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STRUCTURE OF THE TEXT

7 December, 2015 - 12:44

The book is organized into three parts.

Part 1, The Subject, explores the field of international business (Chapter 1) and its main actors, the MNC (THE MULTINATIONAL CORPORATION) and the nation-state (THE ENVIRONMENT).

THE THEORETICAL BASE: THE FUNDAMENTALS, presents in compact form all the background knowledge that students need to refresh their memories.

THE MANAGEMENT OF GLOBAL OPERATIONS, is the main focus of the book. The material in this part describes the phases in the process of internationalization. Generally, a firm goes global by following a process of "creeping incrementalism." The first step in this process is to adopt the strategy involving the least commitment-exporting. Subsequently a firm moves into contractual arrangements such as licensing, franchising, or management contracts. If the firm's efforts prove successful, management commits more resources to the more risky entry mode of investment. THE MANAGEMENT OF GLOBAL OPERATIONS of the book contains seven chapters that correspond to the main tasks of management. The decision to participate, or enter the global market, is the subject of PARTICIPATION STRATEGY. ORGANIZATION STRATEGY describes how the organization structure of an MNC is built. The next five chapters deal with the main functions of management. Financial management strategy is the subject of FINANCIAL MANAGEMENT STRATEGY, production/sourcing strategy is dealt with in PRODUCTION / SOURCING STRATEGY, and marketing strategy is explained in ORGANIZATION STRATEGY. FINANCIAL MANAGEMENT STRATEGY, Human Resource Development, tackles the difficult subject of attracting, developing, and retaining good managerial personnel. PRODUCTION / SOURCING STRATEGY, Communication and Control, explores the design of appropriate systems for monitoring and controlling global operations. Finally, MARKETING STRATEGY, Consortia and Strategic Alliances, reviews the latest trends in the interplay between MNCs and between MNCs and nation-states, and speculates on some of the most likely developments in the global race.