What is semi-globalization in international business?

A term used by Ghemawat (2003, J. Int. Business Studs, 34, 2) to describe incomplete cross-border integration, and the location-specificity of certain enterprises. ‘Semi-globalization covers the range of situations in which neither the barriers nor the links among markets in different countries can be neglected.

What is semi-globalization and what factors contribute to it?

Semi-globalization means that both forces of globalization and localization are taking place at the same time. This tension is the fundamental source of uncertainty in international business, as the world is neither completely globalized nor completely localized. Globalization Drivers. Technological Factors.

What are the three strategies of globalization?

There are three main international strategies available: (1) multidomestic, (2) global, and (3) transnational (Figure 7.23 “International Strategy”).

What is cultural arbitrage?

Cultural arbitrage exploits differences in culture across countries or regions. Example: Many consumers associate Brazil with football, carnivals, beaches, and sex.

Which of the following is true of globalization according to the pendulum view perspective?

According to the pendulum view on globalization, which of the following statements is true of globalization? It is not one-directional.

What is international strategy?

What is International Strategy? International strategy is a business plan or strategy created by a company to do its business in international markets. An international strategy requires analyzing the international market, studying resources, defining goals, understanding market dynamics & develop offerings.

What is arbitrage strategy?

Arbitrage is an investment strategy in which an investor simultaneously buys and sells an asset in different markets to take advantage of a price difference and generate a profit.

What is the arbitrage benefit enjoyed by global firms?

Cultural, economic, administrative and geographic arbitrage can create potential advantages for global companies. ADVERTISEMENTS: The globalization effort of most companies comprises extending their business models geographically with necessary modifications to maximize the company’s economies of scale.

What is Pendulum view of globalization?

The last (pendulum) view suggests that globalization is the “closer integration of the countries and peoples of the world which has been brought about by the enormous reduction of the costs of transportation and communication, and the breaking down of artificial barriers to the flows of goods, services, capital.

What are the main differences among the three economic systems?

Traditional systems focus on the basics of goods, services, and work, and they are influenced by traditions and beliefs. A centralized authority influences command systems, while a market system is under the control of forces of demand and supply. Lastly, mixed economies are a combination of command and market systems.

What is international business strategy?

Typically, the phrase “international business strategy” refers to the plans and actions of companies (public or private) rather than of governments; as such, the goal of such a strategy involves increased profit.