Economic Themes (2009) 47 (4) 3, 49-64
Suzana Stefanović
Abstract: The process of democratization of developing countries, followed by the liberalization of trade, opening and integration of their economies into the global market economy, however, brought many problems. Namely, companies from these emerging markets have faced with the entrance of multinational companies (MNCs) from developed countries and enhance of competition at the home market, as well as at the global market. Facing these difficulties, and their own inefficiency in business activity, and also lack of strategic resources, many companies from developing countries lost market share and faced with crisis in business, which threaten their growth and even survival. However, some of them managed to restructure their business, and have exploited new opportunities from the global market. They have become world-class companies, so-called “emerging giants”, which competing successfully with global multinational rivals. Strategic options for these emerging giants in response to MNCs entry into their home market, as well as internationalization of their business activities at global market, are the themes of this paper.
Keywords: globalization of business; developing countries; emerging giants; strategies; market economy
STRATEGIC ALTERNATIVES OF EMERGING MARKETS’ COMPANIES IN THE CONDITION OF BUSINESS GLOBALIZATION
Suzana Stefanović
Abstract: The process of democratization of developing countries, followed by the liberalization of trade, opening and integration of their economies into the global market economy, however, brought many problems. Namely, companies from these emerging markets have faced with the entrance of multinational companies (MNCs) from developed countries and enhance of competition at the home market, as well as at the global market. Facing these difficulties, and their own inefficiency in business activity, and also lack of strategic resources, many companies from developing countries lost market share and faced with crisis in business, which threaten their growth and even survival. However, some of them managed to restructure their business, and have exploited new opportunities from the global market. They have become world-class companies, so-called “emerging giants”, which competing successfully with global multinational rivals. Strategic options for these emerging giants in response to MNCs entry into their home market, as well as internationalization of their business activities at global market, are the themes of this paper.
Keywords: globalization of business; developing countries; emerging giants; strategies; market economy
