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1、InternationalBusinessStrategyLecture1:GlobalizationandInternationalBusinessStrategyPrincipleLearningObjectivesDevelopanunderstandingofinternationalbusinessandtheglobalizationofmarketsandproduction.Developanunderstandingoftheprincipledriversofglobalizationa
2、ndtheimplicationsofeachforinternationalbusinesspractice.Developanunderstandingofthepositiveandnegativeeffectsofglobalization.Developanunderstandingofthecriticalchallengesfacingmultinationalenterprisescompetinginglobalandregionalmarkets.Developanunderstandi
3、ngoftheimplicationsofalloftheaboveforinternationalbusinessstrategyandpractice.WhatisInternationalBusiness?Thebusinessactivitiesthatinvolvethetransferofresources,goods,servicesknowledge,skillsorinformationacrossnationalboundaries.MayinvolveIndividualsCompan
4、iesGovernmentbodiesInternationalinstitutionsDiscussionQuestions….Whyaredomesticcompanieswillingtotaketherisksinvolvedincompetingonaglobalscale?Whataretherisksofgoinginternational!Whydoyouthinktherearemorecompaniescompetinginternationallynowthaneverbefore?W
5、hyaretherefargreateropportunitiestoengageininternationalbusinesstoday?Marketmotives?Economicmotives?Strategicmotives?ANINCREASINGLYINTEGRATED&INTERDEPENDENTWORLDECONOMYGLOBALIZATIONofMarket:Consumertastese.g.CocaCola,Levi’s,McDonalds,Nintendo.Multinational
6、screateandbenefitfromthisconvergenceI.e.applyingsimilarmarketing,brandinginseveralnations.GLOBALIZATIONofProduction:OutsourcingofRequirementstothemostEfficientLocationse.g.Boeing777.132,500componentparts,545suppliersworldwide.LocatingManufacturing/ServiceF
7、acilitiestoSupplyMarketsmostefficientlyGLOBALIZATIONGlobalProductione.g.USAeyewearcompany-SwanOpticalManufacturingDesign1-5Theglobalizationofthesupplychain–GlobalProductionCompanieswithoutproductioninhomecountry(source:DeloitteResearch,2003,Masteringcomple
8、xityinglobalManufacturing)Globalizationofthesupplychain–globalproductionManufacturing:top5destinationsoverthenextthreeyears(source:DeloitteResearch,2003)NorthAmericaWesternEuropeFUNDAMENTALCHANGESINTHEECONOMI
