Search results

The main purpose of this paper is to introduce a comprehensive model explaining the global expansion of firms and to find out viable strategies for firms to survive global competition.

Through the critical review over existing literature, this study first introduces a new framework explaining the global expansion of firms at the level of functional activities in the value chain, and then empirically tests the predictions of the new framework with data in the motor industry.

Empirical findings confirm the new model's predictions. First, each function in the value chain has a unique way of global expansion: the global strategy is suitable for the production function, while the multidomestic strategy is applicable to the marketing function. Second, each function follows a dynamic path of global expansion from domestic to transnational via either global or multidomestic, according to the innate characteristics of corresponding function. Finally, the degree of global expansion of a firm is positively correlated with its financial performance.

Focusing on developing a new framework on global expansion, this study utilizes a rather small number of data and, therefore, requires readers' discretion when interpreting the results of statistical analyses.

With the dynamic diversification‐coordination model, managers can recognize the level and characteristics of their firms' global expansion, not only at the firm level but also at the functional level. This allows managers to establish a global strategy tailored to each function, thus reconciling possible conflicts generated from different interests among different functions in the firm.

First, this article introduces a new perspective of analyzing the global expansion of firms by shifting the level of analysis from the firm level to the functional level where the new framework can reconcile the constant debates on globalization. Second, this article suggests an intuitive and theory‐based index measuring the degree of global expansion of firms.

The purpose of this paper is to model and test the dynamics of home-regional and global penetration by multi-national enterprises (MNEs).

Drawing on international business (IB) theory, the authors model MNEs adjusting their home-regional and global market presence over time. The authors test the resulting hypotheses using sales data from a sample of 220 of the world’s largest MNEs over the period 1995-2005. The authors focus specifically on the relationship between levels of market penetration inside and outside the home region and rates of change in each domain.

The authors demonstrate that MNEs do penetrate both home-regional and global markets, often simultaneously, and that penetration levels often oscillate within an MNE over time. The authors show firms’ rates of regional and global expansion to be affected by their existing regional and global penetration, as well as their interplay. Finally, the authors identify differences in the steady states at which firms stabilize their penetration levels in the home-regional and the global space. The findings broadly confirm the MNE as an interdependent portfolio with important regional demarcations.

The authors identify complex interdependencies between home-regional and global penetration and growth, paving the way for further studies of the impact of regions on MNE expansion.

This chapter develops a multi-path theory of diversified international expansion that explains how multiple wave-shaped performance curves are created as multinational companies expand into increasingly distant and dissimilar countries. According to this theory, multinational mobile network operators (MNOs) recover from over-diversified expansion by improving their local adaptation strategies by means of reconfiguring the value chain and entering local partnerships, by improving their global replication capabilities or by concentrating expansion to clusters of similar country markets. Three dynamic propositions are developed and exemplified concerning MNOs’ diversified international expansion. Implications for international diversification research finalize the chapter.

In this study, the authors identify how formal institutional environments in destination countries matter to franchise chains as they internationalize. The institutional environment of the destination countries of franchise chains is characterized according to three institutional dimensions necessary to attract international investment – public governance, ease of doing business and legal processes – and analyzed in the context of regional and global franchise expansion.

The descriptive quantitative study involved 625 franchise chains from Australia, Brazil, Germany, India, Russia, South Africa and the United States, with a total of 2,939 observations.

Results suggest that franchise chains from emerging markets are guided by the institutional conditions of ease of doing business and the quality of legal processes in global expansion and guided by ease of doing business, quality of legal processes and governance in regional expansion. On the other hand, franchise chains from developed markets are guided by the ease of doing business, quality of legal processes and governance in global expansion and governance and ease of doing business in regional expansion.

The sample included only franchise chains associated with organizations that represent franchises in their countries of origin, and the study does not analyze the effect of institutional distance between countries of origin and destination.

