The Expansion Of The World Economy

One of the most important “dos” is for countries to pay renewed attention to the market selection which they are competing in. More precisely, these countries should focus on maximizing their opportunities where they can find cultural, administrative/political, geographic, and economic affinities. Companies use three different techniques to compete globally. These techniques are adaptation, aggregation, and arbitrage. According to Ghemaway, companies must be able to “vary products, policies, market positioning, and so on to suit local markets.” However, this method of adaptation is intended for companies which have large success and not those who have marginally. Another, important “do” is for “companies to externalize some of the costs of adaptation via franchising, joint ventures, or other types of partnerships.” Some “don’ts” are not put adaptation above all because it would get rid of competitive advantages and not to over-rely on localization. Relying too much on localization would hinder the value of across borders for a

A company which is hoping to prosper in the foreign market must pay real close attention to the new countries laws and regulation. They also need to pay more attention the market that they are trying to sell the product to. Thus doing more research and positioning and constant improvement is necessary for the company to strive in order to reach the

There are various companies which try to reach and set up in the international market. Certain establishments find success while other prove unsuccessful. Some enterprises own the ability to open anywhere, nonetheless there holds circumstances in which need further discussions into their overall strategic plan. Also, lots of challenges and options generated through starting a new business abroad will present itself.

We found innovation, cost reduction and market conditions as key elements supporting a successful internal strategy and strategic alliance and diversification to be among the most widely applied strategies for a foreign market penetration and development, while fusions and licenses were the least preferred.

There are always business risk when it comes to expanding a company, especially from an international standpoint. There are many strategic risk that needs to be evaluated in order to expand the company successfully. Examining the possible risk of foreign currency exposure, basic functions of international banking/financial market, support of long term financing of operations, and assessment of opportunities that can be implemented within the company. There are risk on three dimensions of international finance, economic trends of the country, impact of globalization and monetary system. All of these situations will be discussed in this paper.

If and only if the company is capable of expanding its branches abroad in terms of both resources and capital, it will step into global market. The company will analyse its own capabilities, core competencies, effect of competitors in foreign market and availability of substitutes in order to launch itself in the global

There are a number of different foreign market entry strategies, including exporting, outsourcing, licensing and direct investment. This paper will discuss the advantages and disadvantages of each.

The global economy has become more competitive and ambitious as companies of all extent pursue to bolster and broaden beyond domestic borders. The Internet and knowledge technology are among circumstance that have made it achievable for smaller firms to endeavour toward foreign markets.

Global business is especially complex due to the the globalization of markets. There are significant cultural differences between countries and regions, sometimes there are even multiple cultures in a single country. However, businesses must learn new innovative ways to transcend distance and culture because if they do not their corporations will never grow. Expanding to foreign countries can provide a business with millions of new customers. In order to increase business, businesses must globalize. Luckily enough, this is becoming easier since trade barriers are starting to dissolve and communication to most parts of the world today are basically instantaneous. There are many ways a company can decide to expand internationally. One of

Companies can decide to go global or to enter international markets for various reasons, and these different objectives at the time of entry that enable the business to produce different strategies and the performance goals, and even forms of market participation.

The competitive environment plays an important role in any business, but is the key success factors in global businesses. One of the main factors that developing countries must consider when entering or emerging markets is the

During 1950 to 1960,there’s a war build two individual country and change the eastern world’s pattern.The China supported North Korean during the Korean war.Because China,the Soviet Union,the United State and some other country in the United Nations,this civil war in Korean affect the world’s economic development and the whole world Pattern.And in this world United State supported the South Korean,so this war is a war represent the conflict between democracy which the western world support and the communism which China and the Soviet Union follow.Two side of the war all cost a lot of things,such as the money and the life of the soldiers.In fact no one definably won the war, both of the countries lose the war and both of the countries won the war.

For companies that has reached its potential in the local market, they would have to expand globally in order to boost their profits and stay competitive. Thus, understanding the available foreign modes of entry can help their business to enter into foreign markets more easily.

WHY COMPANIES DECIDE TO ENTER FOREIGN MARKETS Competing in international markets allows companies to (1) gain access to new customers, (2) achieve lower costs through greater scale economies, learning curve effects, or purchasing power, (3) leverage core competencies developed domestically in additional country markets, (4) gain access to resources and capabilities located outside a company's domestic market, and (5) spread business risk across a wider market base. WHY COMPETING ACROSS NATIONAL

Regardless of reason, moving into a foreign market tends to portend great opportunities for companies, particularly if it entails serving products in an emerging economy that has recently become wealthy enough to afford such products; or selling a new but needed