Are Companies Aiming to be More Regional or More Global?

Abstract

In the context of globalization of the world economy, this paper is to evaluate the argument that international business has become more regional than global and to discuss some of the major implications for production strategies of companies. The authors point out that there are indications showing companies lean toward regionalization more than globalization. This observation should help newly developed companies to identify what trends of business structure matrix have been popular among well-established Fortune 500 corporations in the industry. Furthermore, by understanding that regionalization is more imperative than globalization, a new firm can plan its production and sales force in an appropriate direction.