Using examples taken from at least two emerging markets critically Essay

Using examples taken from at least two emerging markets critically analyse the view that the only successful entry strategy into emerging markets for European a - Essay Example local collaborators, the company can create good relationships with different organisations which are located in other parts of the world or even within the same geographic region. In the age of globalisation, a Company can have a head office in London while the production work is carried out in a factory near Beijing and the research and development of the product itself is conducted in Oslo. Companies have moved out of the nationalist image which was the mainstay of their identity of the past (Martin, 1999). Of course, it is still possible to say that BMW is a German company and Toyota is a Japanese company or GE is an American firm, but the nature of the multinational enterprise means that companies may be based in one country while the problems and issues they face could be of a global nature. To counter these problems, companies simply need to have relationships with local collaborators if they wish to enter emerging markets. These relationships will bring an easy understanding and efficient information transfer as well as create an open exchange for ideas between various cultures followed in other countries (Levy and Powell, 1998). Expansion itself is a useful pursuit for a company and there are several reasons why a company may wish to expand its business to global levels. However, the evidence provided in research materials as well as the practical examples of expanding companies show us that expansion without local collaboration might be a futile effort. To fully understand and critically appraise the question we must first understand why a policy of expansion is necessary and why collaborators are important for an expanding company. The first part of the question is rather easy to answer but the second part comes with two primary markets that are analysed for entry. The two markets selected for this are Hungary and China. These were selected because they both represent very different cases for analysis and are quite representative of the surrounding