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| Preface | |
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| An introduction to global business | |
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| Strategic and Management Issues in Global and Transnational Business | |
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| Learning objectives | |
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| Global and transnational business-an introduction | |
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| Some important definitions | |
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| Structure of the book | |
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| The globalization debate | |
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| Levitt and standardization | |
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| Globalization of industries and markets | |
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| Case example: increasing global co-ordination in Philips Electronics | |
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| Global and transnational strategies and management-the issues | |
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| A framework for global and transnational strategic management | |
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| The controversies in strategic management | |
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| The prescriptive or deliberate approach to strategy | |
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| The emergent or learning approach to strategy | |
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| The competitive positioning approach to strategy | |
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| The resource, competence and capability approach to strategy | |
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| The approach to global strategy in this book | |
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| Strategy is both planned and emergent | |
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| Competitive advantage results from both internal competence development and from changing conditions in the business environment | |
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| It is important to distinguish between industries and markets | |
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| Competitive advantage results from organizational learning, and both competitive and collaborative behaviour | |
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| The complexity and unpredictability of change in both the business environment and in businesses themselves mean that businesses must be intelligent (or learning) organizations | |
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| A summary of the frameworks | |
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| The global and transnational strategic management process | |
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| The management process matrix | |
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| The major elements in the process matrix | |
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| Conclusion | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global business analysis | |
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| Globalization and Global Vision | |
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| Learning objectives | |
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| Introduction | |
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| The concept of globalization | |
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| Industries and markets | |
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| Globalization of markets | |
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| Globalization of industries | |
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| Causes of market and industry globalization | |
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| An overview | |
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| Technological forces | |
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| Social forces | |
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| Political and legal forces | |
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| Economic forces | |
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| The extent of globalization | |
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| Globalization and environmental turbulence | |
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| The example of the South Korean economy | |
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| Currents and cross-currents | |
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| Major trends in the macroenvironment | |
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| The most commonly-mentioned trends | |
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| Changes in international businesses | |
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| Global mission, objectives and strategy | |
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| Strategy, purpose and objectives | |
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| Global vision | |
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| Vision, philosophy and transnational strategy | |
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| Review and discussion questions | |
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| References and further reading | |
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| Analysis of the Global Business | |
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| Learning objectives | |
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| Introduction | |
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| Analysis of the global organization | |
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| Internal analysis | |
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| Competences, resources and capabilities | |
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| Understanding global competences | |
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| Definitions of resources, capabilities and competences | |
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| Resources | |
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| General competences/capabilities | |
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| Core competences/distinctive capabilities | |
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| Global value chain analysis | |
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| Organizations as systems | |
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| The value chain | |
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| Primary activities | |
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| Support activities | |
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| Using the value chain framework | |
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| The value system | |
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| Co-ordinating activities and linkages | |
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| The 'global' value chain | |
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| A more complex value chain | |
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| Configuration | |
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| Co-ordination | |
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| Global organizational culture and structure | |
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| The importance of culture and structure | |
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| Structure | |
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| Culture | |
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| Products, performance and portfolio analysis | |
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| The concept of portfolio | |
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| The BCG matrix | |
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| Using the BCG matrix | |
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| Limitations of the BCG matrix | |
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| Global products and services | |
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| Performance analysis | |
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| Benchmarking | |
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| Outside in or inside out? | |
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| 'Outside in' strategy | |
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| 'Inside out' strategy | |
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| The two approaches and internal analysis | |
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| Review and discussion questions | |
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| References and further reading | |
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| Analysis of the Competitive Environment | |
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| Learning objectives | |
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| Introduction | |
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| The nature of the business environment | |
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| The importance of environmental analysis | |
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| The macroenvironment | |
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| The microenvironment | |
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| Industries and markets | |
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| Identifying industries and markets | |
