Samenvatting hele boek Engels

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Samenvatting hele boek Engels Chapter 1; Introduction export planning

1.1internationalization of the organization:

Internationalization of the organization requires a clear strategic commitment and vision/mission of the firm. The overall export planning process has four phases: Export policy, export audit, export plan and export roll-out. Many companies start internationalization of their business during and after a successful growth phase.

1.2country position and market attractiveness:

Countries compete with each other on tourism, medication and health centers, logistic ports and distribution, financial centers etc. Michael Porter presents six factors which lead to competitiveness

of nations:

1.Factor advantages; Basic: advantages like raw material, climate, location etc. Advanced: modern telecommunication, modern infrastructure etc.

2.Type of domestic demand; refers to the structure of domestic demand and its focus, size, growth pattern and availability of transfer mechanisms to other countries.

3.National competitiveness; the intensity of competitiveness, its number of competitors and the framework in which competition takes place.

4.Network of internationally competing suppliers; allows for faster information input of new technologies, insights and innovations.

5.Coincidental factors; unplanned occurrences, like strike, war, innovations, currency changes exchange fluctuations.

6.Governmental policy; focusing on the first four factors to stimulate its economy.To move up on the market positioning and market attractiveness ladder, countries have to work on the aforementioned factors for competitive advantage. That is why a lot of countries try to create centers of excellence for specific products or services (China=manufacturing and India=information technology.

1.2.1 Internationalization equals globalization?

In the internationalization of companies there are four questions relevant:

• What are drivers for companies to start export development and

internationalization?

The most common drivers behind companies’ international ambitions are:

-Market development as a strategy; when companies meet the maturity stage in their home market, internationalization is needed to further grow the business) -Need to follow its customer; refers to the demand / requirement of the company to follow the customer abroad.-Competition; enter a country to face its competitor’s internationalization efforts.-Opportunities; external trends which offer market opportunities in certain countries. 2 / 3

• Is internationalization similar to globalization?

Perlmutter described four different types of organizations that have a different

internationalization process. This model is called the EPRG model:

1.Ethnocentric organization; the organization is driven by its home market.Decisions are taken based upon what is good for the home market.

2.Polycentric organization; the organization is locally oriented; each foreign country has its focus on local culture and needs.

3.Region-centric organization; the organization focusses on regional market needs instead of country needs.

4.Geocentric organization; the organization acts as a transnational organization. It views the world as its marketplace and creates centers of excellence in these regions where it makes the most sense.Internationalization as a process is different from globalization. Globalization is the result of trading on a worldwide scale. Internationalization can have its scope on a smaller scale, focusing on international trade between certain countries. So, internationalization is a part of globalization.

• What is exporting?

Exporting means marketing, selling, and distributing goods or services from one country to another country or countries. It includes importing and reselling goods or services as well.

• Is exporting the same as international marketing?

International marketing basically only covers the marketing part. However, the last few years international marketing has more or less bean treated equal to exporting and export management.Therefore, we treat it the same. However, be aware that international marketing covers the relevant marketing aspects for all types of internationalization according to Perlmutter, contrary to exporting which focuses mainly on the ethnocentric a polycentric types.

1.3Export policy:

Many companies start exporting products and services without even considering putting together a program for export development, which often results in an exporting landscape with non- priority countries, together with a portfolio of unwanted agents and distributors. The approach we use to execute a systematic strategy formulation and decision making process is the international strategy definition process, or the export policy process. The export policy/international strategy definition process consists of the following elements; Vision/Mission, Export planning, resource allocation & SWOT.

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