![]() ![]() Individual components of a single product might be manufactured in several different places and assembled into final products elsewhere. In this stage, companies disaggregate the production process and focus on completing each activity in the most advantageous location. The third stage (value chain disaggregation) represents the next step in the company's globalization of the supply chain infrastructure. In this scenario, different locations begin to specialize in different products or components and trade in finished goods. ![]() Stage 2 - Product Specialization - In the second stage (product specialization), companies transfer the full production process of a particular product to a single, low-cost location and export the goods to various consumer markets. To gain access to local customers, however, companies often need to establish a production presence, either because of the nature of their businesses, such as in-service industries like food retail or banking, or because of local countries' regulatory restrictions, such as in the auto industry. ![]() Stage 1 - Market Entry - In the first stage (market entry), companies enter new countries using business models similar to the ones deployed in their home markets. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |