International Business Strategy Case Study Example | Topics and Well Written Essays - 2500 words

International Business Strategy - Case Study ExampleTo survive, it is vital that a firm can do something better than its competitors (Wonglimpiyarat 20041). globalisation has not only altered the nature and the intensity of competition but has had to dictate and shape organisations in terms of what consumers wants, how and when they want it and what they are prepared to yield for it (Hagan 19961).Kanter (199571) on his work of Mastering Change argues that success in the present day trading is not for those companies that re-engineer the way they do things, or for those fixing the past. check to Kanter (1995) such an action will not constitute an adequate response. This is so because success is based on an organisations ability to create, rather than predict the future by developing those products that will literally transform the way the world thinks and view it self and the needs (Kanter 199571).Within the context of todays global competition, businesses and firms no-longer comp ete as single(a) companies but try to corporate with other businesses in their activities (Wu & Chien 20072). These researchers went further to argue that, this strategy has become quite common in many businesses including the electronic chain. The conventional vertical integrated company based business model is gradually being replaced by collaborative relationship between many fragmented, but completing and specialized value stars and constellation (Wu & Chien1).An alternative approach towards organisational success, one which is becoming increasing prominent and has attracted the sustained attention of both domestic and international business scholars are core competences, capabilities and resources (e.g. Madhok 1998, Prahalad & Hamel 1990, Hamel & Prahalad1994 ). In todays global business environment it is no longer sufficient simply to meet customers demand as time reference and cost have become increasingly important in the phase of increasing competition (Petts 1997551).A ccording to Higgins (19982), customers dont always know what they need or notwithstanding that there is a problem to be solved. Success awaits those companies that recognize the fact that, to be successful and satisfy customers, it is often necessary to lead customers into recognizing these needs (Higgins 19982-3). In the light of this, the aim of this paper is to examine how Philips lost its leadership position in the light of globalization and why the companys had difficulties in changing the strategy.1.1.2 The Rise of Philip as the Leading Consumers Electronics in the WorldPhilips is an electronic company that began in Holland specializing in the production of light bulbs. The company was founded by Gerard Philips and the father