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| The industry | |
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| The market | |
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| The importance of the distinction between industry and market | |
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| Globalization of industries and markets | |
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| Yip's globalization drivers | |
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| The four categories of drivers | |
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| Market globalization drivers | |
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| Cost globalization drivers | |
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| Government globalization drivers | |
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| Competitive globalization drivers | |
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| A summary of the drivers | |
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| Industry analysis | |
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| Porter's five forces framework | |
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| The threat of new entrants | |
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| The threat of substitute products | |
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| The bargaining power of buyers (customers) | |
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| The bargaining power of suppliers | |
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| The rivalry among existing competitors in the industry | |
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| Use of the five forces framework | |
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| Globalization drivers and the five forces | |
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| Synthesizing the two frameworks | |
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| Market analysis | |
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| Market identification | |
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| Customers and their needs | |
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| Strategic group and competitor analysis | |
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| What are strategic groups? | |
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| A resource-based approach to environmental analysis | |
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| Limitations of traditional frameworks | |
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| Understanding the framework | |
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| Critical success factors (CSFs) and core competences | |
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| What are CSFs? | |
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| Review and discussion questions | |
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| References and further reading | |
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| Analysis of the Global Macroenvironment | |
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| Learning objectives | |
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| Introduction | |
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| Change in the business environment | |
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| The nature of environmental change | |
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| Change and prescriptive strategy | |
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| The macroenvironment | |
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| STEP analysis | |
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| Global and national macroenvironments | |
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| The relationship between global and national macroenvironments | |
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| The role of national circumstances in international business | |
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| Determinants of national competitive advantage | |
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| Porter's diamond | |
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| The analytical process | |
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| Stages in the process | |
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| Information gathering | |
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| Information processing | |
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| Knowledge generation | |
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| Summary--analysis of the global macroenvironment | |
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| The links between the micro- and macroenvironments | |
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| Review of the key stages | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global and transnational business strategies | |
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| Global and Transnational Strategy | |
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| Learning objectives | |
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| Introduction | |
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| Transnational strategies and global competitiveness | |
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| Sustainability and competitive advantage | |
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| Transnational, global and international business strategies | |
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| Strategies--the choice | |
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| Competitive positioning | |
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| Resource or competence-based strategy | |
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| Global strategy | |
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| Competence-based strategy | |
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| The emphasis on the organization itself | |
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| The components of core competences | |
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| Core competences and distinctive capabilities | |
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| Competence building and leveraging | |
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| Summary of competence-based strategy | |
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| Alternative approaches to resource-based strategy | |
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| Distinctive capabilities | |
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| Competitive positioning--Porter's generic strategies | |
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| The generic strategy framework | |
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| Cost leadership strategy | |
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| Differentiation strategy | |
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| Focus strategy | |
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| Hybrid strategies | |
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| Core competence and generic strategy--a synthesis | |
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| Drawing the threads together | |
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| Global and transnational strategy | |
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| Porter's model of global strategy--the value system | |
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| Configuration | |
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| Co-ordination | |
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| Integration and responsiveness | |
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| Pressures for and against increased global co-ordination | |
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| Regional strategies | |
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| Total global strategy | |
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| Development of total global strategy | |
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| Transnational organizations | |
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| Global and localized elements of transnational strategy | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global and Transnational Market Servicing Strategies | |
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| Learning objectives | |
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| Introduction | |
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| Alternative foreign market servicing strategies | |
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| What is market servicing? | |
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| Market servicing options | |
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| A summary of the modes of entry | |
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| Selection of mode of entry | |
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| Choosing the most appropriate mode of entry | |
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| Criteria for choosing mode of entry | |
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| Global market servicing strategies | |
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| Literature summary | |
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| Three key variables | |
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| Collaborative arrangements | |
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| Collaboration rather than competition | |
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| The nature and rationale of collaboration | |
