Theory and History
Chapter 3: Marketing and the multinational: Extending internalization theory
Introducing marketing explicitly into the internalization theory of the multinational enterprise considerably extends the power of the theory. In particular, it enables a comparison of marketing-led and technology-led multinationals, and highlights the benefits of collaboration between them. It facilitates the analysis of outsourcing, and in particular of R & D. It highlights the importance to marketing-led firms of owning product rather than facilities. The analysis addresses key issues relating to ‘hollow firms’, ‘flagship firms’ and the ‘global factory’.
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