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Emerging Issues in International Business Research

Edited by Masaaki Kotabe and Preet S. Aulakh

Top scholars in the field of international business (IB) contribute to this comprehensive analysis of the current state-of-the-art in IB research. The focus of the book is to examine the current state of international business research from an issue-oriented approach rather than the functional approaches that have been characteristic in the recent evolution of the field. In evaluating the current state and future research directions in research areas unique to international business, the book is structured in three parts: the macro-environment, interactions between business and institutions, and competition and strategy.
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Chapter 10: Globalization of Firms: Strategies and Outcomes

Saeed Samiee


10. Globalization of firms: strategies and outcomes Saeed Samiee The international business literature is replete with materials pertaining to the nature, prerequisites or drivers, imperatives, planning, and implementation of global strategy. Since 1980, the volume and the quality of the literature in international strategic management have significantly increased. Much of the credit for developing this area goes to strategic management and, to some extent, marketing scholars who have, largely independently of one another, investigated and analyzed global strategy from different perspectives. Despite these advances, responding to research questions posed by technological advances and increasing internationalization and globalization drives remains a major challenge in strategic management (Bettis and Hitt 1995). In relative terms, global strategy as a discipline is in its infancy. From its inception, strategic management has been concerned with business concepts and practices that affect performance. Presumably the development of relevant theories and concepts can capture dimensions that lead to superior performance and can be incorporated in the firm’s strategic plan. However this objective may have been accomplished in a domestic sense, its international application is a debatable topic. In particular, performance consequences of globalization as a strategic thrust are not known. A range of strategies has been followed by firms in pursuit of internationalization, some of which fit the framework and strategies echoed in the literature and constitute globalization. Three issues regarding globalization are noteworthy. First, there are clearly degrees of globalization. In general, globalization patterns tend to be unique to the firm (for example, international business...

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