By way of critical analysis, both compare and contrast (not just describe) the specific geopolitical KEY changes/effects of both the COVID pandemic and the China-US tensions trade war across the food supply chain (manufacturing, distribution and retail) and firms within (Walmart and Kroger).
CONTEXT – Exploring Geopolitics
By now, we all know that International businesses are operating in an increasingly complex and uncertain world and their managers need to consider geopolitics and the impact of geopolitical challenges at the level of the firm, its international subsidiaries, at the level of transactions between businesses, and also important, at the team and individual level. The last few years have raised further concerns around the effect of the expected ‘de-globalization’ of markets on different countries, sectors, and individual businesses.
Because of this complexity and unfolding nature of geopolitical challenges, theory needs to be adapted or sensemaking of what is often the “new normal” business reality is needed. From a practical lens, a way of understanding the new situational context is to start with that which is experienced, especially when it falls outside the manager’s previous knowledge, expertise, and experiences. What is needed it to take this new lived experience and seek to understand it or generalize from it. This way, we can discuss impacts for different types of businesses. In other words, to be effective in these new situations and contexts, international managers need to be reflexive – use their sense of the situation, including their direct observation – and determine how this might impact on international business issues.
Assignment Criteria
Step 1: Create a diagram of the food supply chain which reflects your understanding of the nature of geopolitics and their impact on that industry. Think about the following:
- How are international firms operating in that industry affected by the changes?
- Are all negatively/positively affected?
- Provide examples of “winners” and “losers”?
- And why can some firms take advantage of geopolitical changes and not others?
Step 2: Briefly explain your thinking, thoughts, rationale, and intentions when producing the visual. This is an important step since the visuals will form part of your 1000-word critical analysis submission to test your understanding of this geopolitical critical analysis Step 3: 1000-word critical analysis (please cover all six parts of the Analysis Structure/Format below). You MUST, MUST, MUST explain your findings and provide rationale for your findings and rec
ommendations for Multinational Enterprises in the supply chain. You MUST discuss which industries are more likely to be influenced by the geopolitical changes; WHAT types of firms have the necessary resources and capabilities to weather these changes, and WHAT broader lessons can be learned from international firms’ current responses to changes in their environment— predominantly in terms of the economic downturn / inflation / possible recession. I.e. https://www.csis.org/analysis/what–behind–recent–rise–global–food–prices
Analysis Structure / Format
1. Geopolitical key events
- (Primary) Pandemic
- China-US Tensions Trade war
- Economic downturn / inflation / possible recession 2. How it negatively impacted each firm (Walmart and Kroger)
- What was the fallout of these impacts?
- What adjustments each industry made to account for these
- What suggestions would you propose holistically?
- Utilize at least 3 theories, models, frameworks (PESTLE, OLI and/or Uppsala) to use to standardize your analysis for 1,2,3
of the Analysis Structure/Format for each company (Walmart and Kroger).
