Literature Review Of Internationalization

There are many opportunities available for companies willing to venture into new, international markets. Reaching more customers and therefore, turning a larger profit are two fairly obvious reasons for companies to consider global expansion. However, the potential benefits do no end there. Expanding to international markets can hold less obvious, yet extremely beneficial appeals such as access to new and different talent pools, grander output requires great advances in efficiency, and international expansion can, in some cases, aid in “future proofing” the company.

The internationalisation process of the firm has been a subject, which has been motive of study for a number of

The business internationalise means a company’s production and business activity are not only confined to one country, but also integrate the different countries’ raw material and labour and technologies to

While trying to establish international operations, companies are faced with

As discussed in Chapter 21 of our text book, any company that is looking to expand globally must make five key decisions. A firm must decide if: a) they really want to expand to the international market; b) they

Swedish researchers Johanson & Vahlne developed a model based on a research of foreign dedication by observing patterns in the establishment chain, psychic distance and product diversification and identifying that knowledge and learning have a profound impact on how the firm is seen to approach foreign markets.

According to Charles W. L. Hill (2016), “International business refers to, any firm that is involved in international trade or investment. With that being said, all a company has to do to be classified as a globally recognised company is export and import products to/or from other countries. Companies decide to go global and enter international markets for various reasons, and these different objectives at the time of entry should produce different strategies, performance goals, and even forms of market participation.

Klein et al. (1990) extended TCA by integrating production costs and dividing external uncertainty. Erramilli and Rao (1993) modified the TCA framework to adapt it to the service industry. Coviello and Munro (1997) argued that the network relationship developed affects firm’s internationalization and the choice of entry mode. Tse et al. (1997) have analyzed the influence of country specific, industry specific, and operation related factors on entry mode choice. Reuber and Fisher (1997) pointed out that the international experience of a management team is positively related with the development of strategic partners and foreign sales. Pan et al. (1999) examined the impact of order and mode of entry on firm performance in foreign markets. Finally, Brouthers et al. (1999) supported Dunning’s OLI framework by empirically examining German and Dutch firms that had invested in Central East European countries (CEE). 3

With the fast politic and economic development, and the rapid development in the high-technology and information industry, economic globalization has made the global competition more intense. Many companies expand internationally when domestic market begin to mature or become saturated. For those expanding into oversea markets, choosing appropriate strategy is crucial to its survival in the international business.

This paper analyzes why and how companies set their international business strategies with the host nations and the benefits that they have reaped through the years with their decision. The discussion handles foreign manufacturing strategies with direct investment and without direct investment, its advantages and disadvantages and how companies have profited by their decisions in each of the cases. At the end of the discussion it would be clear that how such business decisions play a vital role in the growth of the companies both in home and host countries

Transperth is the brand name of the public transport system serving the city and suburban areas of Perth, the state capital of Western Australia. It is operated by the Public Transport Authority.

The practical studies focus on identifying that internationalization was regular or incremental process .The internationalization process is study focusing on attitudes and behaviors of firms in market that are in the process of internationalization. The practical studies focus on identifying that internationalization was regular or incremental process. Some observations are also made on de-internationalization that point towards the flexibility seen in the duration of the internationalization process.

stated, “As the international dimension of higher education gains more attention and recognition, people tend to use it in the way that best suits their purpose” (de Wit, 2011, p. 243; Hudzik, 2014, p.9). In fact, a vision of internationalization is not complete if it does not cover “why internationalization?” (Aerden, 2013, p.62). Indeed, any international plan should not only be internationalized but also reflect the suitable features and expectations of the local and national community (Ardakani et al., 2011, p.169).

However, as Stern and Hammond (2004) notes, as the firm begins to expand the geographic scope of its operations, it enters a wide range of markets, and the degree of cultural and economic diversity between these markets increases sharply. Costs of coordination and information acquisition increase sharply, resulting in diseconomies, which have a negative impact on profit. In the past, the primary focus of FMCG’ international marketing strategy has been affluent developed countries, notably those in the industrial triad and particularly those engaged in marketing consumer goods. These markets have fueled growth and been a key source of profits (Alden

The section discuss of the internationalisation process of case firm 4 “Delta”. Delta is one of the largest ICT firm in Nigeria and Sub-Saharan Africa and most capitalised ICT firms in Sub-Saharan.