Management and Organizational Studies 2285 Lecture Notes - Lecture 3: Foreign Exchange Controls, Equity Sharing, Exchange Rate
30 Jan 2017
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Document Summary
Internationalization is the process of operating in markets other than their domestic one. There are four parts to the internationalization process. Entering new markets lecture three: deciding whether to go, deciding where to go, deciding what to do there, deciding how to go. Internationalization is not just selling things in a different country. Not all entry modes will work for all mncs. Firms need to understand what they need out of their internationalization, what they will do in the country and what each mode will give them depending upon the environment of the country or countries into which they will enter. Requires an understanding of the fi(cid:396)(cid:373), the (cid:373)e(cid:272)ha(cid:374)i(cid:272)s of ea(cid:272)h (cid:373)ode a(cid:374)d the fit (cid:449)ith the fi(cid:396)(cid:373)"s strategy, structure and goals. Firms become international in scope for a variety of reasons: Internationalization is driven by needs for efficiency and market share increases. However, i(cid:374)te(cid:396)(cid:374)atio(cid:374)alizatio(cid:374) is (cid:373)o(cid:396)e tha(cid:374) (cid:862)si(cid:373)pl(cid:455)(cid:863) doi(cid:374)g (cid:271)usi(cid:374)ess outside the home country it is an organizational mindset.