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| Horizontal and vertical collaboration | |
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| Alliances | |
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| Summary--advantages of collaborative arrangements as modes of entry | |
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| Some additional notes on foreign market servicing strategies | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global business management | |
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| Global Production and Logistics Management | |
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| Learning objectives | |
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| Introduction | |
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| Production strategy and competitive advantage | |
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| The critical success factors in operations | |
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| Global production strategies | |
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| The 'big' decisions in production strategy | |
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| Plant roles and inter-plant relationships | |
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| Research in global production strategy | |
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| Doz--opportunities from relaxations in trade restrictions | |
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| Starr's network | |
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| Dicken and international value adding | |
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| Dicken's four production strategies | |
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| Plant location decision-making | |
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| Decision criteria | |
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| The most frequently-used criteria | |
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| The location decision | |
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| Procurement and transnational business | |
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| Procurement policy | |
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| Types of purchasing policy | |
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| Global logistics | |
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| The 'flow' of materials | |
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| Logistics and strategy | |
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| Managing logistics | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global Strategic Human Resource Management | |
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| Learning objectives | |
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| Introduction | |
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| Strategic human resource management | |
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| The importance of human resources | |
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| Features of HR strategy | |
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| HR strategy, core competences and organizational learning | |
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| HR strategy and generic strategy | |
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| Integration of HRM with corporate strategy and functional strategies | |
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| Criticisms of the concept of strategic HRM | |
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| European and American approaches to HRM | |
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| A transnational model of HRM | |
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| Global staffing policies | |
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| Staffing policies and strategy | |
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| Expatriate management | |
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| Expatraite failures | |
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| Recruitment and selection | |
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| Reward systems | |
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| Repatriation | |
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| Global management development | |
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| Labour management | |
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| Labour and industrial relations decision-making | |
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| Transfer of industrial relations practices | |
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| Porter's global strategy and human resource strategy | |
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| Congruence between HR and corporate strategy | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global Technology Management | |
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| Learning objectives | |
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| Introduction | |
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| Technology and strategy | |
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| The impact of technology on strategy | |
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| Technology as a strategic asset | |
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| Defining technology | |
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| Technology and products | |
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| Technology and production | |
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| Patterns of technological innovation | |
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| Differences between technology and other assets | |
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| Technology and global competitiveness | |
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| Technology strategy | |
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| The components of a technology strategy | |
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| Technology audit | |
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| Sourcing new technology | |
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| Exploiting new technology | |
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| Protecting the competitive advantage | |
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| Comparisons of transnational technological performance | |
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| Comparing US and Japanese performance | |
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| Learning good practice | |
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| Information and communication technologies | |
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| The effects of ICT | |
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| Developments in ICT | |
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| ICT and transnational strategy | |
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| Configuring ICT for transnational business | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global and Transnational Marketing Management | |
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| Learning objectives | |
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| Introduction | |
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| The role of marketing in global and transnational strategy | |
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| Marketing and strategy | |
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| Marketing and competitive advantage | |
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| Ohmae's (1989) view of marketing | |
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| Globalization of markets and marketing research | |
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| Global marketing strategies | |
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| Different perspectives | |
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| Douglas and Craig's (1989) typology | |
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| Leontiades's (1986) perspective | |
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| Four stages in global marketing strategy | |
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| Global market segmentation and positioning strategies | |
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| Segmentation bases | |
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| Market positioning | |
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| Global marketing management | |
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| Marketing mix strategy | |
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| Global products | |
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| The importance of product decisions | |
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| Decisions on product strategy | |
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| Global branding | |
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| Global pricing | |
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| Pricing decisions | |
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| Transfer pricing | |
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| Pricing decisions--a summary | |
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| Global promotion | |
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| Marketing communications | |
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| Standardization of global promotion | |
