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John Wiley & Sons, Inc c 19981 GLOBAL COMPETITIVE ANALYSIS Chapter Eight
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John Wiley & Sons, Inc c 19982 Global Competitive Analysis Chapter Eight l Overview l 1. Information Technology and Global Competition l 2. Global Strategy l 3. Global Marketing Strategy l 4. Regionalization of Global Marketing Strategy l 5. Competitive Analysis
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John Wiley & Sons, Inc c 19983 Overview
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John Wiley & Sons, Inc c 19984 1. Information Technology and Global Competition l Real Time Management l On-Line Communication l “Internet” Organization l Faster Product Diffusion l Global Citizenship
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John Wiley & Sons, Inc c 19985 2. Global Strategy l Global Industry Exhibit 8-1 Industry Globalization Drivers l Market Globalization Drivers Common Customer Needs Global Customers and Channels Transferable Marketing Lead Countries
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John Wiley & Sons, Inc c 19986 2. Global Strategy (cont) l Cost Globalization Drivers Global Economies of Scale and Scope XXXXXX Steep Experience Curve Global Sourcing Efficiencies Favorable Logistics Differences in Country Costs High product Development Costs Fast Changing Technology
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John Wiley & Sons, Inc c 19987 2. Global Strategy (cont) l Government Globalization Drivers Favorable Trade Policies Compatible Technical Standards Common Market Regulations Government-Owned Competitors Government-Owned Customers
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John Wiley & Sons, Inc c 19988 2. Global Strategy (cont) l Competitive Globalization Drivers High Exports and Imports Competitors from Different Continents and Countries Interdependent Countries Globalized Competitors
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John Wiley & Sons, Inc c 19989 2. Global Strategy (cont) l Competitive Structure Exhibit 8-2 Nature of Competitive Industry Structure Industry competitors Potential entrants The bargaining power of suppliers The bargaining power of buyers The threat of substitute products or services
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John Wiley & Sons, Inc c 199810 2. Global Strategy (cont) l Hypercompetition Cost and Quality Exhibit 8-3 The Price/Quality Trade-off and the Ultimate Value Point Timing and Know-how Strongholds Financial Resources Interdependency
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John Wiley & Sons, Inc c 199811 3. Global Marketing Strategy Exhibit 8-4 Variation in Content and Coverage of Global Marketing l Benefits of Global Marketing Cost Reduction Improved Products and Program Effectiveness Enhanced Customer Preference Increased Competitive Advantage
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John Wiley & Sons, Inc c 199812 3. Global Marketing Strategy (cont) l Limits to Global Marketing l Exhibit 8-5 Degree of Standardization of Products in World Markets
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John Wiley & Sons, Inc c 199813 4. Regionalization of Global Marketing Strategy l Cross-Subsidization of Markets l Identification of Weak Markets l “Lead Market” Concept
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John Wiley & Sons, Inc c 199814 5. Competitive Analysis l Exhibit 8-6 SWOT Analysis
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