Study to understand the management strategies of new multinationals from the ...Charm Rammandala
The purpose of this study is to understand how the emerging multinational companies from emerging economies such as BRIC countries, Middle East and developing countries like Thailand and Malaysia challenging the traditional multinational companies who have strong roots to developed countries. Using various strategies and business models such as alliances, joint ventures and in some cases wholly owned subsidiaries, newly emerging multinationals have made their presence felt in the world market. This study will take an in-depth look in to the management strategies in place to overcome the barriers and accelerate the growth.
Study to understand the management strategies of new multinationals from the ...Charm Rammandala
The purpose of this study is to understand how the emerging multinational companies from emerging economies such as BRIC countries, Middle East and developing countries like Thailand and Malaysia challenging the traditional multinational companies who have strong roots to developed countries. Using various strategies and business models such as alliances, joint ventures and in some cases wholly owned subsidiaries, newly emerging multinationals have made their presence felt in the world market. This study will take an in-depth look in to the management strategies in place to overcome the barriers and accelerate the growth.
In the Business Perspectives for Emerging Markets 2012-2017 Report from GIA, 431 large and mid-sized companies reveal their true goals and intentions. This presentation shows selected slides from a GIA white paper. To download the entire white paper that you are interested in, please visit http://bit.ly/GIAinsightWP
1. 70% say they want to gain a foothold for long term success
2. 51% say they were keen to gain global market share
3. 4 out of 10 have followed their customers to Emerging Markets
4. A third are looking for growth outside established markets with lackluster growth and profits
5. 1 out of 4 are keen to diversify their risks, as well as tap into short to medium term profits and growth
6. Only 17% said it was to lower supply costs
Many still favor BRIC countries as their top focus between 2012 and 2017, with similar emphasis on individual markets across 10 industries.
However, 91% admit to wanting to have done things differently in their Emerging Market strategies. The main regrets are not adapting more to local conditions, not entering sooner and not acquiring better market intelligence.
Over half say that information on Emerging Markets is not readily available in their organizations, with three out of four doubting the accuracy and completeness of the information that they do have.
Download the Business Perspectives for Emerging Markets 2012-2017 Report (Global Results) from GIA, to find out how companies say they will tackle Emerging Markets and what they see as the success factors and threats for their individual industries. The wide ranging Emerging Markets survey covered questions such as:
- How do you define Emerging Markets in your company?
- Which are the top Emerging Markets for your industry over the next five years?
- What key factors will determine whether foreign companies succeed in Emerging Markets?
- What are the biggest threats to succeeding in Emerging Markets?
- What are your company’s main reasons for investing in Emerging Markets?
- What share of your company’s global revenue do you expect to come from Emerging Markets?
- Which one aspect of your Emerging Markets strategy would you go back and change if you could?
Industries covered include: Manufacturing & Industrial; Telecommunication, Technology & Media; Professional & Business Services; Financial Services; Consumer & Retail; Pharmaceuticals & Healthcare; Energy, Resources & Environment; Automotive; Chemicals; Logistics & Transportation.
Since the early 1990s, developing countries have been the fastest-growing market in the world for most products and services. Companies can lower costs by setting up manufacturing facilities and service centers in those areas, where skilled labor and trained managers are relatively inexpensive.If Western companies don’t develop strategies for engaging across their value chains with developing countries, they are unlikely to remain competitive for long.Companies that choose new markets systematically often use tools like country portfolio analysis and political risk assessment, which chiefly focus on the potential profits from doing business in developing countries but leave out essential information about the soft infrastructures there.
In the Business Perspectives for Emerging Markets 2012-2017 Report from GIA, 431 large and mid-sized companies reveal their true goals and intentions. This presentation shows selected slides from a GIA white paper. To download the entire white paper that you are interested in, please visit http://bit.ly/GIAinsightWP
1. 70% say they want to gain a foothold for long term success
2. 51% say they were keen to gain global market share
3. 4 out of 10 have followed their customers to Emerging Markets
4. A third are looking for growth outside established markets with lackluster growth and profits
5. 1 out of 4 are keen to diversify their risks, as well as tap into short to medium term profits and growth
6. Only 17% said it was to lower supply costs
Many still favor BRIC countries as their top focus between 2012 and 2017, with similar emphasis on individual markets across 10 industries.
However, 91% admit to wanting to have done things differently in their Emerging Market strategies. The main regrets are not adapting more to local conditions, not entering sooner and not acquiring better market intelligence.
Over half say that information on Emerging Markets is not readily available in their organizations, with three out of four doubting the accuracy and completeness of the information that they do have.
