3. INTRODUCTION TO GSP
Trade barriers are falling around the world
Companies need to have a strategy to enter world
markets
Global strategic planning is a process
adopted by organizations that
operate internationally in order to
formulate an effective global strategy
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4. EXPORTING
Indirect Exporting
Export merchants
Export agents
Export management companies (EMC)
Cooperative Exporting
Piggyback Exporting
Direct Exporting
Firms set up their own exporting departments
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5. LICENSING & FRANCHISING
Licensor and the licensee
Franchisor and the franchisee
Franchising – Improved licensing
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6. FOREIGN DIRECT INVESTMENT
A direct investment into
production or business in a
country by an individual or
company in another
country, either by buying a
company in the target
country or by expanding
operations of an existing
business in that country
Mergers and acquisitions,
building new facilities,
reinvesting profits earned
from overseas operations
and intra company loans.
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7. CONTRACT MANUFACTURING
Benefits:
Labor cost advantages
Savings via taxation, lower energy costs, raw
materials, and overheads
Lower political and economic risk
Quicker access to markets
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8. JOINT VENTURE & STRATEGIC
ALLIANCE
Joint Venture
When two companies invest funds
into creating a third, jointly owned
company, that new subsidiary
Strategic Alliances
When companies want to quickly gain a new
area of expertise or access to new technology or
markets,
buy a smaller company with those assets
form a strategic alliance with another company that would
benefit equally from the partnership.
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9. CONCLUSION
Exporting
Licensing & Franchising
Contract Manufacturing
Joint Venture & Strategic Alliance
Foreign Direct Investment
BE INDIAN., MAKE INDIA GROW.,
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