WEEK 7 : STRATEGIES FOR COMPETING IN INTERNATIONAL MARKETS

“You have no choice but to operate in a world shaped by globalization and the information revolution.  There are two options:  Adapt or die.” 

Andrew S. Grove- Co-founder and Senior Advisor, Intel Corporation.

The Four Big Strategic Issues in Competing Internationally :

-Whether to customize a company’s offerings in each different country market to match      preferences of local buyers or offer a mostly standardized product worldwide

-Whether to employ essentially the same basic competitive strategy in all countries

 or modify the strategy country by country

-Where to locate a company’s production facilities, distribution centers, and customer service

 operations to realize the greatest location advantages

-How to efficiently transfer a company’s resource strengths and capabilities from one country to

  another to secure competitive advantage

Strategic  Options:  How  to  Compete in  Emerging Country Markets 

-Prepare to compete on the basis of low price
-Be prepared to modify aspects of the company’s business model to
  accommodate local circumstances
-Try to change the local market to better match the way the company does business elsewhere
-Stay away from those emerging markets where it is impractical or uneconomic to modify the company’s      business model to accommodate local circumstances