[PDF] Global Business Strategy - econstor PDF 978-4-431-55468-4.pdf

Suggested Citation: Motohashi, Kazuyuki (2015) : Global Business Strategy: Multinational For example, India has relaxed its foreign investment regulations,

[PDF] Fundamentals of Global Strategy - Business Expert Press

Global strategy, global competitive advantage, business model, value cre- ation, value Another prominent example of this seismic shift in global business

[PDF] Contents Global Strategy

Michihiro Ishizuka: Corporate Officer (business strategy) Director of the Strategic Planning They are expanding global networks of business by, for example,

[PDF] The role of multinational company strategies in structuring global

1 août 2019 · For example, numerous studies show that the economic and, to a lesser extent, social upgrading that can be observed in some automobile

[PDF] GLOBAL MARKETING STRATEGY - Dialnet

statistically the GMS model with a new sample, it provides a first step to assess Global marketing strategy: the case of a born global software firm in Colombia

[PDF] Global Business Strategy: A Systems Approach - Open Textbooks

ideas in the following chapters, as well as the associated examples of life in the global village, the student will know a great deal about international business 32

[PDF] global supply chain management

[PDF] global warming anglais seconde

[PDF] global warming sequence

[PDF] globalisation politique

[PDF] globe urinaire combien de ml

[PDF] glosario de marketing digital 2017

[PDF] glosario de marketing online

[PDF] glosario de marketing pdf

[PDF] glosario de publicidad y mercadeo

[PDF] glosario de terminos ambientales pdf

[PDF] glosario de terminos de publicidad

[PDF] glosario digital iab

[PDF] glosarios de marketing

[PDF] glossaire automobile

[PDF] glossaire commande publique

Global

Springer Texts in Business and Economics

Kazuyuki Motohashi

Springer Texts in Business and Economics

More information about this series at

Kazuyuki Motohashi

Open Access This book is distributed under the terms of the Creative Commons Attribution v

Pref ace

In the Þ

I hope this book helps Þ

Global Keiei Senryaku , a Japanese-language

Preface

vii

1 Introduction: Needs for New Global Strategies ................................... 1

1.3.1 Directions of Global Strategies ........................................ 6

1.3.2 Products and Services for ÒGood-EnoughÓ

1.3.3 Strengthening Cost Competitiveness ............................... 8

1.3.4 Creating Strong Business Models

1.3.5 Need for Strategies to Respond to Local Needs ............... 13

1.3.6 Management Strategies Integrated at the Global Level ... 14

Part I Global Business Strategy

..................................... 21

2.2.1 Scope of Management Strategy ....................................... 22

2.2.2 The Three Cs and SWOT Analysis

2.2.3 Global Strategies and Differences in Internal

2.2.4 Is China a Market or a Factory? ....................................... 28

2.2.5 Value Chains and Global Strategy .................................... 33

3 Changes in the Global Economic Environment ................................... 41

viii

3.3 The Global Economic Forecast for 2030 ....................................... 46

World Competitiveness

......................................................................................... 49

