Areas Y MErcadosa

Classified in Economy

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 Ethnocentric: home country orientation – Exporting surplus

 Polycentric (multidomestic): host country orientation – minor operation

Regiocentric: Regional orientation (Europe, Asia…) – world market strategies

 Geocentric  world orientation – world market strategies

UPPSALA: Is An empirical based observation from some Swedish manufacturers to increase foreign dedication. The theory focuses in a basic explanation: increased market Knowledge will lead to increased market commitment, and vice versa.

1 – Sporadic export  2 – Export via Independent representative  3 – Establishment of a foreign sales subsidiary  4 – Foreign production/manufacturing 

BORN GLOBAL - A firm That globalizes rapidly without a previous long-term period. - Borderless world View. Initial development of strategies to expand abroad - Have distinct Features - Normally export a quarter of their total production in the first Year

Market Expansion strategies

1- Licensing Arrangements: is the signature of a contract between the holder of a Transferable right and another company, where the latter is authorized within Some conditions to make use of the right and return to a payment or royalty. 2  – Joint Venture New firm formed to achieve Specific objectives of a partnership (like a temporary arrangement between 2 or More firms, such as Mc Donald’s and Coca-cola) 3 – Acquisitions: A corporate Action in which a company buys most or all of the target company’s ownership Risks to assume control of the target firm 4 – Greenfield: Type of venture Where finances are employed to create a new physical facility for a business in A location where no existing facilities are currently present

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