Download the Business Perspectives for Emerging Markets 2012-2017 Report (Global Results) from GIA, to find out how companies say they will tackle Emerging Markets and what they see as the success factors and threats for their individual industries. The wide ranging Emerging Markets survey covered questions such as:
- How do you define Emerging Markets in your company?
- Which are the top Emerging Markets for your industry over the next five years?
- What key factors will determine whether foreign companies succeed in Emerging Markets?
- What are the biggest threats to succeeding in Emerging Markets?
- What are your company’s main reasons for investing in Emerging Markets?
- What share of your company’s global revenue do you expect to come from Emerging Markets?
- Which one aspect of your Emerging Markets strategy would you go back and change if you could?
Industries covered include: Manufacturing & Industrial; Telecommunication, Technology & Media; Professional & Business Services; Financial Services; Consumer & Retail; Pharmaceuticals & Healthcare; Energy, Resources & Environment; Automotive; Chemicals; Logistics & Transportation.
Since the early 1990s, developing countries have been the fastest-growing market in the world for most products and services. Companies can lower costs by setting up manufacturing facilities and service centers in those areas, where skilled labor and trained managers are relatively inexpensive.If Western companies don’t develop strategies for engaging across their value chains with developing countries, they are unlikely to remain competitive for long.Companies that choose new markets systematically often use tools like country portfolio analysis and political risk assessment, which chiefly focus on the potential profits from doing business in developing countries but leave out essential information about the soft infrastructures there.
Relevancy of Levitt's views on Globalization in 21st centuryAnanya Jain
This essay aims at evaluating Theodore Levitt’s concept of homogenized needs and converging economy as a result of globalization. During the course of the essay, the main points of Levitt’s article are highlighted followed by major critiques and suggestions for global organisations in the end. Throughout the essay, the impact of information and communication technology is highlighted.
Cooperation issues in developing the BOP marketAnand Sheombar
The basic argument of this paper is that successful contribution of ICT to development goals is partly dependent on the nature of the cooperation between partners. Thus if there is a need to assess the contribution of ICT, then one needs to look further than just the basic quantitative measures and include cooperation issues as criteria for success.
Born to be global and the globalization processPehr-Johan .docxAASTHA76
Born to be global and the globalization process
Pehr-Johan Norbäck∗
Research Institute of Industrial Economics
Lars Persson
Research Institute of Industrial Economics and CEPR
February 13, 2013
Abstract
During the last decades we have witnessed a large number of entrepreneurial
firms that reach the world market at a fast pace (”born global firms”). Our analysis
suggests that the ongoing globalization process indeed implies that born to be global
firms would be more prominent in the world economy due to the reduction of the
cost of exploiting good business ideas globally. However, our analysis also suggests
that entrepreneurial firms have incentive to sell their business to incumbents. Indeed
we show that ”born to be sold global firms” can be even more frequent as a result
of trade liberalization, the international deregulation of the market for corporate
control and the strengthening of international cartel policy.
1. Introduction
In the last decades have we have witnessed a large number of firms that become inter-
national leaders in a short time. Prominent examples are Google and Facebook which
∗We have benefitted from useful comments from Markus Andersson and participants in seminars at
the ISGEP WORKSHOP 2012 in Stockholm, Universidade Católica Portuguesa, and Stockholm School
of Economics. Financial support from the Marianne and Marcus Wallenberg Foundation and the Swedish
Competition Authority is gratefully acknowledged. Email: [email protected]
have generated exports revenues of substantial amount at impressive speed. Moreover, we
observe inventions made by small entrepreneurs being acquired by incumbents which use
them to gain a strong competitive advantage in the world market. Example of this type
of process is Skype who first was acquired by Ebay and later by Microsoft. The success of
these so called ”born global firms” has spurred an interest in the determinants and welfare
effects of these types of firms. The purpose of this paper is to contribute to the generation
of such knowledge.
The starting point of the paper is that entrepreneurial firms with a global potential
face considerable problems when trying to fully exploit the potential value of an inven-
tion or business idea internationally. Complementary assets such as distribution networks,
marketing channels, financial resources, manufacturing know-how and brand names — i.e.
assets typically held by large established firms - are often needed, and we observe a signif-
icant amount of inter-firm technology transfers, ranging from joint ventures and licensing
to outright acquisitions of innovations.1 Thus to understand the phenomena of born to
be global firms we need to understand how the economic environment affects the incen-
tive of business development for sale to incumbents relative business development for own
export.2
1Granstrand and Sjölander (1990) present evidence from Sweden, and Hall (1990) evidence from the
US that firms ac ...
