Total Global Strategy II : Updated for the Internet and Service Era

by Yip, George S.

• ISBN13: 9780130179173
• ISBN10: 0130179175
• Edition: 2nd
• Format: Paperback
• Copyright: 2002-04-16
• Publisher: Prentice Hall

Summary

Written by the subject's leading academic authority, this readable text addresses the most challenging task faced by multinational companieshow to deal with globalization and the resulting need for globally integrated strategies.Chapter topics include understanding global strategy, diagnosing industry globalization potential, building global market participation, designing global products and services, locating global activities, creating global marketing, making global competitive moves, regional strategy, strategies for companies from emerging economies, building the global organization, measuring industry drivers and strategy levers, and conducting a global strategy analysis.For CEOs, division heads, VP International, VP Global Strategy, VP Corporate Development/Strategy/Planning, VP International/Global Marketing, regional and national/general mangers, and consulting firm partners.

Author Biography

George S. Yip is Professor of Strategic and International Management and the Andersen Research Fellow for the Network Economy at London Business School, and also Associate Dean and head of the Fulltime MBA Program.

Table of Contents

Preface to the Second Edition	xii
Preface to the First Edition	xiv
Understanding Global Strategy	1	(27)
Diagnosing Industry Globalization Potential	28	(36)
Building Global Market Participation	64	(26)
Designing Global Products and Services	90	(17)
Locating Global Activities	107	(33)
Creating Global Marketing	140	(31)
Making Global Competitive Moves	171	(11)
Building the Global Organization	182	(40)
Regional Strategy	222	(16)
Measuring Industry Drivers and Strategy Levers	238	(15)
Conducting a Global Strategy Analysis	253	(19)
Appendix: Worksheets for Evaluating Core Strategy	272	(4)
Bibliography	276	(11)
Company Name Index	287	(4)
Subject Index	291	(6)
Author Index	297

Excerpts

Much has changed in the 10 years since I wrote the first edition of Total Global Strategy.Back then, many companies were still debating whether they should globalize or stay home. For those who were already operating internationally, many questioned the wisdom of moving away from multilocal strategies to global strategies. Would such strategies work? Would they be too difficult to implement? In 10 years we have seen the end of the debate on whether companies should go outside their home markets. We have also seen many successful applications of globally integrated strategies, some of them described in this second edition. Indeed, companies have embraced globalization so successfully that we now see a social and political backlash against it. With experience, global companies have developed more sophisticated and flexible versions of the strategies and organizational processes described in the first edition. This second edition reflects that greater sophistication and flexibility. We have also seen in the last 10 years the dramatic rise of the Internet. Despite the stumbles of the first round of dot-coms in the so-called new economy, it is clear that the Internet is affecting virtually all businesses, including how they globalize. In most chapters this second edition explicitly addresses the effects of the Internet on globalization, global strategy, and organization. While not a new phenomenon of the last 10 years, the service aspects of business have continued to grow in importance. Many executives from service businesses have asked me for more guidance and examples. This edition answers that call. There are no separate chapters on the Internet or service businesses, but concepts and examples on both are threaded throughout the entire book. In the last 10 years, many managers and academics have debated the possibility of regional rather than global strategies. My view in the first edition was that regional strategyis a subset of global strategy. But in the intervening period I have worked on two book projects looking at global strategies for particular regions of the world--AsiaPacific and Central and Eastern Europe. These projects have informed my views on regional strategy. So this edition has a new chapter on that topic. Perhaps the strongest call has been for more on implementation.I have tried to meet this demand by greatly increasing the length of Chapter 8 on global organization, while recognizing the limits for a book focused on strategy. Between the two editions I have had the opportunity to work closely with many companies, in either consulting or executive education situations, in helping them to apply the concepts in this book. The second edition has greatly benefited from this experience. I have also had the opportunity to test and confirm many of the concepts in various academic studies. These studies have been published in numerous journals, referenced in this second edition. Other scholars have also worked in this area in the intervening time. I have learned from their efforts, and from their works that are referenced here. In addition to readership among executives, many business schools have adopted the first edition to use in courses on strategy, international/global business, or international/ global marketing. I myself have learned much from the students whom I have taught using this book. Hence I am dedicating this second edition to all my students, young and old. With all the additions, the second edition weighs in about 50 percent longer than the first one. I hope the reader will find the extra information worthwhile. GUIDE TO THE CHAPTERS Chapter 1 describes the globalization changes that face companies, then sets out the framework that the rest of this book elaborates. Chapter 2 describes in detail the operation of industry globalization drivers and finishes with an application of globalization drivers to European integration. The next five chapters focus on each global strategy lever in turn: Chapter 3 on the use of global market participation, Chapter 4 on the use of global products and services, Chapter 5 on the use of global activity location, Chapter 6 on the use of global marketing, and Chapter 7 on the use of global competitive moves. Chapter 8 addresses the organization and management issues in implementing global strategy. The chapter presents a framework of the organization and management factors that determine a business''s ability to implement global strategy. Chapter 9 discusses regional strategy--how companies can develop intermediate strategies that are part of global ones. Chapter 10 provides operational measures for all the industry globalization, global strategy, and global organization concepts discussed earlier. The chapter is particularly helpful for those undertaking a global strategy analysis of the type described in the last chapter. Chapter 11 pulls together the concepts of the book into a systematic, step-by-step approach to conducting a global strategy analysis.