Monday, October 26, 2009

With the presence of Multi National Companies across the borders and a presence of business units across the globe makes me think again the Quote " Think Global - Act Local". And i try to understand what could be the best strategy for a Global Company to set up its buisness in the country other than its own .
Global companies(who cross the borders ) in a long run have proven record of successfull Buisness in thier countries and can roll out the same policies , strategies in the new country but we have seen that companies prefer to act locally in the new market, leaving behind the great accolades they have received because of thier own country strategy

Every other companies make strategy when they start new buisness in other country and wants to act locally and in pursuing that they sometimes leave the USP they have and end up in moulding the best characterstics they may have .

When DOCOMO , a japanese Telecom provider, wants to make his presence in the fast growing Indian telecom market ,they end up making a jv with Tata-Tele services and trying to penetrate the price sesitive Indian Telecom sector with per second billing rate ...but if we see in Japan the same Company ,DOCOMO ,nerve system of thier business is Performance ,Innovation ,quality ,first mover ,the question arises to Business Entity like DOCOMO why dont they enter the new market like INDIA with the same Zeal and with the same USP of innovation,quality ..why NOT ..why every other Global company wants to act locally ??

There is sure shot argument ,which says it make sense to read the customer of the new country and then start your business but when we look at the Big Buisness house like Citibank ,HSBC ,Standard Chartered who is doing their buisness as a local entity in india and results have shown that they are not much sucessfull the way they are in some other country .

Why always it's THINK GLOBAL ACT LOCAL WHY can't it be THINK GLOBAL ACT GLOBAL

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