The most important and widest degree of business objective is termed as the vision of the organization. This is a declaration of large ambition. It concerns with the position that the organization expects to achieve in the future. The vision is related to the strategic intent of the organization. It is an effort by managers to recognize the space between the existing situation of the organization and required position to be attained in the future. It is maintained that the vision of the organization has to be connected to core competences and to potential environmental conditions.
An organization intending to have a global business in requires a transnational strategy. Such a strategy demands a global vision. This entails that the entire world is considered as a possible market place. Competition is looked up on as a worldwide feature. Function are to be are constituted to take advantage global benefits. Operations have to be managed on a global scale. In addition, possibly most prominently, the organization has to possess a transnational attitude, culture and view point.
It can be seen that a global strategy is, to a considerable degree, a business attitude or mode of thinking possible in an organization. Consequently it is critical to comprehend about the level to which a business is adjusted to have a global perspective. It can be claimed that the scheme of values of an organization, which will comprise of its past and growth, its techniques and routines, its foresight and organizational culture will form managerial viewpoint in the direction global strategy.
A valuable structure for classifying the philosophy of an organization is provided by the EPRG matrix. As per this matrix philosophy of an organization will belong to one of the four groups which are as below
Ethnocentric philosophy- In this there is an inclination in the direction of the home country founded on a conviction that the home business is advanced.
Polycentric philosophy- In this there is a leaning in the direction of the host country but at the same time it stresses adjustment to local situations in other nations.
Regiocentric philosophy- It is a method that stresses an adaptation in the direction of a regional federation of countries like European Union or the Middle East.
Geocentric philosophy- It signifies a worldwide attitude to business.
Each one of these above mentioned philosophies have connotations for the probable strategy of the business implementing it. It is the responsibility of the Manager to evaluate the principal philosophy of the business. The manager has to find out the degree to which it is to be equipped to sustain and promote a worldwide attitude to business.