4 Comparison of Economic Institutions in China and India ................. 57

4.2.1 Overview .......................................................................... 59

4.2.2 China: State-Led Strategic Foreign Investment Policies .. 64

4.2.3 India: The Steady Progress of a Democratic State ........... 65

4.2.4 Comparison of Political Systems ..................................... 66

4.2.5 Comparison of Economic Systems .................................. 68

4.3.1 Institutional Voids ............................................................. 71

4.3.2 Importance of Informal Institutions ................................. 74

5 New Business Model as Response to Competition

..................................................................... 77

6 India's Neemrana Industrial Park for Japanese Firms ....................... 93

Part II Fundamentals of Strategic Planning

............................................................. 107

7.3 Alliance Forms and Management Methods ................................... 110

8 Hitachi Construction Machinery: Becoming a Wholly

............................................................................ 121

8.2.1 Background ...................................................................... 122

8.2.2 Creation of a Joint Venture ............................................... 123

8.2.3 Dissolution of the Joint Venture and the Move

8.2.4 Post-joint Venture Management ....................................... 127

8.2.5 ChinaÕs Business Environment and Its Risks ................... 128

9 Marketing Theory in Global Business Context .................................... 137

10 Shiseido Marketing in China ................................................................. 155

11 International R&D Management .......................................................... 173

11.3 R&D Internationalization Theory .................................................. 178

11.3.1 Merits and Demerits of Foreign R&D Centers ................ 178

11.3.2 Activities of Foreign R&D Centers .................................. 181

11.3.3 Selecting a Destination Country....................................... 183

12 Multinationalsí R&D in China and India ............................................. 191

12.2.1 Overview .......................................................................... 192

12.2.2 R&D Objectives and Regional Diversity ......................... 195

12.2.3 Differences Due to the Nationalities of Foreign Firm ...... 197

12.3.1 Overview .......................................................................... 198

12.3.2 Market-Driven R&D in Maruti Suzuki ............................ 201

12.3.3 Reverse Innovation at GE Healthcare .............................. 203

12.3.4 Organizational Management of Local R&D Centers ....... 204

13 Thailandís National Science and Technology Development

................................................................... 211

13.4.1 Shiseido Thailand ............................................................. 215

13.4.2 Polyplastics Technical Solution Center ............................ 217

14 Suzuki Motorís Expansion in India ....................................................... 223

14.5.1 Hyundai Motor India (HMI) Limited ............................... 237

14.5.2 Tata Motors ...................................................................... 238

14.5.3 Mahindra & Mahindra...................................................... 239

14.5.4 Toyota Kirlroskar Motors ................................................. 239

14.5.5 Honda Siel ........................................................................ 239

15 Strategy Integration at the Global Level .............................................. 243

Index ................................................................................................................. 255

xiii

List of Figures

Fig. 1.1 GDP of Japan, the US, China, and India (USD in billions) ........... 4 Fig. 1.2 UN population estimates (in order of highest Fig. 1.3 Global business strategy for developing nations Fig. 1.4 Trends in exchange rates and overseas revenues ........................... 9 Fig. 1.5 Subsidiaries by country and year of establishment ........................ 10

Fig. 2.1 SWOT analysis .............................................................................. 24

Fig. 2.2 Is China a market or a factory? ...................................................... 29

Fig. 2.3 AAA framework ............................................................................ 31

Fig. 2.4 PorterÕs value chain. The integration of procurement Fig. 2.5 Activities of overseas entities by corporate function ..................... 34

Fig. 2.6 I-R Grid .......................................................................................... 35

Fig. 2.7 Comparison of corporations in Japan, the US, Fig. 3.1 Per capita GDP in U.S. dollars (developed countries) ................... 42 Fig. 3.2 Per capita GDP in U.S. dollars (developing countries) ................. 43 Fig. 3.3 Changes in shares of GDP (in nominal U.S. dollars) .................... 46

Fig. 3.4 Changes in per capita GDP ............................................................ 48

Fig. 4.1 Per capita GDP of China and India ................................................ 60 Fig. 4.2 Inward foreign direct investment of China Fig. 4.3 Share of value added by type of ownership Fig. 5.1 Product architectures and business models .................................... 85 Fig. 6.1 Map of Neemrana Industrial Park and surrounding area ............... 94 Fig. 6.2 Map of DMIC and High-Speed Railway ....................................... 97 Fig. 7.1 Comparison of business transaction types ..................................... 111 Fig. 7.2 Structure of PPP (Public Private Partnership) ............................... 114 Fig. 7.3 Risk sharing between public and private entities ........................... 116 xiv

Fig. 8.1 Hydraulic excavator ....................................................................... 124

Fig. 8.4 Chinese demand for hydraulic excavators

Fig. 9.1 4Ps of Marketing ............................................................................ 142

Fig. 9.2 Share of volume zone in China and India ...................................... 146 Fig. 12.1 Trend of R&D/Sales by ownership type ........................................ 193 Fig. 13.1 R&D/GDP by country (%) ............................................................ 219

List of Figures

List of Tables

Table 2.1 CAGE analysis: favorable conditions of China World Competitiveness Yearbook indices ......................... 51 xvi Table 11.1 Overseas R&D facilities by region and industry ...................... 176

List of Tables

xvii

About the Author

Kazuyuki Motohashi

1© The Author(s) 2015

Global Business Strategy, Springer Texts in Business 1 Electronics City, an agglomeration of IT companies, lies approximately 40 min 2

80 % of Infosys' revenues come from western companies, a high percentage of

1 Introduction: Needs for New Global Strategies

3 analyze the type and signi

1.1 Is the World Flat?

4 0 Fig. 1.1 GDP of Japan, the US, China, and India (USD in billions)

