BU491 Chapter Notes - Chapter 3: Marketing Mix, Competitive Advantage, Key Distribution
Document Summary
International context: traditional strategic postures: global strategy: capitalizing on highly centralized, scale intensive manufacturing and r&d operations and leveraging them through worldwide exports of standardized global products. Treats the world as a single integrated strategic unit. Treats the world as a portfolio of national opportunities. Primarily on one means (national differences) to achieve most of its strategic objectives. Focus is on revenue side of things -> local innovations due to autonomy. Suffered from inefficacies and inability to exploit the knowledge of national units. International strategy: exploiting technological forces by creating new products and processes in one"s home market effectively and diffusing these innovations to foreign affiliates sequentially. Focus on home country and then transfer slowly to host country. Uses all different means to achieve goal. Treats overseas units as offshoots of domestic strategy: transnational strategy: developing global efficiency, multinational flexibility, worldwide learning capability simultaneously to achieve worldwide competitive advantage.
