Strategic Commerce International, Inc, is an international corporate portal, an organization for integrating information, people, products, services and international trade processes across multinational boundaries.
SCI management provides a secure unified access point, in the form of strategic and logistical locations designed to collect information through strategic-specific trade opportunities. SCI also assists in the related development of humanitarian aid. It
therefore encompasses governance, health care, education, gender equality, disaster preparedness, infrastructure, economics, human rights, environment and private sector issues associated with these.
SCI's compatibility will be influenced by people who think independently. People who are “outside the box” and have difficulty conforming to structure and can remove themselves from the foundations of the corporation.
Challenges of International Trade
The strategic compatibility that will lead SCI on this wave of International expansion will be through the "hearts of compassion" and the new ventures SCI will have to adapt and change too - the constant economic filters of geographic
The United States has seen a rise in debt over the past few years. From mid-2000, the U.S. and the global economy has weakened significantly following one of the largest stock market declines in the postwar period, the terrorist attacks
of September 11, 2001, major internal combustion in major corporations leading to corporate failure, and the wars in the Middle East.
These events have played a significant role on the judgment of idealist to produce opportunities in the national and global markets. The economic picture in the United States has played a major role in the impact of the emerging markets in
Eastern Europe, Asia and Latin America. The United States budget deficit, global interest rates, and the U.S. Dollar have been exposed by the debt linked to the United State government and policy.
It has developed adverse effects on short and long-term interest rates. The traditional distribution structures in Japan, Europe and other countries have seen rapid changes to entry barriers into key markets for small businesses that offer
products and services.
SCI & Global Market Integration
The economic picture today is one of several bundled hot buttons. Each geographical region of the world now has been integrated though advancements in technology and services. This threshold has developed several key communication
channels that have broken down the environment of semantics and sparked the interest for organizations to consider global integration.
Though many U.S. Consumers associate globalization with leading multinationals like Coca-Cola, GAP, Nike or GE, that have huge operations in many countries, small businesses have actually been one of the main drivers of global
integration. According to the U.S. Department of Commerce, between 1999 and 2008, the number of small and mid-sized U.S. Exporters more than tripled.
According to Grolier's On-line Encyclopedia, Inflation is a process in which the average level of prices increases at a substantial rate over a considerable period of time. In short, more money is required to buy a given amount of goods and
services. An understanding of global inflation is key to building opportunities in international trade simply because it is a foothold to our revenue streamline. For the first time in the history of the world, inflation is a universal phenomenon with
all currencies tied together.
Global inflation outlines the environment for which SCI will formulate certain strategies as they affect different segments of the global market space.
The International Political Perspective
The emerging global economy is bringing together people and nations, which provides outlets of competition. The roadways that open also creates a market capitalization which endorses free enterprise in new markets and small markets
that are considered large enough to become viable opportunities. The main concern of the 21st century will be the geopolitical forces that monitor and issue policy for the exchange of goods and services in the global markets. As
competition develops in certain markets the contingency for protectionism will become the hot button in most respective markets. The passions for trade will grow and has already established itself as a trend in the last decade of the 20th
century. The economies of the industrialized world have entered their mature state of the product life cycle and will be more than modest over the next twenty years.
The Organization for Economic Cooperation and Development estimates that the economies of the OECD member countries will expand about 3 percent annually for the next 25 years, the same rate as the past 25 years.
Organizations like the World Trade Organization (WTO) was formed to help the social, political, and economic changes that will lead the global economy into the future with victories for developing countries like Cape Verde in the area of
International Trade and Policy.
When SCI is formulating a strategic decision to enter a global market we should keep in mind the different geopolitical challenges. We should also know our state of controllable and uncontrollable initiatives when entering a market. With
the continued strengthening of opportunities in International Strategic Alliances we can also focus on the continued strengthening and creation of regional market groups:
European Union (EU) North American Free Trade Agreement (NAFTA)
ASIAN Free Trade Area (AFTA) Free Trade Area of America (FTAA)
Southern Cone Free Trade Area (Mercosur) Asia-Pacific Economic Cooperation (APEC)
SCI will constantly have to examine the way we conduct business and remain flexible enough to react to the rapidly changing global trends to be competitive.
When we seizes an opportunity in global markets there are several factors SCI should consider before entering an emerging market.
1. Understanding the balance of trade relationship between merchandise imports and exports in prospective target markets.
2. Extensive research on the political forces of the global environment to have alternative outlines for strategy and implementation for barriers to enter market(s).
3. Understand the development of the domestic industry and how countries will protect existing industry by establishing tariffs, quotas, boycotts, monetary barriers, non-tariff barrier, and market barriers.
4. The Political and Legal issues.
SCI - Corporate Culture
The spirit of the entrepreneur has been perceived as a weakness in the traditional methods of corporate management. Most of this is caused by power and influence from top-level management and corporate streamlining. The chain of
command takes control and the end result is the loss of well-minded people who are disenchanted with bureaucratic organizations.
In my view this bureaucracy enables other organizations to find opportunities and opens the door for SCI to possess a flatter structure. World globalization has helped open doors that used to be closed. New technologies and SCI's
pursuit for Strategic Alliances will lead us into a growing level of international corporation.
