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Define liability of foreignness and regionalism. Discuss how it relates to and how it impacts international strategies.

Business-level, Corporate-level, and International Strategies

  • Globalization
  • International strategic alliances
  • Cooperative strategies

Part 1

Based on your research and reading, complete the following tasks:

  • Define liability of foreignness and regionalism. Discuss how it relates to and how it impacts international strategies.
  • Describe corporate strategic alliance and discuss why a company would want to develop one. Are strategic alliances necessary for a company to expand internationally?
  • Describe the primary reasons for failure of an international strategic alliance. Identify at least four fundamental issues that affect trust between partners, and explain when an acquisition is more favorable than a strategic alliance.

Part 2

Cooperative strategies seem to be a good idea. Using what you have learned about strategic management and in relation to cooperative strategies, respond to the following questions:

  • Discuss the difference between a business-level cooperative strategy and a corporate-level cooperative strategy. Under what circumstances would you choose to develop a cooperative strategy? When is it not a good idea?
  • Explain the approach you would adopt to manage a cooperative strategy between two companies.
  • Describe the three types of strategic alliances and the reasons why companies develop them.
  • Describe situations when each is most appropriate to adopt.

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