International business class (Discussion Board) Assignment - 5

International business class (Discussion Board) - Assignment Example es-spatial proximity of upstream and downstream industries enhances the sharing of information and this enables a continuous sharing of ideas and innovation, which can create competitive bias in a certain type of industry. Factor conditions- against the traditional thought, he argued that key factor of production are created and not inherited. The key factors are skilled labour, capita and infrastructure. These are the ones that can create a competitive advantage. He referred to those factors as the â€Å"diamond of national advantage†, by implication he asserted that it is the inter-linkage of these factors that would actually precede the attainment of the competitive advantage. Further, he pointed out that government policy and the chance of event had a role to play in the inter-linkage and hence a national competitive advantage factor. Texas cotton farmers have in recent years been facing stiff competition from other overseas farmers, particularly China and India. The provision of subsidy-government policy, a factor that affects the inter-linkage of other factors may have tilted productions in favour of the Asian giants. However, demand conditions in the American market for cotton products, new business strategies being employed and the existence of a system of powerful infrastructural development in the region might tilt the scale in their favor. The four advanced factors that Porter writes about are Demand Conditions, Related and Supporting Industries, Factor Conditions, and Firm Strategy, Structure, and Rivalry. Texas cotton farmers were able to use Porters Diamond model to redefine their business strategy in order to remain competitive. One of the ways they did this was to upgrade on their machines and technologies. This propelled them into the new millennium and provided support for them to remain competitive in the national and global market. This helped them build up the industry into a new more effective and efficient operation. So national brands