Case Analysis (Continued 2) - Essay Example

So, in the remainder of the present segment, we shall attempt to determine Otis’s position on the Global Integration / Local Responsiveness Grid to determine the extent of the veracity of the statement. So, it is evident that Otis in Russia is influenced both by global as well as local factors. Thus, from this perspective, the notion of Otis being solely Russian does not hold. It is true that local factors play an important role, but the impact of global integration factors is not insignificant enough to validate the statement.

However, if we consider the facts that the Russian operation is self financed with all employees and traditions being Russian, along with the strength of the local responsiveness factors, the statement cannot be so easily invalidated. The most important part is that Modernization, which is the most important part of the business, was invented and introduced by Otis in Russia, the statement does seem to be at least partially true. To facilitate an enhanced perception of the possible areas that can be focused upon to increase the extent of value created, the value creation at various stages is presented in the following table.

The accorded comments for each stage in resources, assets and competencies are explained thereon through a more detailed narration. Otis’s prime strength lies in its R&D capabilities. Being a part of United Technologies Company (UTC), Otis strives on its constant innovations which in fact account for a significant part of the company’s budgets. UTC has a considerable number of engineering centers spread all over the globe and the culminated know how is efficiently utilized for all major subsidiaries.

As a result resources, assets as well as competencies, all are significantly value generating for the R&D stages. Particularly in case of Otis-Russia, it benefits from not only this