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INTERNATIONAL ENVIRONMENT
Internationalisation/globalization potential

www.eeg.uminho.pt

Grupo espanhol do sector da moda começa por reabrir vendas online e lojas em
Kiev
A Inditex está a retomar a operação comercial na Ucrânia a partir desta terça-feira, com a reabertura das vendas online no
país. A partir de quarta-feira, começa a reabrir as portas de 20 lojas na capital, Kiev.
O regresso da Inditex nas lojas físicas e no online será “gradual” e ajustado às necessidades do mercado, indica o grupo
espanhol que assume ter como prioridade “a segurança de funcionários e clientes”. Nos próximos meses, espera abrir meia
centena de lojas, na zona da capital e avançar para Leópolis, a 70 km da fronteira com a Polónia, avança o jornal espanhol El
Pais.
Neste regresso das sete insígnias da empresa - Zara, Pull&Bear, Massimo Dutti, Bershka, Stradivarius, Oysho e Zara Home - à
Ucrânia, onde o grupo encerrou temporariamente a atividade em fevereiro de 2022 devido à guerra com a Rússia, a Inditex
segue outras multinacionais do sector da moda que recomeçaram a operar no país, como é o caso da H&M. Em 2021,
quando a hipótese de invasão pela Rússia era considerada um cenário pouco provável, a Ucrânia foi o país onde a empresa
abriu mais lojas novas.
Em março de 2022, o grupo fundado por Amâncio Ortega encerrou toda a atividade na Rússia, o seu segundo maior mercado
em número de lojas no mundo, com 514 espaços comerciais, o que apenas era superado por Espanha. E, sete meses depois,
acabou por vender a operação na Rússia ao grupo Daher.
A Inditex fechou 2023 com um crescimento de 30% nos lucros, para 5,4 mil milhões de euros. As vendas aumentaram 10%,
para um recorde de 35,9 mil milhões de euros.
https://expresso.pt/economia/2024-04-02-Inditex-regressa-a-Ucrania-dois-anos-depois-
d5a23e60?utm_content=Ela%20quer%20pagar%20mais%20impostos&utm_medium=newsletter&utm_campaign=9e2c6b908e&utm_source=expresso-
expressomatinal

University of Minho | School of Economics and Management www.eeg.uminho.pt

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“If we distributed pictures only in the United

States, we’d lose money. It takes the whole
world now to make the economics of movie-
making work.”
- William Mechanic
President, 20th Century Fox

Reading:
Yip, G., Hult, G. (2012), Ch 2 – Diagnosing Industry globalization potential,
Total Global Strategy, 3rd ed., Boston: Pearson
(Copy in BB/Content/classes)

University of Minho | School of Economics and Management www.eeg.uminho.pt

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• Why are some industries more global than others?

• Aeronautics
• Soft drinks
• Consulting
• Pharmaceuticals (OTC vs ethical –requiring a prescription)

University of Minho | School of Economics and Management www.eeg.uminho.pt

INDUSTRY GLOBALIZATION DRIVERS

• Represent the industry conditions that determine the potential and

need for competing with a global strategy.

• Industry globalization drivers are the underlying conditions in each

industry that create the potential for using global strategy

University of Minho | School of Economics and Management www.eeg.uminho.pt

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•
MARKET
DRIVERS

INDUSTRY GOVERNMENT
COST GLOBALIZATION
DRIVERS DRIVERS
POTENTIAL

COMPETITIVE
DRIVERS

Market globalisation drivers

• Common consumer needs and tastes

• Global customers and channels
• Transferable marketing
• Lead countries

University of Minho | School of Economics and Management www.eeg.uminho.pt

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Strength of market
globalization drivers
for selected industries

University of Minho | School of Economics and Management www.eeg.uminho.pt

Cost globalisation drivers

• Global scale economies

• Steep experience curve effect
• Sourcing efficiencies
• Favorable logistics
• Differences in country costs (including exchange rates)
• High product development
• Fast changing technology

University of Minho | School of Economics and Management www.eeg.uminho.pt

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Government globalisation drivers

• Favorable trade policies

• Compatible technical standards
• Common marketing regulations
• Government-owned competitors and customers
• Host government concerns

University of Minho | School of Economics and Management www.eeg.uminho.pt

Favorable Trade Policies

Ø Host governments affect globalization potential in a number of major ways:
• Import tariffs and quotas
• Nontariff barriers
• Exports subsidies
• Local content requirements
• Currency and capital flow restrictions
• Ownership restrictions
• Requirements on technology transfer

• Favourable trade policies increase rivalry among existing international competitors by making it easier for them to compete
in each other’s markets

University of Minho | School of Economics and Management www.eeg.uminho.pt

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Competitive globalisation drivers

• High exports and imports

• Competitors from different continents
• Interdependence of countries
• competitors globalized
• transferable competitive advantage

University of Minho | School of Economics and Management www.eeg.uminho.pt

Guidelines for diagnosing industry globalisation potential

Ø Do not assume that industries are either global or not global.

ØDifferent industry globalization drivers can operate in different directions,
some favouring globalization and others making it difficult and inadvisable
Ø Businesses can respond selectively to industry globalization drivers, by
globalizing only those elements of strategy affected by favorable drivers.
Ø The level of globalization potential changes over time
Ø Industry globalization drivers can work at a regional or continental scale as
well as at a global scale
ØIndustry competitors themselves can affect some globalization drivers.

University of Minho | School of Economics and Management www.eeg.uminho.pt

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The nine strategic windows

Source: Solberg (1997, p. 11 ). Reprinted with kind permission. In the original article Solberg has used the concept ‘globality’ rather than ‘globalism’.

University of Minho | School of Economics and Management www.eeg.uminho.pt

• Yip Model / Porter’s five forces

University of Minho | School of Economics and Management www.eeg.uminho.pt

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•Porter’s five forces

Threat of new
entrants

Suppliers’ Industry rivalry

Buyers’
bargaining bargaining
Existing competitors
power power

Threat of
substitutes

• It is important to understand how the potential for globalization influences the

threat of entry and the rivalry between existing competitors.

• In most cases, an increase in industry globalization increases rivalry.

Especially in relation to the threat of new entrants, rivalry between current
companies and substitute products, given the increase in geographic scope.

• The effect of industry globalization on supplier and customer power can be

positive or negative.

University of Minho | School of Economics and Management www.eeg.uminho.pt

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How global is the industry

How global should the strategy of the company be?

What is a global strategy?

University of Minho | School of Economics and Management www.eeg.uminho.pt

What is a global strategy

•Multidimensional:
•Market Participation - choice of country-markets in which to conduct business
and the level of activity, particularly in terms of market share.
•Products/services: - extent to which a worldwide business offers the same or
different products in different countries.
•Location of value-adding activities - choice of where to locate each of the
activities that comprise the entire value-added chain.
•Marketing - extent to which a worldwide business uses the same brand names,
advertising, and other marketing elements in different countries.
•Competitive Moves - extent to which a worldwide business makes competitive
moves in individual countries as part of a global competitive strategy.

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