Choosing the Right Global Strategy (HBR Article Collection)

Many multinational companies' foreign operations consistently underperform their domestic ones. Why? Most multinationals view global strategy through a narrow lens. Some underestimate the magnitude of differences around the globe--and wrongly assume they can standardize their business model worldwide. Others view local differences as obstacles to be overcome, not opportunities to spur growth and secure competitive advantage. Still others perceive markets as either global or local. They ignore another type of market--regions, geographical areas that share cultural and other similarities even if they don't share national borders. How to widen your lens? Consider striking a balance among three global strategies: aggregation (achieving economies of scale by standardizing global operations), adaptation (boosting market share by customizing your offerings to meet local markets' unique needs), and arbitrage (exploiting differences; for example, offshoring some processes to countries with cheap labor). This Harvard Business Review Article Collection shows you how to balance each option--in ways that best suit your business needs. The four Harvard Business Review articles in this collection by Pankaj Ghemawat: "The Forgotten Strategy," "Distance Still Matters: The Hard Reality of Global Expansion," "Regional Strategies for Global Leadership," and "Managing Differences: The Central Challenge of Global Strategy."