Global Firms Vs Multidomestic Firms

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Issue:

Business

 

Written by:

Martin B

 

Date added:

December 15, 2011

 

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No of pages / words:

2 / 444

 

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5531 times

 

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Essay content:

It has made it easier and less expensive to integrate activities and coordinate resources across international borders. The falling of this barriers and the globalization has also homogenized customers. In a globalized world global customers have similar needs and with the same product firms are able to reach all customers in different markets...
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In this era there is furious competition between companies, and only those firms able to lower their cost have a chance to survive. A global strategy enables firms to reduce costs by economes of scale or by having operations in third world countries. Apart frm the economies of scale, global firms are also capable to reduce their costs by carrying out different parts of the value chain in different places...
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