Generic strategies in global competition

Abstract

Michael Porter's three generic strategies of cost, differentiation and focus are transformed into five generics in his 1986 paper on global strategy. Unfortunately, the resulting strategies are neither global nor generic. This paper demonstrates why. The key problem is Porter's peculiar use of the concept of “national responsiveness.” An alternative framework is developed in which location bound and nonlocation bound firm specific advantages are related to the number of home bases to generate truly generic global strategies.

Citation

Rugman, A.M. and Verbeke, A. (1994), "Generic strategies in global competition", Research in Global Strategic Management (Research in Global Strategic Management, Vol. 4), Emerald Group Publishing Limited, Leeds, pp. 3-15. https://doi.org/10.1016/S1064-4857(93)04002-S