2 - IGP potential, pre class slides Win11

2 - IGP potential, pre class slides Win11 - Industry...

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Unformatted text preview: Industry Globalization Potential 1. Per capita income convergence among markets 2. Convergence of lifestyles and tastes 3. Increasing travel creating global consumers 4. Organizations beginning to behave as global customers 5. Growth of global and regional distribution channels 6. Establishment of world brands 7. Emergence of global advertising firms 8.Existence of Lead Countries Industry Globalization Potential Market Drivers Industry Globalization Potential Cost Drivers 1. Global economies of scale or scope 2. Steep experience curve 3. Differences in country costs 4. Decreasing communication and transportation costs (value to cost ratio) 5. Accelerating technological innovation 6. Increasing cost of product development and technology (R&D) relative to market life 7. Emergence of newly industrializing countries with productive capability and low labor costs Industry Globalization Potential Competitive Drivers 1. Global Competitors 2. Competitors leveraging global positions (i.e.; cross subsidization) 3. Interdependence of countries 4. Competitors from different countries Industry Globalization Potential Government Drivers 1. Reduction of tariff barriers 2. Reduction of non-tariff barriers 3. Creation of new trading blocs: NAFTA, EU, ASEAN, Mercosur 4. Decline in the role of governments as producers and consumers 5. Adoption of global standards (e.g. html) 6. Liberalization of labor laws Industry Globalization Potential 1. Per capita income convergence among markets 2. Convergence of lifestyles and tastes 3. Increasing travel creating global consumers3....
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This note was uploaded on 03/30/2012 for the course BUS M 490 taught by Professor Robbjense during the Winter '11 term at BYU.

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2 - IGP potential, pre class slides Win11 - Industry...

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