[removed]
The Competitive Advantage
of Nations
Michael E. Porter
Harvard Business Review
90211
HBR
MARCH±APRIL 1990
The Competitive Advantage of Nations
Michael E. Porter
National prosperity is created, not inherited. It does of the patterns of competitive success in ten leading
trading nations, contradict the conventional wisdomnot grow out of a country's natural endowments, its
labor pool, its interest rates, or its currency's value, that guides the thinking of many companies and na-
tional governments— and that is pervasive today inas classical economics insists.
Anation'scompetitivenessdependsonthecapacity the United States. (For more about the study, see the
insert “ Patterns of National Competitive Success.” )of its industry to innovate and upgrade. Companies
gain advantage against the world's best competitors According to prevailing thinking, labor costs, inter-
est rates, exchange rates, and economies of scale arebecause of pressure and challenge. They benefit from
having strong domestic rivals, aggressive home-based the most potent determinants of competitiveness. In
companies, the words of the day are merger, alliance,suppliers, and demanding local customers.
In a world of increasingly global competition, na- strategic partnerships, collaboration, and suprana-
tional globalization. Managers are pressing for moretions have become more, not less, important. As the
basis of competition has shifted more and more to government support for particular industries. Among
governments, there is a growing tendency to experi-the creation and assimilation of knowledge, the role
of the nation has grown. Competitive advantage is ment with various policies intended to promote na-
tional competitiveness— from efforts to managecreated and sustained through a highly localized pro-
cess. Differences in national values, culture, eco- exchange rates to new measures to manage trade to
policies to relax antitrust— which usually end upnomic structures, institutions, and histories all
contribute to competitive success. There are striking only undermining it. (See the insert “ What Is Na-
tional Competitiveness?” )differences in the patterns of competitiveness in
every country; no nation can or will be competitive These approaches, now much in favor in both
companies and governments, are flawed. They funda-in every or even most industries. Ultimately, nations
succeed in particular industries because their home mentally misperceive the true sources of competi-
tive advantage. Pursuing them, with all their short-environment is the most forward-looking, dynamic,
and challenging. term appeal, will virtually guarantee that the United
States— or any other advanced nation— neverThese conclusions, the product of a four-year study
achieves real and sustainable competitive advantage.
We need a new perspective and new tools— an ap-
Harvard Business School professor Michael E. Porter is the author proach to competitiveness that grows ...
Jamaican Licensing and Exclusivity Requirements - The McDonald's Case Study
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Grade: A.
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Extended Project Qualification A-Level project essay, based on AQA.
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Grade: A
The integrated assignment focuses on the three modules I read during semester two of my second year at Coventry University:
- Decision Analysis Techniques (63% = 2:1)
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- Management of E-commerce (87% = 1st)
The coursework looks at Jaguar Land Rover and the potential opportunities and threats that the company would be facing if they choose to expand into a foreign market (Russia, Brazil or Canada)
A coursework for Just In Time (JIT). Graded - 70%.
TASK:
Essay Question 3:
In no more than 1000 words, discuss how JIT (Just In Time) can be applied to a building company. You should ensure that your essay makes reference to the following:
• How JIT can be applied.
• Potential benefits from JIT implementation.
• Potential issues with JIT implementation.
Supply chain risk process of a supermarket - Milk - TescoYordan Dimitrov
TASK:
In no more than 500 words, discuss the supply chain risk process of a supermarket (I suggest you select a single product for example: bread, or meat or fruit) You should ensure that your essay makes reference to the following:
• The supply chain risk process.
• The types of risk involved.
• How you would manage and respond to the risks.
Grade obtained: 80% - 1st
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
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India Orthopedic Devices Market: Unlocking Growth Secrets, Trends and Develop...Kumar Satyam
According to TechSci Research report, “India Orthopedic Devices Market -Industry Size, Share, Trends, Competition Forecast & Opportunities, 2030”, the India Orthopedic Devices Market stood at USD 1,280.54 Million in 2024 and is anticipated to grow with a CAGR of 7.84% in the forecast period, 2026-2030F. The India Orthopedic Devices Market is being driven by several factors. The most prominent ones include an increase in the elderly population, who are more prone to orthopedic conditions such as osteoporosis and arthritis. Moreover, the rise in sports injuries and road accidents are also contributing to the demand for orthopedic devices. Advances in technology and the introduction of innovative implants and prosthetics have further propelled the market growth. Additionally, government initiatives aimed at improving healthcare infrastructure and the increasing prevalence of lifestyle diseases have led to an upward trend in orthopedic surgeries, thereby fueling the market demand for these devices.
