Global Strategy

Global Strategy

 

 

Global Strategy

 

Meaning of Global Strategy

Global Strategy: An organization's strategic guide to globalization. A global strategy may be appropriate in industries where firms are faced with strong pressures for cost reduction but with weak pressures for local responsiveness. Therefore, the strategy allows these firms to sell a standardized product worldwide. However, fixed costs (capital equipment) are substantial. Nevertheless, these firms are able to take advantage of scale economies and experience curve effects, because of the ability to mass-produce a standard product which can be exported—providing that demand is greater than the costs involved.

 

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Global Strategy

 

Global Strategy

 

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Global Strategy

 

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Global Strategy