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Internationalization
1.
2. • Internationalisation is about the designing of
products that it should meet the needs of
users in many countries and it should be easily
adopted to do so.
• Internationalisation is some times written as ‘
I18n ‘ where 18 is the number of letters
between I and n in the English words.
• Internationalisation is the process through which
firms expand the business outside the
national(domestic) country.
3. • Indirect and Direct Export
• Licencing & Franchising
• Joint Ventures
• Direct Investment
4. • Domestic Market Saturated
• Domestic Market Small
• Slow Growth of domestic market
• Suppliers follow their customers internationally
• Competitive Pressures
• Attractive cost structures globally
• Growth rate and potential
• Compete successfully in domestic market
5. • High living standards
• Wider Market
• Large Scale Economies
• Cultural Transformation
• Optimum utilisation of world resources
• Economic growth of the world
• Reduced Risks
• Division of labour and specialisation
• Increases Socio Economic Welfare
7. • Domestic Company
• International Company
• Multinational Company
• Global Company
• Transnational Company
8. • Domestic Company limits its operation , vision ,
mission to the national political boundaries.
• Domestic Companies focuses on domestic
suppliers, domestic financial companies , domestic
market opportunities.
• Domestic Company does not select the strategy
of expansion/penetration into international
markets.
• Domestic Companies select the diversification
strategy of entering into new domestic markets ,
new technology , new products.
9. • A domestic company is a company that
conducts its affairs in home country.
• A domestic company can do business in other
states or different parts of the country where it
has filed its articles of incorporation.
• The tax structure is also different for domestic
company compared to foreign company.
• Domestic company may also have to pay duties
or fees when they imported goods from foreign
countries.
• Domestic is derived from the word domes
which means house
10.
11. • An international company is an organisation
that has business operations in several markets
across the globe.
• The company may have its headquarters in one
central location , but it has subsidiary offices
in each of the countries it operates in.
• International companies remain ethnocentric or
domestic country oriented.
• International Companies focus on domestic
practices , but extends the wings to foreign
countries.
12.
13. • A multinational company is one which is
incorporated in one country (home
country) but whose operations extend
beyond the home country and which
carries on business in other countries(host
country) in addition to home country.
• These companies shifts from ethnocentric
to polycentric.
• MNC’S formulate different strategies for
different markets.
14.
15. • Global Companies either produce in one
country and market globally or produce
globally and market domestically.
16. • Transnational company produces , markets ,
invests , and operates across the world .
• Transnational companies do not have
centralised management system.
• Transnational companies do not have home
company and will start as a new company.
• Transnational Companies do not have
subsidiaries but just many companies