International Business Strategies: Expanding into Global Markets
Chapter 7: International Strategy: Creating Value in Global Markets
Motivations for International Expansion
- Increase market size
- Achieve economies of scale
- Reduce R&D and operating costs
- Extend product life cycle
- Optimize value chain location
Potential Risks of International Expansion
- Political and economic instability
- Currency fluctuations
- Management challenges (language, income levels, customer preferences)
Outsourcing vs. Offshoring
Outsourcing: Utilizing external entities for value-creating activities.
Read MoreUnderstanding Corporate Communication and Public Relations
1. Public Relations in Corporate Communication
Why are Public Relations Considered Part of Corporate Communication?
Public Relations (PR) falls under the umbrella of social sciences, alongside disciplines like Sociology, Economics, Psychology, Social Anthropology, and Communication. As such, it plays a crucial role in corporate communication strategies.
2. Concepts of Corporate Communication
Corporate communication encompasses the efforts made by an organization to communicate effectively and strategically
Read MoreBusiness Administration and Management
COMPANY
A company is a set of elements organized and coordinated with the direction, oriented towards a set of objectives, acting under conditions of risk. The purpose of a company is its mission or the reason for its existence as an economic unit.
ELEMENTS OF A COMPANY
- Human Factors: People who have a direct link with the company.
- Material Factors: Economic goods of the company.
- Organization: A set of authority relations, communication, and coordination that guide the group activity of humans.
- Environment:
Understanding Banking: Class Activities and Key Concepts
Class Activity 1: Transmission Mechanism of Monetary Policy
Q1: Impact of Interest Rates on Loans
- FALSE – Higher interest rates make it less attractive to take out loans for financing cars.
- TRUE – Higher interest rates make it less attractive to take out loans in general.
- TRUE – Higher interest rates make it more difficult to repay loans.
- Lower interest rates boost investments and economic activity.
Q2: The Wealth Channel
- TRUE – The wealth channel typically affects consumption.
- FALSE – The wealth channel
International Marketing: Strategies, Drivers, and Cultural Considerations
International Marketing (IM)
Types of International Marketing
Domestic Marketing (DM)
Focuses on a single country or specific geographic region. Companies engage in DM when they sell their products and services to a target audience within their own country. Marketing strategies are tailored to the specific needs of the local market, considering culture and language.
International Marketing (IM)
Involves marketing activities in multiple countries. The target audience includes consumers from various countries,
Read MoreGlobal Marketing Strategies: A Comprehensive Guide
Types of Marketing Strategies
Domestic Marketing
Ethnocentric Approach: Focuses on the home market and adapts strategies to local culture, language, and behavior.
Export Marketing
Ethnocentric Approach: Sells products from one country to another with minimal changes, maintaining brand identity.
Global Marketing
Geocentric Approach: Targets a worldwide market with unified strategies and a consistent brand image.
International Marketing
Polycentric Approach: Adapts marketing strategies to each country’s unique
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