................................................................................8
Corporate organization............................................................................................................................8
Core capabilities......................................................................................................................................9
The role of government...........................................................................................................................9
Hitachi Corporation-Japan...........................................................................................................................9
Strategy...................................................................................................................................................9
Corporate organization..........................................................................................................................10
Core capabilities....................................................................................................................................11
The role of government.........................................................................................................................11
Samsung Electronics-Korea.......................................................................................................................11
Strategy.................................................................................................................................................11
Corporate organization..........................................................................................................................12
Core capabilities....................................................................................................................................12
The role of government.........................................................................................................................13
Conclusion.................................................................................................................................................13
References.................................................................................................................................................14
Bibliography...............................................................................................................................................17
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Appendices................................................................................................................................................20
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Introduction
The main motive of this task is to discuss the strategy, core capabilities and organizational
structure of Secom, Mitsubishi Corporation, Toyota, Hitachi, and Samsung Company. The paper
explains how the government helps these companies to handle and overcome the rivalries
internationally.
Secom-Japan
Secom Company was incorporated in 1962 in Japan (Glassdoor, 2018). The company is
operating and enhancing its business activities and operations in Japan and more than 10 other
countries. Secom provides ample of products and services including cash transport, security
sensors, and security guards and other instruments through around 160 subsidiaries (Glassdoor,
2018).
Strategy
It is stated that the company uses dynamic and effective strategies in the Japanese market to
overcome the rivalries globally (Graham, 2008). The company uses SWOT analysis to identify
and measure the internal strengths and weaknesses and to overcome the external threats and
opportunities in the competitive market. Along with this, Pestle analysis is initiated to prevent
and minimize the issues, challenges, and risks that exist in the external environment. Apart from
this, the company initiates the cost leadership strategy to attract and retain a maximum number of
customers globally (Graham, 2008).
Corporate organization
It is analyzed from the various analysis that unique and dynamic corporate structure is derived by
the company to conduct business activities and to attract shareholders (Secom, 2018). The
organizational structure of Secom includes board of directors, audit committee, internal audit
department, and executives. The corporate governance system of Secom has been drawn below.
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(Source: Secom, 2018)
Core capabilities
The core capabilities of Secom include leadership, effective business process, technological
innovation, honesty, accountability and fast customer response (Di Stefano, Peteraf and Verona,
2010). With effective core capabilities, the company has been able to stand out against the
rivalries globally.
The role of government
Japan’s system is constant and unique without parallel across the world. It is noted that Japan is a
constitutional monarchy country whereby the power and authority of the emperor are limited.
The country has the biggest and highest level of mobile broadband around the world with 4G
wireless internet and mobile telecommunications networks that is covering 99% of the
population (Japangov, 2017). The aim of the Japanese government is to attract a wide range of
Indian IT organizations and across 2 lakh IT professionals or experts to handle and overcome the
shortage of IT experts in the country (Singh, 2018). It is evident that the Japanese government
had established an IOT acceleration Lab where many Indian organizations had already
contributed. The IT system of Japan is not more strong and unique as compared to the Indian. On
the other hand, the IT industry is one of the biggest and unique sectors in India in today’s
modern world. The Indian government has transformed India into a digitally and unique
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empowered country. The Indian government also had introduced the e-governance aiming at
reshaping the government through dynamic and advanced technology. The government conducts
innovative programs such as universal access to mobile connectivity that showcases connecting
villages to mobile services and various network and maximizing network penetration through the
ongoing and effective programs (Verma, 2015).
Mitsubishi Corporation-Japan
Mitsubishi Corporation is a Japan’s biggest trading Company which is incorporated in 1918. The
company employs more than 70,000 employees and it has seven business segments such as
machinery, energy, chemicals, banking, finance and food (Mitsubishicorp, 2018).
