MGT-330 Lecture 9: MGT 330 Notes Chapters 8 and 9

• School: University of Tampa
• Department: Management
• Course: MGT-330
• Professor: Ashley Salaiz

Document Summary

Global business: buying and selling of goods and services by people from different countries. Global consistency: using same rules, guidelines, policies for facilities abroad, valued by managers at company headquarters, simplifies decisions, too much global consistency means procedures that are poorly adapted to the local culture. Local adaptation: uses modified standard operating procedures abroad, valued by local managers, too much local adaptation means losing cost effectiveness and productivity. Exporting cooperative contracts strategic alliances wholly owned affiliates. Export: selling domestically produced products to customers in foreign countries. Strategic alliances: companies combine key resources, costs, risks, technology, and people. Joint venture: the most common type of strategic alliance; two existing companies collaborate to form a third, independent company. Wholly owned affiliates: foreign offices, facilities, and manufacturing plants that are. New companies that are founded with an active global strategy; have sales, employees and financing in different countries.