Classification of enterprise internationalization strategy;
The internationalization strategy of enterprises can be divided into three types: country-centered strategy, multinational company-centered strategy and global-centered strategy.
1, national central strategy
The business strategy formulated under the judgment of the interests and values of the parent company aims to take the initiative in international competition and gain competitive advantage with a highly integrated image and strength. The characteristics of this strategy are that the parent company concentrates on coordinating the design, development, production and sales of products, and the management mode is highly centralized, and the management decision-making power is controlled by the parent company. The advantage of this strategy is that centralized management can save a lot of costs, but the disadvantage is that the product has poor adaptability to the local market demand of the host country.
2. Transnational Center Strategy
Under the guidance of unified management principles and objectives, organize production and management according to the local actual conditions of each host country. The parent company mainly undertakes the formulation of overall strategy and the decomposition of business objectives, and implements target control and financial supervision over overseas subsidiaries; Overseas subsidiaries have greater business decision-making power and can respond quickly according to local market changes. The advantage of this strategy is good adaptability to the local market demand of the host country and fast market response, but the disadvantage is that it increases the difficulty of coordination among subsidiaries.
3. Global Center Strategy
The strategy of the global center is to regard the world as a unified big market, obtain the best resources and sell products around the world. Enterprises adopting global center strategy connect their subsidiaries through global decision-making system, and realize resource acquisition and product sales through global business network. This strategy takes into account the specific needs of the host country and the overall interests of multinational companies, and has become the main development trend of enterprise internationalization strategy. However, this strategy also has some defects, such as high requirements for enterprise management level and large investment in management funds.