Going International in a Global World
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Updated World View 2012-2013 for International Marketing Perspectives. Course given to ENSAM Paris in 2012-2013.
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Going International in a Global World
- 1. L’internationalisation des échanges commerciaux et la mondialisation 2012-2013 : Stephane Loiret
- 5. Agenda 5
- 6. Part 1 WHAT 6
- 8. International vs Global • International Strategy refers to a range of options for operating outside an organization's country of origin 8
- 9. International vs Global • International Strategy refers to a range of options for operating outside an organization's country of origin • Global Strategy is one kind of International Strategy. It involves high coordination of extensive activities dispersed geographically in many countries around the world 9
- 10. High Need of Coordination GLOBAL COMPLEX EXPORT MULTI DOMESTIC EXPORT Low Coordination between activities More Dispersed More Concentrated Activities 10 Activities
- 11. High Need of Coordination GLOBAL COMPLEX EXPORT MULTI DOMESTIC SIMPLE EXPORT Concentration of activities Coordination of Marketing Pricing, Packaging, Distribution Managerial capabilities to coordinate Little value to coordinate Low Coordination between activities More Dispersed More Concentrated Activities 11 Activities
- 12. High Need of Coordination GLOBAL COMPLEX EXPORT MULTI DOMESTIC SIMPLE EXPORT Loosely coordinated internationally, some activities overseas Goods & Service treated independently Professional services where local Low Coordination relationships are critical between activities More Dispersed More Concentrated Activities 12 Activities
- 13. High Need of Coordination GLOBAL COMPLEX EXPORT Most activities in ONE single country Economy of scale (Manufacturing, R&D) Coordinated Mktg but local branding&pricing Ex: Companies from emerging countries MULTI DOMESTIC SIMPLE EXPORT Low Coordination between activities More Dispersed More Concentrated Activities 13 Activities
- 14. High Need of Coordination GLOBAL COMPLEX EXPORT Extensive use of value network, location advantage for each activity Product dev, Mktg, Manufacturing may be located in different countries Need to invest in Coordination (Skills, Org and Management Systems) MULTI DOMESTIC SIMPLE EXPORT Low Coordination between activities More Dispersed More Concentrated Activities 14 Activities
- 15. PERSPECTIVES • POLITICAL • ECONOMICAL • SOCIAL • TECHNOLOGICAL • ENVIRONMENTAL 15
- 17. The World 17
- 18. The World 18
- 19. The World 19
- 20. 20
- 21. The World is Flat (Thomas L. Friedman) • 1989 : WoB • 1995 : www • Late 1990s : W-SW : work together (html, soap,XML ...) • 2000s : • Community (connected individuals) • Outsourcing and Insourcing • Supply Chaining • 2010s : Informing 21
- 22. Government Drivers • Trade policies • Standards and Norms • World Trade Regulations • Labor cost • Deregulation / Privatization 22
- 23. Government Drivers Loss of Sovereignty Large multinationals can exert considerable influence on governments through their economy 23
- 24. Government Drivers Loss of Sovereignty Wal Mart Internal economy larger than Greece & Poland GDP 24
- 25. PERSPECTIVES • POLITICAL • ECONOMICAL • SOCIAL • TECHNOLOGICAL • ENVIRONMENT 25
- 27. http://www.youtube.com/watch?v=M1sy8skjA1Q Danny Quah – Oct 2011 “As the economic center of gravity shifts East, the question should not be what is good for the West, but what is good for the world as a whole.” 27
- 28. WHY CHINA’S GROWTH MIGHT SLOW 1. Convergence; middle-income trap 2. Over-investment, excess capacity 3. Insufficient domestic demand, over-reliance on export-driven growth 4. Inequality and pressure for political reform 5. Currency and financial development 6. Aging population; gender imbalance 7. Forced to do so by the rest of the world 28
- 30. PERSPECTIVES • POLITICAL • ECONOMICAL • SOCIAL • TECHNOLOGICAL • ENVIRONMENT 30
- 32. 32
- 33. Austerity hitting West 33
- 34. Protesters Voice 34
- 35. PERSPECTIVES • POLITICAL • ECONOMICAL • SOCIAL • TECHNOLOGICAL • ENVIRONMENTAL 35
- 36. Globalization as a Change Did you know 3.0 https://www.youtube.com/watch?v=jp_oyHY5bug&feature=fvwrel 08:10 36
- 37. S2 Globalization as a Change Did you Know 2012 https://www.youtube.com/watch?v=XVQ1ULfQawk 37
- 38. 38
- 39. PERSPECTIVES • POLITICAL • ECONOMICAL • SOCIAL • TECHNOLOGICAL • ENVIRONMENTAL 39
- 40. Shrimp Story 40
- 41. Global Warming 41
- 42. Global Warming 42
- 43. Change in Perception / Value Space Time Culture & Knowledge 43
- 45. GLOBAL vs LOCAL 45
- 46. 46
- 47. Part 2 WHY 47
- 48. Case Study 48
- 49. 49
- 50. Part 3 HOW 50
- 51. Case Study 51
- 52. 52