SCI is in pursuit of corporate entrepreneurship, however, this strategy creates a newer and potentially more complex set of challenges on both a practical and a theoretical level. On a practical level, SCI needs guidelines to direct or
redirect resources towards establishing effective SCI strategy. On a theoretical level, people need to continually reassess the components or dimensions that explain and shape the environment in which corporate SCI will flourish.In an ever
changing world environment SCI must be in a position to change and adapt in order for it to overcome any obstacles.
Successful Business Opportunities
Most people understand the challenges they face when they opt to go into business for themselves. Everyone knows the road to having success in the corporate environment of small, medium and large corporations. SCI has an incredible
advantage in our national democracy. The freedom of private business to organize and operate for profit in a competitive system without interference by government beyond regulation necessary to protect public interest and keep the
national economy in balance only exists in democratic forms similar to the United States.
So how does that affect pursuing opportunities in our global society? Our assumption must take us back to the most important questions that anyone pursuing or seeking a business opportunity must face. Do you know if you are
SCI and Responsibility Toward Corporate Citizenship
SCI's success within international business and its Cape Verde strategic opportunity will depend on one’s self as well as SCI's ability to enable others to act and share in the creative implementation of the organization’s mission. The SCI
passion must lead others to understand our importance of ownership and empowerment in the organization. SCI members must become stewards who understand the organizational culture and environment. SCI as a whole must be
optimistic and look for opportunities to produce results. As a leader we must model the way for our alliances, partners and the community to understand our vision and purpose towards corporate responsibility and citizenship.
Allot of soul searching will transpire for the drive to catch on as a fever that is burning hot through our entire organizational community. Encouraging others and building an organizational environment that shares - optimistic uncertainty with a
vision that will lead to a successful organization that serves others while serving itself in today and tomorrow’s global society.
Through the empowerment of a vision or growth image is perhaps the most crucial strategy that must be set in motion for SCI to be successful from it’s embryonic beginnings. The opportunities in the international market place for SCI are
not as challenging as they were just one decade ago. There are several alternative approaches that can be utilized as a competitive advantage for the emergence into global markets.
As we move ahead we must understand all of the facts and assumptions to entering the global arena and then the SCI/CapeVede 1st adventure will launch us into the global market place. Once we have assessed our organizational core
competencies, SCI will evaluate the alternative approaches to make a successful launch into the second decade of the 21st century via The Republic of Cape Verde.
I Hope to see you on the15th Parallel! Santiago is @ 15" 0'N – 23" 44'W
|Globalization is Good
|Globalization is Bad
|SCI -Board Room
| SCI - Internal Document #1
Processes, Procedures & Options
The essence of formulating our competitive strategy will be by relating SCI to its environment. Although the relevant “global” environment is very broad, encompassing social as well as economic forces is the key aspiration of SCI to market or
markets in which we will compete. Market structure has a strong influence in determining the competitive rules of the game as well as the strategies potentially available to SCI. The forces outside are significant primarily in a relative sense; since
outside forces will affect SCI in the global marketplace, the key to our success will be found in the differing abilities of SCI to deal with them.
The intensity of competition in a market is neither a matter of coincidence nor bad luck. Rather, competition in a market is rooted in its underlying economic structure and goes well beyond the behavior of current competitors. The state of competition
in a market depends on five basic competitive forces. The collective strength of these forces determines the ultimate profit potential in the market, where profit potential is measured in terms of long run return on invested capital. Not all markets have
the same potential. They differ fundamentally in their ultimate profit potential as the collective strength of the forces differs; the forces range from intense in markets like tires, paper, and steel -- where SCI earns spectacular returns -- to relatively mild
in markets like oil-field equipment and services, cosmetics, and toiletries -- where high returns are quite common.
This thesis will be concerned with identifying the key structural features of markets that determine the strength of competitive forces and hence market profitability. Our SCI-strategy for a market is to find a position in the market where the company
can best defend itself against competitive forces or can influence them in our favor. Since the collective strength of the forces may well be painfully apparent to all competitors, the key for developing a SCI strategy is to delve below the surface and
analyze the sources.
Knowledge of these underlying sources of competitive pressure will highlight the critical strengths and weaknesses of a product or service, animates its positioning in its market, clarifies the areas where strategic changes may yield the greatest payoff,
and highlights the areas where market trends promise to hold the greatest significance as either opportunities or threats.
Understanding these sources will also prove to be useful in considering areas for diversification, though the primary focus here is on SCI-strategy in individual markets. Structural analysis is the fundamental underpinning for formulating competitive
strategy and a key building block for most of the concepts in this thesis.
To avoid needless repetition, the term "product" rather than "product or service" will be used to refer to the output of a market, even though the principles of structural analysis developed here apply equally to product and service businesses. Structural
analysis also applies to diagnosing market competition in any country or in an international market, though some of the institutional circumstances may differ.