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
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Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
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2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
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International strategy is highly complex and dynamic and therefore too risky
1. Yordan Dimitrov 1
International Strategy is highly complex and dynamic and
therefore too risky. Discuss
This essay will examine large organisations and how they implement international strategies and whether
these strategies are complex and too risky. Calof and Beamish (1995) defined internationalisation as “the
internal dynamics and learning of the firm as it expands internationally” whilst Covin and Slevin (1989)
describe it as an “innovative, proactive and risk-seeking behaviour”. Primarily the essay would look into the
reasons behind internationalisation. Following this, there would be a comparison of the existing
internationalisation frameworks and an evaluation of the complexity and dynamics of both successful and
unsuccessful case studies that would be used to evaluate the perks and risks of internationalisation. Through
this, the essay argues that while internationalisation can be effective, it is highly dependable on specific
circumstances.
Effectively, organisations look to internationalise once they have reached the saturation point within their
market. They seek to change and respond to a new market in order to increase their market share, become
more profitable and gain cultural awareness. If they do not internationalise, they could risk losing their existing
market position. Large organisations’ attempts to explore internationalisation have varied between different
case studies.
Procter & Gamble achieved their international dominance through brand building and product innovation
(Leavy 2013); their 65 brand portfolio spreads across 10 categories and brings them an annual revenue of
$65.1 billion in Net Sales internationally (Roderick 2017). P&G’s implemented a strategy to respond to a new
market by releasing products such as the Tide laundry detergent and the Prell shampoo abroad has been a
key factor for their success as an organisation. Both products were exported internationally and created
opportunities for the firm to become a household name within the commodity industry (Monti and Yip 2000).
Within the automotive industry, TATA Motors played a crucial role in overcoming institutional voids in
emerging markets opportunity (Becker-Ritterspach and Bruche 2012) when they introduced the Tata Nano in
India back in 2008 and took the sales figures down of their direct competitor, Suzuki’s Maruti 800 vehicle by
20% immediately after the launch (Virani 2011). Their gain of cultural awareness through analysing the
purchasing power and consumer values of the Indian market (Kumar and Thacker-Kumar 1996) led to the
creation of competition within the historically monopolistic market and thereby benefited consumers with
wider choice of affordable vehicles and further improvements of the transportation tools and of course sales
for the company. In fact, Nano has been named ‘the world’s cheapest car’ at just $2000 (Prahalad 2011)
starting price, aspiring for further innovations within the cost-effective vehicles.
Within internationalisation, there also comes a number of challenges organisations may face (Oviatt and
McDougall 2004). Such challenges often relate to the lack of knowledge: For example, in the furniture industry
back in 1998 IKEA failed to understand the cultural differences related to store size and purchasing power of
the emerging markets in China, as a result the organisaiton had to restock in order to prevent further financial
losses (Johansson and Thelander 2009). Amazon’s lack of expertise in China has prevented growth and has
allowed direct competitor Alibaba sustaining 47% market share compared to Amazon’s 1%. (Keyes 2017) and
equally amazon is trying to grow too quickly without grasping the field specialist information, not knowing the
market’s cultural values as described by Sloane (2014).
The more involved organisaitons are, the more they have to configure and coordinate in terms of their
resources. Theory states that firms tend to grow stage by stage: the Uppsala Model (Johanson and Vahlne
1997) in particular, looks at internationalisation as a logical path that works in an incremental way i.e. the non-
exporting producer organisation would gradually evolve and proceed to making a foreign direct investment.
Mindzberg (1994) also claims that firms grow incrementally. However, this is not always how large
2. Yordan Dimitrov 2
organisations operate. For example, Igor Ansoff (1994) points out that Mindzberg bases his analysis only on
firms which were successful, ignoring the failed ventures.
Another theory addresses internationalisation through Yip’s (2003) model where firms see potential in going
international that derives from local drivers, market drivers, government and competitive drivers. At the same
time, Porter’s Diamond (1990) suggests there are four key determinants of locational advantage “Local
demand conditions; Local related and supporting industries; Local firm strategy; Industry structure and rivalry”
(Johnson et al. 2017) which influence competitive advantage. When developing the model, Porter primarily
based his study on ten predominantly mature, manufacturing-based economies (Yetton et al. 1992). Thus, the
model could only be applied within developed countries for example, the Dutch Automotive industry where
Audi and others operate. There is a clear rivalry between Audi and BMW who are both local, hence they
continue to innovate. Moreover, the iron and steel industries are both very strong in Germany, providing
materials for the car manufacturers therefore establishing enhanced innovation and rivalry. The labour force
is educated, solvent and IT literate. All those factors satisfy the Porter’s framework and justify Germany’s
regional advantage.