1.2 Global Strategies for Emerging Countries

Japan has a per capita GDP of more than $50,000, and a population of over 100

1 Introduction: Needs for New Global Strategies

5 (13.3 % on a nominal basis), which, while not as spectacular as that of China, is still

0 500 000 1 000 000 1 500 000 2 000 000

Fig. 1.2 UN population estimates (in order of highest population as of 2010)

1.2 Global Strategies for Emerging Countries

6 taxation, regulations, and other aspects of business environments from developed

1.3 Perspective of Global Business Strategies

How should Japanese companies shape their global business strategies, considering

1 Introduction: Needs for New Global Strategies

1.3.2 Products and Services for "Good-Enough"

China is an economic giant that has overtaken Japan to become the world"s second

Growth in China, India, and other

Fig. 1.3 Global business

1.3 Perspective of Global Business Strategies

8 upper-income classes that have strong purchasing power, despite their relatively low

1.3.3 Strengthening Cost Competitiveness

When providing products for good-enough" markets, it is important to strengthen

1 Introduction: Needs for New Global Strategies

9 production. The yen continued to strengthen slowly thereafter, and overseas produc- Fig. 1.4 Trends in exchange rates and overseas revenues ( Sources : Compiled from "Kaigai Jigyou

1.3 Perspective of Global Business Strategies

10 more companies are increasingly considering moving to the interior regions of Fig. 1.5 Subsidiaries by country and year of establishment ( Source : Compiled from "Kaigai

1 Introduction: Needs for New Global Strategies

11 However, joint ventures and strategic alliances increase the possibility of nurturing

1.3.4 Creating Strong Business Models That Discourage

We have discussed market efforts in developing countries and the use of manage-

1.3 Perspective of Global Business Strategies

2011, one of China's largest consumer electronics manufacturers. Sanyo Electric

1 Introduction: Needs for New Global Strategies

13 business, in which it is diffi

1.3.5 Need for Strategies to Respond to Local Needs

When creating a global strategy in a

1.3 Perspective of Global Business Strategies

14 without prior notice. The district was designated as a new urban development area

1.3.6 Management Strategies Integrated at the Global Level

Finally, the issue relating to the integration of strategies created for individual coun-

1 Introduction: Needs for New Global Strategies

15 companies in Japan generate higher revenues overseas. Moreover, an increasingly

1.4 Structure of This Book

This book is a summary of theoretical ideas and case studies for corporations in

1.4 Structure of This Book

16 that re

1 Introduction: Needs for New Global Strategies

17 strategic alliances. In addition, there is no guarantee that strategies that were at one Open Access This chapter is distributed under the terms of the Creative Commons Attribution

References

Bartlett, A. C., & Ghoshal, S. (1989). Managing across borders: The transnational solutions . The innovator's dilemma: When new technologies cause great rms to fail The world is at: A brief history of the twenty- rst century . New York:

Harvard

, 80-89.

Rede . Boston: Harvard Business School Press.

Measuring multinational's R&D activities in China by Patent data- . Japanese and US Managing competency creating R and D subsidiaries: Evidence from . TCER working paper series (Working Paper E-48). Tokyo: Tokyo

Statistics on innovation in Japan

Kaigai Shinshutsu Kigyou Database 2011 . Tokyo: Toyo Keizai

References

Pa r t I

21© The Author(s) 2015

Global Business Strategy, Springer Texts in Business 2 This chapter examines management strategy theories for global businesses. What 22
international organizations such as WTO, are factors that have contributed to a

2.2 Concepts of Corporate Management Strategy Theory

Adopting management strategies within companies increases corporate value.

2 Management Strategies for Global Businesses

23
mission as being a pioneer." This mission encapsulates the management"s direction

2.2.2 The Three Cs and SWOT Analysis in Management Strategy

The term strategy" in the concept of management strategy" was originally a mili-

2.2 Concepts of Corporate Management Strategy Theory

24
opportunities and threats are external to a company. Opportunities refer to a

Strengths

Results of External Environment Analysis

Fig. 2.1 SWOT analysis

2 Management Strategies for Global Businesses

25
Value: Is the company's technology far superior to that of its competitors? Does the

2.2 Concepts of Corporate Management Strategy Theory

2.2.3 Global Strategies and Differences in Internal

To adopt a global strategy as part of a corporation's management strategy, it is

2 Management Strategies for Global Businesses

27
In terms of administrative distance, India and the US have similar legal systems, Table 2.1 CAGE analysis: favorable conditions of China and India for US