Structural Determinants of the Intensity of Competition
The five competitive forces -- entry, threat of substitution, bargaining power of buyers, bargaining power of suppliers, and rivalry among current competitors -- reflect the fact that competition in a market goes well beyond the
established players. Customers, suppliers, substitutes, and potential entrants are all "competitors" to SCI in the market and may be more or less prominent depending on the particular circumstances. Competition in this broader sense might be termed
All five competitive forces jointly determine the intensity of market competition and profitability, and the strongest force or forces are governing and become crucial from the point of view of SCI-strategy formulation. For example, even a company
with a very strong market position in a market where potential entrants are no threat will earn low returns if it faces a superior, lower-cost substitute.
Different forces take on prominence, of course, in shaping competition in each market. In the ocean-going tanker market the key force is probably the buyers (the major oil companies), whereas in tires it is powerful original equipment (OEM) buyers
coupled with tough competitors. In the steel market the key forces are foreign competitors and substitute materials.
The underlying structure of a market, reflected in the strength of the forces, should be distinguished from the many short-run factors that can affect competition and profitability in a transient way. For example, fluctuations in economic conditions over
the business cycle influence the short-run profitability of nearly all companies in many markets, as can material shortages, strikes, spurts in demand, and the like. Although such factors may have tactical significance, the focus of the analysis of market
structure, or "structural analysis," is on identifying the basic, underlying characteristics of a market rooted in its economics and technology that shape the arena in which SCI-strategy. Overtime SCI will have unique strengths and weaknesses in dealing
with market structure, and market structure can and do shift gradually over time. Yet understanding market structure must be the starting point for SCI-strategic analysis.
Entry, threat of substitution,
Bargaining power of buyers,
Bargaining power of suppliers,
Rivalry among current competitors.
Blue Ocean Strategy
What is Blue Ocean Strategy - Wikipedia
Blue Ocean Strategy is a business strategy book first published in 2005 and written by W. Chan Kim and Renée Mauborgne of The Blue Ocean Strategy Institute at INSEAD. The book illustrates what the authors believe is the high growth and
profits an organization can generate by creating new demand in an uncontested market space, or a "Blue Ocean", than by competing head-to-head with other suppliers for known customers in an existing industry
The book is divided into three parts: The first part presents key concepts of blue ocean strategy, including Value Innovation — the simultaneous pursuit of differentiation and low cost — and key analytical tools and frameworks such as the strategy
canvas, the four actions framework and the eliminate-reduce-raise-create grid. The second part describes the four principles of blue ocean strategy formulation: how to create uncontested market space by reconstructing market boundaries, focusing
on the big picture, reaching beyond existing demand and getting the strategic sequence right. These four formulation principles address how an organization can create blue oceans by looking across the six conventional boundaries of competition (Six
Paths Framework), reduce their planning risk by following the four steps of visualizing strategy, create new demand by unlocking the three tiers of non customers and launch a commercially-viable blue ocean idea by aligning unprecedented utility of an
offering with strategic pricing and target costing and by overcoming adoption hurdles. The book uses many examples across industries to demonstrate how to break out of traditional competitive (structuralist) strategic thinking and to grow demand and
profits for the company and the industry by using blue ocean (reconstructionist) strategic thinking. The third and final part describes the two key implementation principles of blue ocean strategy including tipping point leadership and fair process. These
implementation principles are essential for leaders to overcome the four key organizational hurdles that can prevent even the best strategies from being executed. The four key hurdles comprise the cognitive, resource, motivational and political hurdles
that prevent people involved in strategy execution from understanding the need to break from status quo, finding the resources to implement the new strategic shift, keeping your people committed to implementing the new strategy, and from
overcoming the powerful vested interests that may block the change.
In the book the authors draw the attention of their readers towards the correlation of success stories across industries and the formulation of strategies that provide a solid base create unconventional success — a strategy termed as “Blue Ocean
Strategy”. Unlike the “Red Ocean Strategy”, the conventional approach to business of beating competition derived from the military organization, the “Blue Ocean Strategy” tries to align innovation with utility, price and cost positions. The book mocks
at the phenomena of conventional choice between product/service differentiation and lower cost, but rather suggests that both differentiation and lower costs are achievable simultaneously.
The authors ask readers “What is the best unit of analysis of profitable growth? Company? Industry?” — a fundamental question without which any strategy for profitable growth is not worthwhile. The authors justify with original and practical ideas
that neither the company nor the industry is the best unit of analysis of profitable growth; rather it is the strategic move that creates “Blue Ocean” and sustained high performance. The book examines the experience of companies in areas as diverse as
watches, wine, cement, computers, automobiles, textiles, coffee makers, airlines, retailers, and even the circus, to answer this fundamental question and builds upon the argument about “Value Innovation” being the cornerstone of a blue ocean
strategy. Value Innovation is necessarily the alignment of innovation with utility, price and cost positions. This creates uncontested market space and makes competition irrelevant. The following section discusses the concept behind the book in detail.
SCI-Strategy & Blue Ocean Strategy
|Blue Ocean Strategy: Making the Competition Irrelevant
|Social Entrepreneurs and Boards of Directors
Trade Winds 2015
|Comercio Estrategico Internacional, LLC.