Presented By:

Amit Lalani (201)

Debasish Chakrbarty (211)
Lawi Anupam (221)
Rakesh Ippli (231)
Sheelu (241)
Sudershan Sharma (251)
Y.V.K. Prasad (261)

GITAM INSTITUTE OF INTERNATIONAL BUSINESS

VISAKHAPATNAM
DOMESTIC
Stage and Company Domestic
Strategy Domestic
Model NA
View of the world Home country
Orientation Ethnocentric
Key Assets Located in the home
country
Role of Country units Single Country
Knowledge Home Country
INTERNATIONAL
Stage and Company International
Strategy International
Model Coordinated federation
View of the world Extension Markets
Orientation Ethnocentric
Key Assets Core centralized and others
dispersed
Role of Country units Adapting and Leveraging
competencies
Knowledge Created at centre and
transfered
MULTINATIONAL
Stage and Company Multinational
Strategy Multi Domestic
Model Decentralized federation
View of the world National Markets
Orientation Polycentric
Key Assets Decentralized and Self
Sufficient
Role of Country units Exploiting local
opportunities
Knowledge Retained within operating
units
GLOBAL
Stage and Company Global
Strategy Global
Model Centralized Hub
View of the world Global Markets Or resources

Orientation Mixed Orientation

Key Assets All in home country except
marketing and sourcing
Role of Country units Marketing and Sources
Knowledge Marketing and sourcing
developed jointly and
shared
 Transnational
Stage and Company Transnational
Strategy
Stage and Company Global
Transnational
Strategy Global
Model
Model
Integrated Network
Integrated Network
View ofthe
View of the world
world Global Markets
Global markets andand Resources
resources
Orientation Geocentric
Orientation
Key Assets
Geocentric
Dispersed, Interdependent and
Specialized
Key Assets
Role of Country units
Dispersed Interdependent and
Contributions to companies worldwide
Specialized
Knowledge All functions developed jointly and
Role of Country units Contributions
shared to company
worldwide
Knowledge All functions developed jointly
and shared
Key Job Best person selected
regardless of nationality
Attributes of a Transnational
Company
Looking forward to Global markets & resources

Special labs located different location but will work on the

same project.

Role of each country is to contribute company world-wide.

Best Person is selected regardless of nationality.

R&D is part of integrated worldwide R&D plan and is

decentralized.
TRANSNATIONALITY
INDEX
It is calculated as the arithmetic mean of the
following three ratios :
1.The ratio of foreign assets to total assets,

2.The ratio of foreign sales to total sales,

3.Ratio of foreign employment to total

employment.
 Is Company A Transnational?
Stage and Company Transnational Company A

Strategy Global Overseas subsidiaries manage

Stage and Company Transnational
their own business
Strategy Global
Model Integrated Network YES
Model Integrated Network
View of the world Global Markets and Sales in 80 Countries, and
View of the world Resources manufacturing
Global markets in 14 Countries
and resources
Orientation Geocentric
Orientation Geocentric Adapting to unique market
Key Assets Dispersed, Interdependent and
preferences
Specialized
Key Assets Dispersed Interdependent Assets across the Globe
Role of Country units Contributions to companies worldwide
and Specialized
Knowledge All functions developed jointly and
shared Manufacturing in US, UK,
Role of Country units Contributions to company
worldwide Australia, Europe.
Knowledge All functions developed YES
jointly and shared
Key Job Best person selected Often rely on home country
regardless of nationality persons for CEO and (CFO)
positions
Company B
Stage and Company Multinational
Strategy Multi Domestic
Model Decentralized federation
View of the world National Markets
Orientation Polycentric
Key Assets Decentralized and Self
Sufficient
Role of Country units Exploiting local
opportunities
Knowledge Retained within operating
units
Company C
Stage and Company International Company C
Strategy International Worldwide federations
Model Coordinated federation YES
View of the world Extension Markets YES
Orientation Ethnocentric All Engineering and
Manufacturing in home
country
Key Assets Core centralized and YES
others dispersed
Role of Country units Adapting and Leveraging YES
competencies

Knowledge Created at centre and YES

transferred
Key Jobs Key Jobs to Home Key jobs to home country
country nationals nationals- Speak their
language, understand
history.
Company D
Stage and Company Company D
Strategy Multi Domestic
Model Decentralized
federation
View of the world National Markets Evaluating 3rd World
countries
Orientation Polycentric Taking opportunities
and Expanding
Key Assets Decentralized and Self
Sufficient
Role of Country units Exploiting local
opportunities
Knowledge Retained within
operating units
Job Positions Key Jobs in Host European CEO
country- Host Country
nationals
HQ Mgmt Jobs to
Home country
nationals
THANK YOU