Source : Compiled from Ghemawat (

2.2 Concepts of Corporate Management Strategy Theory

28
these regions as manufacturing centers, geographical proximity is an important fac-

2.2.4 Is China a Market or a Factory?

From the perspective of US companies, India and China are both distant and close

2 Management Strategies for Global Businesses

29
The top-right corner depicts the so-called locally-produced, locally consumed"

China as a manufacturing

Made in China for China

Automobiles (tariffs,

Made in Japan for Japan

Made in Japan for China

Fig. 2.2 Is China a market or a factory?

2.2 Concepts of Corporate Management Strategy Theory

30
high-performance automotive parts are often manufactured in Japan and then

2 Management Strategies for Global Businesses

31
arbitrage strategy within global businesses can be seen in local production that

Market

Fig. 2.3 AAA framework

2.2 Concepts of Corporate Management Strategy Theory

32
therefore, based on information obtained in these lifestyle research centers so that Fig. 2.4 Porter's value chain. The integration of procurement and logistics, procurement, and

Source : Porter

2 Management Strategies for Global Businesses

2.2.5 Value Chains and Global Strategy

The AAA framework suggests ways to manage distances that have been recognized

2.2 Concepts of Corporate Management Strategy Theory

34
limitation to creating overseas production facilities is the risk associated with such R&D ~Acquiring cutting ~Product localization ~Offshore development ~Labor costs ~Tariffs and import regulations ~Local suppliers ~Customer needs ~Brand management ~Local service companies Fig. 2.5 Activities of overseas entities by corporate function

2 Management Strategies for Global Businesses

35
speci

2.3 Relationship Between Headquarters and Local Entities

So far we have examined global business strategy from the perspective of corporate

Global standard

Fig. 2.6 I-R Grid

2.3 Relationship Between Headquarters and Local Entities

36
(via aggregation), while the latter group is intimately tied to local lifestyles and

International

Fig. 2.7 Comparison of corporations in Japan, the US, and Europe in I-R grid

2 Management Strategies for Global Businesses

37
common. Companies became competitive with import substitutions under the

2.3 Relationship Between Headquarters and Local Entities

38
reduced the time and money spent on international meetings. The

2.4 Summary

In determining management strategies, global companies must focus on the dis-

2 Management Strategies for Global Businesses

39
production perspective. China has witnessed increasing awareness in terms of labor

2.4 Summary

40
management between global integration and local responsiveness. As they do so, Open Access This chapter is distributed under the terms of the Creative Commons Attribution

References

Barney, J. B. (1986). Strategic factor markets. Management Science, 32 , 1231-1241.

Journal of Management,

, 99-120. Philips versus Matsushita: The competitive battle continues . Boston: Harvard Managing across borders: The transnational solution . Boston: The world is ß at: A brief history of the twenty-Þ rst century . New York:

RedeÞ . Boston: Harvard Business School Press.

Keiei Senryaku no Shikou. Tokyo: Nihon Keizai Shinbunsha. Competitive strategy: Techniques for analyzing industries and competitors . The multinational mission: Balancing local demands and . New York: The Free Press.

Strategic Management Journal, 18 , 509-533.

2 Management Strategies for Global Businesses

Global Business Strategy, Springer Texts in Business 3 Understanding economic changes at the global level is critical to the formulation of 42
quality of corporate management and governments, based on a questionnaire survey

3.2 Long-Term Economic Growth by Country

The world has many countries, and each country has a different pattern of economic Fig. 3.1 Per capita GDP in U.S. dollars (developed countries)

3 Changes in the Global Economic Environment

43
the former Soviet Union, Eastern Europe, ASEAN countries, Latin American coun-

Fig. 3.2 Per capita GDP in U.S. dollars (developing countries) ( Source : Angus Maddison's long-

3.2 Long-Term Economic Growth by Country

44
recently surged, and these countries, along with China, appear to be catching up to

3 Changes in the Global Economic Environment

45
subsidies and tax measures can spur the rapid accumulation of knowledge stock and

3.2 Long-Term Economic Growth by Country

46
quotesdbs_dbs14.pdfusesText_20

[PDF] [PDF] Global Business Strategy - econstor