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| Organization and control of promotions | |
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| The management of global promotional campaigns | |
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| Choosing an advertising agency | |
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| ICT and global marketing | |
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| The internet and global marketing--Axis Communications Inc.--a case study example | |
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| Review and discussion questions | |
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| References and further reading | |
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| Global Financial Management | |
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| Learning objectives | |
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| Introduction | |
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| Finance management and the global enterprise | |
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| The key issues in international financing | |
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| Centralization versus decentralization of the finance function | |
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| Differerent approaches to decentralization | |
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| Financing foreign operations | |
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| The options | |
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| Equity capital | |
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| Debt (or loan) capital | |
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| Resource allocation and capital budgeting | |
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| Uncertainties constraining the certainty of choice | |
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| Political risk | |
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| Assessing and forecasting political risk | |
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| Dealing with political risk | |
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| Operational policies | |
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| Working capital and cash flow management | |
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| Foreign exchange exposure | |
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| Reducing exposure | |
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| Remittance strategy | |
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| Types of funds transfer | |
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| Problems with transferring funds | |
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| Blocked funds | |
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| Review and discussion questions | |
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| References and further reading | |
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| Organizational Structure and Control in Global and Transnational Businesses | |
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| Learning objectives | |
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| Introduction | |
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| Some essentials of organizational structure | |
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| Key variables | |
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| 'Height' and 'width' of structures | |
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| Hierarchical configuration of structures | |
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| Determinants of organizational structure | |
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| Mintzberg's determinants | |
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| The contingency approach | |
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| The configuration approach to organizational design | |
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| Types of international organizational structure | |
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| International structures | |
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| Global structures | |
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| The development of global and transnational matrix structures | |
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| Stimuli to matrix development | |
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| Global matrix structures | |
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| The development of the transnational organizational structure | |
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| National influences on structural form | |
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| 'Anatomy' and 'physiology' | |
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| Features of transnational structures | |
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| The transnational model | |
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| Decision-making and control in international business | |
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| Decentralization and control | |
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| Empirical studies | |
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| Evaluating performance | |
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| Global and transnational strategies, organization and control | |
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| The influence of strategy on structure and control systems | |
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| Review and discussion questions | |
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| |
| References and further reading | |
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| |
| Managing Global Mergers, Acquisitions and Alliances | |
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| |
| Learning objectives | |
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| |
| Introduction | |
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| |
| An overview of integrations and alliances | |
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| Perspectives on external growth | |
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| Types of integrations and alliances | |
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| Transnational mergers and acquisitions | |
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| The key definitions | |
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| Motivations for transnational mergers and acquisitions | |
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| Problems with integration | |
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| Successful mergers and acquisitions | |
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| Collaborative ventures and strategic alliances | |
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| What are collaborative ventures and strategic alliances? | |
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| Motivations for forming strategic alliances | |
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| Types of strategic alliance and collaborative venture | |
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| Directions of alliances | |
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| The extent and time scale of collaboration | |
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| Choosing the most appropriate type of alliance | |
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| Successful alliances | |
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| The strategic management of networks and alliances | |
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| The concept of the 'focal' business | |
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| Review and discussion questions | |
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| References and further reading | |
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| |
| Global Business--Present and Future Trends | |
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| |
| Learning objectives | |
| |
| |
| Introduction | |
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| |
| The global business environment--limits of globalization | |
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| |
| The real state of homogenization | |
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| |
| Physioeconomic theory | |
| |
| |
| Challenging the presuppositions | |
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| |
| A global approach to strategy and management? | |
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| |
| Global competitive advantage in the future | |
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| |
| Knowledge-based strategy: the intelligent organization | |
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| |
| The 'virtual' corporation | |
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| |
| Review and discussion questions | |
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| |
| References and further reading | |
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| |
| The cases | |
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| |
| Airtours plc | |
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| |
| The UK outbound tour operations industry | |
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| |
| British Airways plc | |
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| |
| BAT Industries plc in the 1980s and 1990s | |
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| |
| De La Rue Fortronic | |
| |
| |
| Nike Incorporated | |
| |
| |
| Index | |