Chapter 13 – Strategy and Structure
Integration-responsiveness framework is framework of MNE management on
how to simultaneously deal with the pressures for both global integration
and local responsiveness
Local responsiveness is the necessity to be responsive to different customer
preferences around the world
Home replication strategy is a strategy that emphasizes the duplication of
home country-based competencies in foreign countries
Localization (multidomestic) strategy is a strategy that focuses on a number
of foreign countries/regions, each of which is regarded as a standalone local
(domestic) market worthy of significant attention and adaptation
Global standardization strategy is a strategy that focuses on development and
distribution of standardized products worldwide in order to reap the
maximum benefits from low-cost advantages
Center of excellence is an MNE subsidiary explicitly recognized as a source of
important capabilities, with the intention that these capabilities be leveraged
by, and/or disseminated to, other subsidiaries
Worldwide (global) mandate is a charter to be responsible for one MNE
function throughout the world
Transnational strategy is a strategy that endeavors to be simultaneously cost
efficient, locally responsive, and learning-driven around the world
Integration-responsiveness framework is framework of MNE management on
how to simultaneously deal with the pressures for both global integration
and local responsiveness
Local responsiveness is the necessity to be responsive to different customer
preferences around the world
Home replication strategy is a strategy that emphasizes the duplication of
home country-based competencies in foreign countries
Localization (multidomestic) strategy is a strategy that focuses on a number
of foreign countries/regions, each of which is regarded as a standalone local
(domestic) market worthy of significant attention and adaptation
Global standardization strategy is a strategy that focuses on development and
distribution of standardized products worldwide in order to reap the
maximum benefits from low-cost advantages
Center of excellence is an MNE subsidiary explicitly recognized as a source of
important capabilities, with the intention that these capabilities be leveraged
by, and/or disseminated to, other subsidiaries
Worldwide (global) mandate is a charter to be responsible for one MNE
function throughout the world
Transnational strategy is a strategy that endeavors to be simultaneously cost
efficient, locally responsive, and learning-driven around the world
