Tuesday, January 19, 2010

What is an example of a globalization driver?

Globalization drivers are conditions in an industry that favor transnational/international strategies over multi-local/regional strategies. These factors generally fall into four categories such as markets, costs, governments, and competition. 

An example of a cost factor would include the search for cheaper local labor and procuring cheaper raw materials in foreign countries.

For further information about international business practices, check these links: 

Advantages and Disadvantages of Globalization
Multi-Domestic Strategy and Transnational Strategy

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