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STRATEGIES FOR COMPANY INTERNATIONALIZAT

They seek sustained development, it is a long-term decision made by a company that wants to establish
internationalization strategy consists of a gamma of several options that allow an organization to act o

Determining factors Options for internationalization strategies

Market factors Simple export

same customer needs Activity concentration, in particular production activity,

global marketing strategy precise geographical area

Complex export
Competitiveness factors:
Activity concentration in a precise geographical area, but
Interdependence between the country of origin and the
new market more coordinated marketing.
global competitors strategy
Multidomestic strategy
Cost factors
Poor coordination and wide dispersion of activities in sev
scale economics geographical areas
geographical advantages
Logistics Global Strategy

Factors of legislation The highest degree of internationalization, characterized


closely coordinated activities, although they are geographi
customs policy widely dispersed
technical standards
industry protectionism
"Internationalization is a cultural process through which companies develop capacities to do
business in different countries, outside the markets that constitute their natural geographical
environment."
TERNATIONALIZATION

pany that wants to establish itself in another country. The


ow an organization to act outside its country of origin.

on strategies

cular production activity, in a They are the companies that benefit from a It is often a first stage to
strong location advantage that usually choose
that strategy internationalize.

ise geographical area, but with The coordination of the simple This is a classic stage for
companies resulting from emerging
strategy is much more complex. countries.

spersion of activities in several It is not about export but about local This strategy is suitable for markets with few possibilities
production of products or services, with a of economies of scale and where the response to local
specific treatment of each market in terms of needs generates a lot of value.

ationalization, characterized by That strategy is complex to follow, since it It can pose management problems and lack of reactivity in
lthough they are geographically needs resource sharing and coordination the face of local market demands.
despite the distance
Market Choice

To choose the appropriate markets for the internationalization of the company, four tools
can be used.

PEST analysis
Porter's competitive forces
CAGE model of P. Ghemawat
Analysis of the response of established competitors

arkets with few possibilities


here the response to local

ems and lack of reactivity in


ds.

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