This study identifies the formal institutional characteristics that explain selection and commitment in international markets by franchise chains from different countries. The contribution is in analyzing the phenomenon through the lens of institutional theory and showing, through a global sample, that institutions matter to franchise chains from different types of countries (developed and emerging) and with different strategies for internationalization (global and regional).

The purpose of this paper is to analyze the operations of the quality management systems (QMS) in multinational companies, and develop a framework for classifying the QMS features based on the global operational and marketing structures arising from their expansion process. This paper is based on doctoral research conducted at the Department of Statistics, University of Haifa, Israel in 2007–2015.

This study used the innovative approach of adopting a systems perspective in analyzing the operation of a global QMS. In total 18 multinational companies at different levels of global expansion were studied in depth using observations, longitudinal studies, content analyses and depth interviews.

The result of this study is the global hierarchical model (GHM) that presents a classification of representative global operational and marketing structures deriving from the expansion process of multinational companies, and the extrapolated features of the respective global QMS.

This classification serves as a diagnostic tool for identifying the proper globalization level of a QMS, thereby helping plan global quality strategy and identifying the steps necessary for its effective implementation.

This research seeks to fill a lacuna in the field of global quality system development with regard to modes of competition and challenge. Integration of strategic, operational and marketing rationales into the QMS’s processes augments the functional level of management and supports the development of a strategy for global quality management that is derived from and supports the company’s global strategy.

The main aim of this paper is to provide research propositions that explain global retailers' international expansion. Global retailers are considered to be concentralized‐standardized retail formats.

Research literature is used to develop the concepts related to predicting international expansion. Examples from retailers are used to set the stage for proposition development.

Seven propositions are provided for further examination. These propositions are related to unique retail concept, private brands, unique capability, internalization advantages, pioneering advantages, resource availability, governance resources, and growth experience.

This is a conceptual paper leading to development of propositions for further testing. An empirical analysis is required to determine whether the theoretical connections can be proven.

The major value of the paper is the melding of theory and retail examples to explain the international expansion of a particular type of retailer. Global retailers are centralized and standardized, thereby providing an expansion opportunity in the area of franchising.

Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.

This illustrative case discusses and evaluates Vodafone Group and its overseas expansion and diversification in global business. Vodafone is a UK‐based company that was established after a spin‐off from Racal Electronics Group in 1982. The primary objective of this case is to examine Vodafone’s changing focus and international expansion in the world wireless industry. The case intends to look at Vodafone’s future expansion, growth and global strategies within the concept of internationalization and competitive advantage issues.

Placing expansion of oil palm plantations in Indonesia in the context of the global land grab, this paper analyzes the contemporary extent and early historical periods of plantation expansion via the theory of accumulation by dispossession (ABD).

After reviewing the empirical debate about the land grab, this paper examines the importance of ABD to understand the land grabs in general and for oil palm plantations in Indonesia in particular. Rather than a new phenomenon of the last four decades of neoliberalism, ABD has a history of several centuries.

Accumulation by dispossession (ABD) is a powerful and appropriate lens by which to understand the land conversion and social displacement occurring in Indonesia. Building on historical understanding of ABD, this paper applies the theory to the Indonesian oil palm case, making the case that the multiple and uncertain sequences of engagement with oil palm expansion are reflective of a broader struggle against dispossession.

ABD is not just a global financial process of corporate-led neoliberalization but also shaped importantly by domestic state and local elites. These elites have shaped ABD differently in colonial, authoritarian, and neoliberal periods.

A critical concern for firms pursuing global expansion strategies involves facility site evaluation and selection. For expansion to be successful, corporations must identify countries and facility sites that offer a good fit with the firm′s overall corporate strategy. Unfortunately, little has been written to aid corporations in making these complex decisions. Presents a two‐stage model that combines the concepts of strategic management, the management science technique of goal programming, and micro computer technology to provide managers with a more effective and efficient method for evaluating global facility sites and making selection decisions. Extends the existing literature on corporate facility site evaluation by applying a computer optimization model to facility site acquisition in a way that has not been done before.