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Industry Globalization
What is a global industry? Why? Which drivers/factors most important? How does a global industry compare with a multi-domestic one? What are the implications for firms’ international strategies?
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Globalization Drivers
Market Drivers Cost Drivers Government Drivers Competitive Drivers Low Multidomestic High Global
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Market Globalization Drivers
Common customer needs Global customers Global market channels Transferable marketing
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Strength of Market Drivers
Aircraft Computers Automobiles Soft Drinks Toothpaste Commercial Banking Book Publishing Baked Goods Low High Multidomestic Global
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Cost Globalization Drivers
Global scale economies Sourcing efficiencies Factor of production differences High product development costs Rapidly changing technology
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Strength of Cost Drivers
Pharmaceuticals Aircraft Computers Automobiles Toothpaste Commercial Banking Baked Goods Soft Drinks Low High Multidomestic Global
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Government Globalization Drivers
Trade and investment policies Compatible technical standards Common marketing regulations
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Strength of Government Drivers
positive Strength of Government Drivers ^ Toothpaste Baked Goods Soft Drinks Computers Automobiles Pharmaceuticals Airlines Commercial Banking Low High Multidomestic Global
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Competitive Globalization Drivers
High two-way trade Global competitors Interdependence among countries Policy Link Trade/Investment Link Management Link
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Strength of Competitive Drivers
Aircraft Pharmaceuticals Computers Toothpaste Automobiles Soft Drinks Commercial Banking Baked Goods Low High Multidomestic Global
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Mobile Phone Industry and Globalization
Multidomestic Driver Market Cost Government Competitive Global
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Managed Healthcare Industry and Globalization
Multidomestic Driver Market Cost Government Competitive Global
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Industry Globalization and Strategy
Multidomestic Based on Interest Duplicate Activities Tailored Independent/ market-by-market Lever Market Participation Activity Location Marketing Competitive Moves Global Pursuit of Global Share Follow Global Driver Standardize Interrelated/ Coordinated
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