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Exam (elaborations)

International Business

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International Business

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  • October 7, 2021
  • 4
  • 2015/2016
  • Exam (elaborations)
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Chapter 13 – Strategy and Structure
 Integration-responsiveness framework is framework of MNE management on
how to simultaneously deal with the pressures for both global integration
and local responsiveness
 Local responsiveness is the necessity to be responsive to different customer
preferences around the world




 Home replication strategy is a strategy that emphasizes the duplication of
home country-based competencies in foreign countries
 Localization (multidomestic) strategy is a strategy that focuses on a number
of foreign countries/regions, each of which is regarded as a standalone local
(domestic) market worthy of significant attention and adaptation
 Global standardization strategy is a strategy that focuses on development and
distribution of standardized products worldwide in order to reap the
maximum benefits from low-cost advantages
 Center of excellence is an MNE subsidiary explicitly recognized as a source of
important capabilities, with the intention that these capabilities be leveraged
by, and/or disseminated to, other subsidiaries
 Worldwide (global) mandate is a charter to be responsible for one MNE
function throughout the world
 Transnational strategy is a strategy that endeavors to be simultaneously cost
efficient, locally responsive, and learning-driven around the world

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