Internationalization Advantages

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In the international market diversification and enterprise growth, the social capital theory also enriches the small and medium-sized international strategic management content. With the extension of the internationalization process, enterprises in a single country market development will not be enough to support its growth. Enterprises face a basic contradiction in the internationalization of enterprises when companies enter various national markets: enterprises on one hand operate in different international markets, and should make full use of existing technology and knowledge to play the scale of these resources; significant differences between markets require various resources of enterprises to maintain flexibility in various markets. Companies…show more content…
Wells (1983) mainly studies the comparative advantages of multinationals in developing countries from following aspects: advantages of small-scale production technology that serve small market demands; competitive advantage of developing countries comes from "local procurement" and overseas production advantages of national products; low-cost product marketing strategic…show more content…
That is, these enterprises should actively develop from their own situation, through the introduction, absorption, digestion and innovation of technology. Its own characteristics of the technology and other competitive advantages, and ultimately through the development of foreign direct investment to grow into an international large multinational companies. Such as China's home appliance industry, it is through the introduction of advanced technology, absorption, digestion and innovation to form a competitive advantage with its own characteristics, and thus cultivate and develop a large number of internationally competitive home appliance industry multinational companies, Such as Haier Group, Hisense Group, TCL Group, Konka Group, Midea Group and Changhong
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