A S L 3 Lecture Notes - Lecture 24: Foreign Direct Investment, Advantageous, Pest Analysis
Document Summary
Globalization the process of closer integration and exchange between different countries and peoples worldwide, made possible by falling trade and investment barriers, advances in telecommunications, and reductions in transportation cost. Multinational enterprise (mne) a company that deploys resources and capabilities in the procurement, production, and distribution of goods and services in at least two countries. Foreign direct investment (fdi) a firm"s investment in value chain activities abroad. Global strategy part of a firm"s corporate strategy to gain and sustain a competitive advantage when competing against other foreign and domestic companies around the world. In that period, basically all the important business functions were located in the home country. Typically, only sales and distribution operations took place overseas essentially exporting goods to other markets. Globalization 3. 0: 21st century: mnes that had been the vanguard of globalization have since become global-collaboration networks.
