Rational for Going Global
Why go Global? Capturing New Markets Diversification Cost Advantages GDP as Share of World GDP Diversification Cost Advantages Economies of Scale Economies of Scope Global Sourcing Brand Name Leverage
Why go Global Taking Advantage of Differences in Laws and Regulations Labor Cost Cost to Protect Workers Cost to Protect Environment Taxes Customs (duties levied by Government on imported goods)
Why go Global Learning, Transfer of Knowledge - Leading Markets Homogenization of Consumer Needs Modern Telecommunication Technology Global Customer Global Linkages - Competition First Mover (Dis)Advantage
2. How? Which Country? Which Products/Brands/Services? - Which Mode of Entry? - Which Strategy?