Global Strategy… in a World of Nations? (Summary)

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Global Strategy… In a World of Nations? (summary) Nomin-Erdene Ganbat / 甘諾敏 , A3140418 Companies are looking for a way to globalize by connecting their strategy which fit worlwide. This process is called multinational model or multidomestic strategy, which may be succesful than multidomestic strategy. In order to globalize, companies need to expand their market participation and choose a best way to develop their integrated worldwide strategy. Thus, there are three steps: Develop core business strategy, Intgernationalize the strategy and, Globalize the strategy.But most multinational companies follow the first two steps than the last step because of differences in each countries. Global strategy levers have five dimensions which include: Market participation, Product offering, Lacation of Value-Added activities, Marketing approach and Competitive moves. These steps are developed under a pure multidomestic strategy and a pure global strategy. From the cost reduction, improved quality of products and programs, enhanced customer preference and, increased competitive leverage companies can have benefits. Unfortunately, each global strategy lever has failing and they are market participation,product stardardization, activity concentration, uniform marketing and integrated competitive moves. In order to achieve profitable result, companies find the right path inbetween over and under globalizing and when to use industry globalization levers. It is similar to globalization of strategy and globalization potential of industry. Otherwise, company would suffer from the strategy that they are using. Global srategy has five major dimensions and many subdimensions as the potential of industry globalization is

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