IBS: Les 7

Question 1

Ghemawat and Hout: 4 strategic responses when a DMNE enters an EMNEs home country

Answer 1

1. Continue to specialize in domestic manufacturing
2. Expand manufacturing activities to lower-cost countries in response to rising labor costs
3. Gain FSAs in product development and marketing
4. Specialize in narrow segments of the value chain and develop the FSAs required for succes in these segments

Question 2

6 types of EMNEs

Answer 2

1. Regional exporters/importers = sell in and source from nearby emerging economies
2. Global exporters/importers = specialize in global supply chain management
3. Technology fast followers = OEMS or original design manufacturers (krijgen design van klant)
4. Technology leaders = highly-advanced OEMs
5. Global market niche players = sell their own high-tech products in niche markets
6. Multinational challengers = directly compete with DMNEs

Question 3

Soorten institutional voids

Answer 3

1. Political and social context
2. Openness of the economy
3. Product markets
4. Labor markets
5. Capital markets

Question 4

3 options foreign MNEs have after identifying the relevant institutional voids

Answer 4

1. Adapt the business model while retaining its core
2. Change the institutional context
3. Stay away