INTERNATIONAL BUSINESS APPROACHES

ON TARGET

MANAGEMENT ORIENTATIONS : THE FORM AND SUBSTANCE OF COMPANYS RESPONSE TO A GLOBAL MARKET GREATLY DEPENDS UPON MANAGEMENTS ASSUMPTIONS AND BELIEFS . THE WORLD VIEW OF A COMPANYS PERSSONEL CAN BE DESCRIBED AS : ETHNOCENTRIC POLYCENTRIC REGIOCENTRIC GEOCENTRIC

ON TARGET

ETHNOCENTRIC APPRACH :
A PERSON WHO ASSUMES THAT HIS OR HER HOME COUNTRY IS SUPERIOR TO THE REST OF THE WORLD IS SAID TO HAVE ETNOCENTRIC APPROACH AND THE PRODUCT WHICH IS SUCCESSFUL IN HOME COUNTRY CAN BE SUCCESSFUL IN THE WORLD MARKET. SUCH COMPANIES TEND TO IGNORE THE OPPORTUNITIES IN FOREIGN LAND AND ARE MOSTLY DOMESTIC COMPANIES .THE ONES WHICH DEAL WITH FOREIGN LAND CAN BE CALLED INTERNATIONAL COMPANIES . FOREIGN OPERATIONS ARE SECONDARY (SURPLUS): NISSAN

ON TARGET

POLYCENTRIC APPROACH :
IT IS OPPOSITE OF ETHNOCENTRIC.EACH FOREIGN OPERATION IS HANDLED UNIQUELY THE TERM MULTINATIONAL COMPANY CULTIVATES SUCH APPROACH .

ON TARGET

REGIOCENTRIC APPROACH : IT VIEWS A PARTICULAR REGION AS UNIQUE AND TRIES TO DEVELOP BUSINESS STRATEGIES THERE . SAARC ASEAN NAFTA EURO ZONE

ON TARGET

GEOCENTRIC APPROACH :
A COMPANY WHICH LOOKS AT THE THE WORLD AS POTENTIA L MARKET CAN BE TERMED AS GEOCENTRIC A COMPANY WHICH IS GEOCENTRIC OR REGIOCENTRIC CAN BE TERMED AS GLOBAL OR TRANSNATIONAL COMPANY .