Research a major multinational firm MNE of your choice Inclu

Research a major multinational firm (MNE) of your choice. Include in your research the characteristics the major industry/s) it competes in as well as the MNE\'s global rivals. Avoid selecting a multinational conglomerate to avoid an unnecessarily complex analysis. Answer the following questions: 1. Which of the four multinational strategies is the MNE pursuing? 2. What organizational structure has it developed? 3. Considering the three legs of the strategy tripod, evaluate the \"strategic fit\" and alignment of the MNE\'s strategy-structure multinational approach? 4. Does this approach offer any innovation or learning advantages over the approaches of the MNEs top rivals? Suggested Resources: MNE 2012 Annual Report and media releases

Solution

HTC Corporation is a multinational firm based in Taiwan. The corporation was established in the year 1997 where it started as an original equipment manufacturer and design manufacturer, designing and manufacturing devices such as mobile phones and tablets (Yoffie, D., & Kim, R. (2009). For the past years, the company has been in operation; it is driven by their innovative idea which has enabled it to create a competitive advantage over other electronics companies.

The main business rivals for HTC Corporation are Samsung Corporation which manufactures and markets different varieties of electronics like Smartphones, Televisions, Laptops and Tablets; Apple Company specializes on iPhones and Tecno Company. These companies have offered a stiff competition hence the need to have a stable organization structure as well as good marketing strategies to enhance competitive edge.

Which of the four multinational strategies is the MNE pursuing?

HTC company to develop a competitive advantage, it pursues competitive pricing multinational marketing strategy. Under this strategy, the company prices its products differently by the level of demand in the markets. In some markets where demand is high, they price their goods higher as compared to the other markets with lesser demand. The higher prices cover, the lower prices hence creating a competitive advantage over their bitter rivals.

What organizational structure has it developed?

The company has a unique organizational structure known as matrix structure. Under this structure, the corporation employees are grouped as per functions and products producing, and they are grouped as a team which helps to maximize individual strength and make up for their weaknesses.

Considering the three legs of the strategy tripod, evaluate the “strategic fit” and alignment of the MNE’s strategy-structure multinational approach?

Both the structure and the strategy used by the corporation fits well because the structure contributes to identifying the strengths and weaknesses of its employees and through this improving where necessary so as to come up with the best out of the employees. Their strategy for marketing helps the Company to sell its products under different prices since selling at the same prices will limit the company gaining more in the demanding markets and this strategy contributes to creating a competitive edge over its competitors.

Does this approach offer any innovation or learning advantages over the approaches of the MNEs top rivals?

This approach offers the generations of new ideas in the organization since the employees are grouped and they learn from one another as well as freely sharing ideas. Through these thoughts, they come up with solutions to counter the problems they see facing the organization. When an organization is innovative and its able to solve the current problems facing the organization, they it will have a competitive edge over its competitors as it is in the case of HTC Corporation