Strategic Management
Strategic Management
3rd Edition
ISBN: 9781259420474
Author: Frank T. Rothaermel The Nancy and Russell McDonough Chair; Professor of Strategy and Sloan Industry Studies Fellow
Publisher: McGraw-Hill Education
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Chapter 10, Problem 1DQ
Summary Introduction

To explain: How a relationship changes when a multinational enterprise changes from globalization 2.0 to globalization 3.0 operations.

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Explanation of Solution

Changes in a relationship when a multinational enterprise changes from globalization 2.0 to globalization 3.0 operations:

The transition of moving a firm from vertical integration to dividing the integrated firm into the functional departments can be related to the transition from globalization 2.0 to globalization 3.0 operations. In globalization 2.0 the multinational enterprises were required to duplicate their operations into the overseas markets. But, this strategy resulted in the wastage of resources.

In globalization 3.0, a multinational enterprise can select the different location that will be best suited for the supply chain activities. After choosing the specific location, operations will be shifted to the particular location. Each of the major operations of a firm such as finance, marketing, operations, and human resources will be in different countries and so on. Hence, in globalization 3.0 a network kind of supply chain is created even though it means it is outside the organizational boundary.

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Give thorough answers by including an answer to the question "Why?", even when it is not asked. In other words, imagine the person who is going to read your answer knows nothing about you, so justify your answer more than you need to with examples from your past experiences in work, academics. Brag!  Question: What obstacles have you overcome to get where you are today, both professionally andpersonally, and what essential lessons have you learned from some of your mistakes? Context: I'm a senior majoring in Business Management at University.
Give thorough answers by including an answer to the question "Why?", even when it is not asked. In other words, imagine the person who is going to read your answer knows nothing about you, so justify your answer more than you need to with examples from your past experiences in work, academics. Brag!  Question: What new skills have you learned in the last year? And why were they worth learning? Context: I'm a senior majoring in Business Management at University.
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