International Business

Front 1

Strategy

Back 1

-Actions managers can take to compete effectively as an international business
-Firms can maximize profit by implementing strategies that lower costs and increase product value

Front 2

Local Responsiveness

Back 2

A localization strategy that focuses on increasing profitability by customizing product and service so a firm can cater to different international markets

Front 3

Localisation Strategy

Back 3

-Increasing profit by customizing the firms goods and services so that they provide a good match to the tastes and preferences of different international markets.
-Essential when there are vast differences across nations with regard to taste and preference

Front 4

International Strategy

Back 4

-When a firm faces low cost pressures and low local responsiveness
- Value creation by transferring core competencies to foreign markets that lack those competencies.

Front 5

Global Standardisation Strategy

Back 5

-Focus is on increasing profitability and profit growth by reaping cost reductions associated with economies of scale, learning effects and location economies.
-Standardized products lower costs
-Works best when there is no need for local responsiveness but demand for low prices

Front 6

Transnational Strategy

Back 6

-Works best when there are strong cost pressures, and strong pressure for local responsiveness
-Firms simultaneously trying to achieve low costs and product differentiation across markets
-FOSTERING MULTIDIRECTIONAL FLOWS OF SKILLS BETWEEN DIFFERENT SUBSIDIARIES IN A FIRMS GLOBAL NETWORK OF OPERATIONS