BALBALLEGO, AIZA L.

MBA – II
SEMINAR IN MANAGEMENT

MODULE 9: Globalization

1. Converting Global Presence into Global Competitiveness

 Global presence by itself does not confer global competitive advantage. Global presence
makes available to the firm's managers five value-creation opportunities: to adapt to local
market differences, to exploit economies of global scale, to exploit economies of global scope,
to tap optimal locations for activities and resources, and to maximize knowledge transfer
across locations.
 However, each of these opportunities is associated with significant obstacles and challenges
that often prevent firms from exploiting them optimally.
 To overcome these challenges, managers need to adopt a two-step approach for analysis and
action. They should first evaluate the optimality of the firm's global network for each value-
chain activity along the dimensions of activity architecture, competencies at the locations, and
coordination across locations.
 Based on the evaluation, they should then design and execute actions to mitigate or eliminate
the suboptimalities.
2. Global Strategy: A Review and an Integrated Conceptual Framework
 Global strategy has recently emerged as a popular concept among managers of
multinational corporations as well as among researchers and students in the field of
international management. This paper presents a conceptual framework encompassing a
range of different issues relevant to global strategies.
 The framework provides a basis for organizing existing literature on the topic and for
creating a map of the field. Such a map can be useful for teaching and also for guiding
future research in this area. The article, however, is primarily directed at managers of
multinational corporations, and is aimed at providing them with a basis for relating and
synthesizing the different perspectives and prescriptions that are currently available for
global strategic management.

References:

 https://www.jstor.org/stable/4165734?seq=1
 https://www.jstor.org/stable/2486231?seq=1