The three key internationalisation frameworks differ from each other: The Uppsala Model is considered “old
fashioned” (Woolnough 2012) because in practice, individual organisations’ involvement on foreign grounds
could be as minimal as irregular exporter. They could be passively involved and not seeking a committed
involvement abroad. Yip (2003) focuses on the impacting factors and utilisation. Whereas Porter’s Diamond
aims to identify the sources of competitive advantage and how to utilise them. Both YIP and Porter
frameworks are more applicable than Uppsala because they perceive organisations as dynamic evolving
bodies that do not always move in an incremental way.
Michael Posner (1961) looked at understanding international strategy through the Technology Gap that is
seen by investors and taken advantage of. His theory looks into the setting up process of monopolies in less
developed markets (Futrell 1997). This then is closely related to Olivatt and McDougall’s regime of
appropriability and knowledge-intencity (1995) that has been described as 'positive new ventrure
internationalisation in less mature industries’ (Fernhaber et al. 2007). An example of Michael Posner’s theory
in practice would be the popular streaming services Spotify and Netflix (Thomes 2013); prior to their existence
the entertainment industry only distributed physical copies in the form of CDs and DVDs (Yannakakis and
Hallam 2008). This limited their exposure to often only domestic markets. As streaming platforms are easily
accessible and only require internet connection, consumers were able to gain on demand access to music and
videos. As both organisations were pioneers in their industries, they were able to hold on a monopoly for a
short period of time. “The ownership of such assets gives rise to additional profits representing a return on
past investment and R & D” (Jenkins 1987), making it difficult for competitors to enter to this date. Both
services had the advantage of internationalising despite their small size as World Wide Web (Greco et al. 2004)
offers wider accessibility.
Porter (1986) proposes Co-Ordination and Configuration Grid that examines how organisaitons retain
activities when they are operating internationally. The theory argues that firms would maintain and configure
resources by understanding both pressures and opportunities that could arise from upstream and
downstream activities. Large organisations that were able to succeed in the United Kingdom have suffered
losses when expanding outside their core market (Gammeltoft et al. 2012). Issues arise from the fact that
there are cultural, economic and religious differences between domestic and international consumers.
Despite the fact that UK is a hub for different nations, both M&S and Tesco attempted entering the Chinese
market, but were unable to hold onto multiple fronts. Both retailers failed to understand the needs of Asian
consumers (Branigan 2017). Their failure to follow Porter’s Co-Ordination and Configuration Grid 1986 and
examine the situation into a market they attempt to enter has led to financial losses and damage of reputation
- Tesco closing 130 stores (Boulden 2017).
3. Yordan Dimitrov 3
There is evidence of success stories about brands not only entering an international market, but becoming a
monopoly (Summers 1996). Similar to the streaming giant, Netflix, Coca-Cola took advantage of holding a
monopoly in the soft drinks industry (Frykman and Tolleryd 2009) before Pepsi became direct competitor in
1985 (Hamilton and Flecher 2004). Coca-Cola were able to gain competitive advantage in setting up plants,
establishing a brand and becoming a leader world wide in a later to be oligopolistic market. Global reach
offered Coca-Cola the opportunity to: set up supply chain and to be able to quickly and efficiently release new
products into market. To date, the Coca-Cola Company has “3,500 portfolio of beverages falling under 500
different brands” (Bhasin 2017). Standardisation was achieved through economies of scale (Levitt, 1983):
Successfully serving 1.9 billion drinks per day (Snowdon 2017); The effective implementation of Porter’s (1986)
Co-Ordination and Configuration grid meant Cross subsidisation developed into competitive success (Prahalad
and Doz, 1987). In addition, Coca-Cola’s decentralisation strategy achieved them faster learning through
guarding quality at a lower scale (Dunning, 1993): Spreading production over 900 plants. (Technology 2017)
Overall, complexity is highly dependent on the type of internationalisation. As the essay examined, the more
that organisations do, the more they have to configure, to co-ordinate and provide resources for
internationally. Initiatives include knowledge gain, innovation, logistics and cultural awareness. It is
imperative for organisations to internationalise in today’s global climate and the more they engage in these
activities, the more they would need to manage the risk and complexities.
4. Yordan Dimitrov 4
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