Strategy
Mitsubishi Corporation has emerged as a prominent leader in the international market managing
business operation in more than 90 countries around the world. The marketing mix strategy and
corporate level strategy are being used by the firm to maximize the scope of gaining competitive
benefits (Bhasin, 2017).
Corporate organization
It is evident that Mitsubishi Corporation exercises dynamic and strong corporate culture to attract
maximum employees towards the organization. The company was established for aiming of
encouraging and promoting sports methods, harmony and mutual friendship among Mitsubishi
group members through ample of sports activities under the Mitsubishi club
(Mitsubhishicorporation, 2018). The organizational chart and its structure have been stated
below.
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(Source: Mitsubishi Corporation, 2018)
Core capabilities
The core capabilities of Mitsubishi include extensive and unique product line up, leading-edge
production and development, universal service network and rendering integrated solutions (Di
Stefano, Peteraf and Verona, 2010).
The role of government
It has been stated that the Japanese government plays a vital role in enhancing and improving the
profitability of trading companies internationally. The government has set up invest Japan offices
in agencies and ministries to serve as a single and unique contact point for foreign business
people looking various facts, information and support in establishing a new business in Japan. It
is stated that the Japanese government is failed to invest ample of the amount on professional in
the country. Due to lack of fund, Mitsubishi Corporation faces ample of challenges while
conducting business widely. On the contrary, China provides invest huge amount on the trading
companies as it helps in attaining competitive over the rivalries. China is a biggest and major
emerging market economy both in terms of total economic product and population. Thus, the
country provides ample of opportunities to the various companies for attaining long-term mission
and vision. The Chinese government has invested a huge amount in the service sector to beat the
rivalries globally (Ross, 2018).
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Toyota-Japan
Toyota is a Japanese multinational automotive manufacturing company which is formed in 1937.
It is a biggest automotive manufacturer that provides automobile and hybrid electric vehicles to
the customers across the world (ToyotamotoreastJapanInc, 2018).
Strategy
It has been studied from the various studies that Toyota Corporation uses a market penetration
strategy to analyze and evaluate the tastes, preferences, and choices of the customers globally.
Further, it also uses market development and corporate level strategies to stand out over the
rivalries globally (Ichijo and Kohlbacher, 2008). The just-in-time production system is used by
the company while operating its business activities and operations globally (Monden, 2011)
Corporate organization
Toyota organizational structure is based on the different business activities and operations of the
company across the world. The company maintains a favorable working environment and culture
at the workplace to maximize and increase the sale and revenue in the competitive market. The
organizational chart for Toyota Motor Corporation has been detailed below
(Source: https://www.researchgate.net/figure/Organization-chart-of-Toyota-and-other-
companies_fig1_313178757 )
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Core capabilities
The profitability and revenue of Toyota Corporation can be increased with possessing dynamic
core capabilities. The company has strong and unique capabilities in intellectual capital, human
resources, learning, and knowledge management; they exchange and train their vendors along
with their employees to maintain their core competence. Apart from this, strong capabilities and
resources also are being initiated by the firm to compete with rivalries globally (Di Stefano,
Peteraf and Verona, 2010).
The role of government
Without a doubt, it is noted that Japan is one of the well-known countries when talking about the
automobile industry. The government of the country is investing a large amount in the
production of car brands such as Nissan, Toyota, Honda, and Suzuki, however, it has set the
cheapest cost for vehicles. First domestic Gasoline engine car was produced in the country which
can help Toyota to attain a competitive edge over the competitors. In today’s competitive world,
various challenges are significantly apparent in the nation’s automotive industry which may
impact on Toyota goodwill and financial position (CarfromJapan, 2018). On the contrary, it is
noted that the Korean government is investing huge amount on research and development
policies and strategies on the expansion and development of the automobile industry. The
Korean government has developed and built its own car model in the mid-1970 and since then
the country is growing constantly in the automobile industry (CarfromJapan, 2018).
