A number of small businesses are affected, often in dramatic ways-by the increasing presence of multinationals in their home markets. Small businesses often find themselves facing a very difficult set of options as to consider whether and how they engage with the MNCs. This article critically evaluates the strategies of small businesses in a globalized world are adopting. The most effective strategy for globalization is through partnerships with local MNC subsidiaries in their own backyard-the … Read more »

A number of small businesses are affected, often in dramatic ways-by the increasing presence of multinationals in their home markets. Small businesses often find themselves facing a very difficult set of options as to consider whether and how they engage with the MNCs. This article critically evaluates the strategies of small businesses in a globalized world are adopting. The most effective strategy for globalization is through partnerships with local MNC subsidiaries in their own backyard-which can then be used to create opportunities on a global scale. This analysis highlights the need for small businesses to their advantage the points difference (ie, asymmetry) between them and the multinational companies with which they partner.
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from
Shameen Prashantham,
Julian Birkinshaw
Source: California Management Review
20 pages.
Release Date: 1 November 2008. Prod #: CMR408-PDF-ENG
Dancing with gorillas: How small businesses can partner effectively with MNCs HBR case solution

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