The Bartlett & Ghoshal Model indicates the strategic options for businesses wanting to manage their international operations based on two pressures: local responsiveness and global integration.
Global Strategy
- Highly centralised
- Focused on efficiency
- Little sharing of expertise locally
- Standardised products
Examples include:
- Pfizer
- Cat
Transnational Strategy
- Complex to achieve
- Aims to maximise local responsiveness but also gain benefits from global integration
- Wide sharing of expertise
Examples include:
- Unilever
- Starbucks
International Strategy
- Aims to achieve efficiency by focusing on domestic activities
- International operations are largely managed centrally
- Relatively little adaptation of product to local needs
Examples include:
- Ups
- McDonald’s
Multi-domestic
- Aims to maximise benefits of meeting local market needs through extensive customisation
- Decision-making decentralised
- Local businesses treated as separate businesses
- Strategies for each country
Examples include:
- Nestle
- mTV