The reorganization is the process by which a company extends itself in order to supply its goods and services. Reorganization of a company structure always increases the demand for company products. It also increases the profit in the company. For a company to develop, it has to improve its organizational structure by implementing rules and regulations that govern the company to achieve its objectives. The company also has to improve its operations by making its efficient and effective this enables the company to achieve targeted profits.
Financial is another important aspect, the company has to establish itself on how to utilize and obtain money. For a company to reorganize it has to develop with various strategies that will make it achieve its objectives. Mezroze is one of the Companies in Europe that have improved itself in structure, effective operational and stable in financial (Brouwer, 2006).
Firstly, Mezroze Company has come up with the market strategy of venturing in the foreign environment. This foreign environment offers an extensive market where the company will supply its products and services in the whole world. The Foreign environment will increase the company products demand hence huge capital will be experienced.
Through foreign market, the company will also have experience and gain more skills and knowledge of improving the company. Mezroze Company, to protect itself it has come up with strategies for marketing its products. For example, the company has target countries such as US and Germany that have the high demand for their products. Besides the company benefiting in the foreign environment it has also disadvantaged example the company will face stiff competition (Schmidt, 1997). Through this, the company has decided to manufacture high-quality products and unique product from other companies.
The company also manufactures both children and adult products manufacturing many products the company increases the demand for its product. Secondly, franchising is another aspect the company has developed. Franchising is the practice of the right to use a company business model and brand for a specific period of time. It protects the company products such that other developing company cannot manufacture the same product manufactured by the Mezroze Company. It also protects the company brand and design of products produced by the Mezroze Company. Through this franchising, the company will be able to develop itself in the foreign Environment.
Developing company in the whole world venturing in the foreign environment cannot use Mezroze business model or the brand of the company. Additionally, the company uses the direct export, this will help the company to improve its products of textile by getting customers advice and feedback. Through this feedback and advice, the company will try and improve its products and hence increase the demand (Bebchuk, 1988). Furthermore, The Company has established partnerships and joint ventures with already existing companies in the foreign environment. This will make the Mezroze Company known over the world in the textile. The company will also obtain skills and knowledge about textile from other company and this will improve the company. Moreover, the company has developed the plan for market entry, learning about the company customers and etiquette in the foreign environment.
The reorganization is one of the crucial aspects of the company despite being difficult and time-consuming it has a lot of benefit to the company. Example venturing in foreign environment improves the company products and also the organization itself. For a company to develop it has to acquire sufficient and better strategies that will guide it in the business market. Example, Mezroze Company venturing in the foreign environment, building partnership and joint ventures this will improve the company products resulting to financially stable in the company.
Bebchuk, L. A. (1988). A new approach to corporate reorganizations. harvard law review, 775-804.
Brouwer, M. (2006). Reorganization in US and European bankruptcy law. European Journal of Law and Economics, 22(1), 5-20.
Schmidt, K. M. (1997). Managerial incentives and product market competition.В The Review of Economic Studies,В 64(2), 191-213.