Hitachi Corporation-Japan
Hitachi is a Japanese multinational conglomerate Corporation headquartered in Chiyoda, Tokyo,
Japan. The firm is formulated in 1910 as it is listed on the Tokyo stock exchange (Hitachi, 2018).
In today’s era, the firm is maximizing and enhancing the business objectives and goals in a
hassle-free manner.
Strategy
It has been analyzed that Hitachi uses innovative and unique marketing strategies to build and
improve the brand image in the minds of the customers. Segmentation, targeting, and positioning
strategy are being used by Hitachi to cater its products widely as further it also uses
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diversification strategy to distinguish its products from the rivalries (Bhasin, 2018). It also uses a
porter diamond model to struggle with rivalries at the international level.
Corporate organization
The corporate organization is considered the backbone of every firm. As the same way, Hitachi
also follows a unique and attractive organizational structure to boost sale and minimize the risk
and challenges. The corporate structure includes board of directors, chairman of board, senior
executive committee, president and group strategy committee. The organizational chart of
Hitachi Corporation has been drawn below.
(Source: https://www.hitachi-ie.com/company-profile/organizational-chart)
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Core capabilities
The success and growth of the firm are dependent on the core values and capabilities. Some of
the core capabilities of Hitachi include faster delivery, high quality, long lasting vehicles,
innovation design, and advertising. By initiating core capabilities, Hitachi is able to struggle with
rivalries globally as it also helps in improving goodwill and brand image internationally. The
business of the company is driven by the various customer’s creativity, focus, resourcefulness
and entrepreneurial spirit (Di Stefano, Peteraf and Verona, 2010).
The role of government
In conglomerate industry, the Japanese government is giving full contribution for overcoming on
the rivalries globally. The military vehicle subsidy law was set up in March 1918. Under this
law, the military provided subsidies to Japanese conglomerate and car manufacturers to
manufacture automobiles vehicles in the global market (CarfromJapan, 2018). Automative,
aircraft and electric industries are experienced growth and success in response to the
requirements and needs of the era. On the other hand, the Korean government also plays a
significant role to attract electronics companies in the global market. The government of the
country provides a legislative basis for the expansion and growth of high technology industry
with the help of national banking rules and regulations, tax incentives and low-interest loans. The
electronics industry is growing rapidly in such market globally. Various funds are provided by
the Korean government for the development and expansion of the electronics industry
(CarfromJapan, 2018).
Samsung Electronics-Korea
Samsung Electronics Company is a South Korean multinational electronics Corporation with its
headquarter is located in Suwon, South Korea. The firm is incorporated in 1969 in Korea. The
firm has employed approx 200,00 employees in more than 60 countries across the globe. The
firm is a producer of telecom, digital convergence technology, memory chips, CDMA mobile
phones and VCRs (Bnamericas, 2018).
Strategy
In order to attain a competitive edge, the company requires to have a unique and effective
marketing strategy that is unique and effective. The company uses marketing strategy such as
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marketing mix, market penetration and product development strategy which enable it to become
an industry player in the innovative technology sector. Along with this, price skimming strategy
is initiated by the firm to attain the upper hand over their rivalries. In addition, it also implements
porter five forces analysis to stay in the competitive market (Graham, 2008).
Corporate organization
The organizational structure of Samsung is categorized into three key divisions: consumer
electronics, IT& mobile communications, and device solutions. Each and every division of the
firm is controlled and handled separately taking into account the aspects of their products that
have implications on innovative and unique product development, selling, marketing and other
attributes of the business (Dudovskiy, 2017). The organizational structure of Samsung
Electronics has been discussed below.
(Source: Song, Lee, and Khana, 2018)
Core capabilities
Diversified business structure is the main and unique source of its competitive benefit. Along
with this, complementary assets are useful in the growth and development of Smartphone
globally. Collaboration and strong communication are unique capabilities for Samsung
electronics in the competitive market that help in uplifting profitability. Along with this,
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