The Regional Multinationals: MNEs and 'Global' Strategic Management

by Alan M. Rugman

• ISBN13: 9780521842655
• ISBN10: 0521842654
• Format: Hardcover
• Copyright: 2005-02-14
• Publisher: Cambridge University Press

Summary

Although many firms label themselves 'global', very few can back this up with truly global sales and operations. In The Regional Multinationals Alan Rugman examines first-hand data from multinationals and finds that most multinationals are strongly regional, with international operations in their home regions of North America, the US or Asia. Only a tiny proportion of the world's top 500 companies actually sell the same product and deliver the same services around the world. Rugman exposes the facts behind the popular myths of doing business globally, explores a variety of regional models and offers an authoritative agenda for future business strategy. The Regional Multinationals is the essential resource for all academics and students in International Business, Organization and Strategic Management, as well as those with an interest in finding out how multinationals really work in practice and how future strategy must respond.

Author Biography

Alan M. Rugman is L. Leslie Waters Chair of International Business at the Kelley School of Business, Indiana University, where he is also Professor of International Business and Professor of Business Economics and Public Policy.

Table of Contents

List of figures	viii
List of tables	ix
Acknowledgments	xi
Introduction	1	(8)
Key themes of this book	1	(2)
The empirical contribution of the book	3	(1)
The regional sales data in the book	4	(1)
The regional and global case studies in the book	5	(1)
Summary of this book	6	(3)
Regional multinationals: the data	9	(24)
Methodology	9	(2)
The intra-regional nature of the world's largest firms	11	(9)
Intra-regional sales by industry categorization	20	(6)
Intra-regional sales by region	26	(5)
Updated data	31	(2)
Two regional strategy frameworks	33	(25)
Basic analysis of regionalization	34	(1)
The CSA/FSA matrix	35	(2)
The regional matrix	37	(4)
Matrix strategies of large MNEs	41	(5)
The integration/responsiveness matrix	46	(2)
The regional strategy matrix	48	(5)
Examples of the regional strategy matrix	53	(2)
Appendix to chapter 3	55	(3)
Regional and global strategies of multinational enterprises	58	(21)
The triad power concept	59	(2)
Empirical analysis of triad power	61	(1)
The meaning of regional strategies	62	(3)
Implications for new analysis	65	(11)
Conclusions	76	(3)
Retail multinationals and globalization	79	(17)
Theory	81	(2)
Empirical evidence	83	(1)
The home-triad base of MNE retail activity	84	(9)
Conclusion	93	(3)
Banking multinationals	96	(18)
Barriers to global expansion in the banking industry	100	(5)
Size and international scope	105	(1)
Cases	105	(9)
Pharmaceutical and chemical multinationals	114	(23)
Barriers to global strategy in the pharmaceutical industry	118	(3)
Case studies	121	(15)
Conclusion	136	(1)
Automotive multinationals	137	(13)
Barriers to global expansion in the automotive industry	140	(1)
Cases	141	(8)
Conclusions	149	(1)
Profiles of leading multinational enterprises	150	(33)
Home-region cases	151	(13)
Bi-regional cases	164	(8)
Global cases	172	(5)
Host-region cases	177	(2)
``Near miss'' global cases	179	(3)
Conclusions	182	(1)
Analysis of the regional and global strategies of large firms	183	(30)
The regional matrix and the large firms	185	(9)
A model of multi-regional strategy and structure	194	(2)
Regional organizations: strategy and structure	196	(5)
A regional, not a transnational solution	201	(6)
Revisiting the transnational solution cases	207	(5)
Conclusions	212	(1)
Regional multinationals and government policy	213	(11)
Regional, not global, business and trade agreements	214	(2)
Regional economic determinism in the triad	216	(3)
Security and regional US energy supply	219	(1)
Implications of regionalization for business-government relations	220	(2)
Conclusions	222	(2)
Regional multinationals: the new research agenda	224	(18)
Regionalization and new theory	225	(1)
Regional or global theory	226	(2)
Implications for MNE theory	228	(3)
Implications of regionalization for business strategy	231	(3)
Implications of regionalization for society	234	(2)
The regional data are robust	236	(4)
Conclusions	240	(2)
Appendix: The 500 companies with triad percent sales, alphabetical, 2001	242	(13)
Company notes	255	(2)
Case references	257	(7)
Academic references	264	(6)
Author index	270	(2)
General index	272