Accelerated internationalization by emerging markets’ multinationals: The case of the white goods sector

• Published in: Journal of world business : JWB Vol. 42; no. 4; pp. 369 - 383
• Main Authors: Bonaglia, Federico, Goldstein, Andrea, Mathews, John A.
• Format: Journal Article
• Language: English
• Published: Greenwich Elsevier Inc 01.12.2007; Elsevier; Elsevier Science Ltd
• Series: Journal of World Business
• Subjects: Appliance industry; Business studies; Competitive advantage; Competitiveness; Developing countries; Emerging markets; Globalization; International market; LDCs; Multinational corporations; Multinational enterprises; Studies; Mexico; China; Turkey
• ISSN: 1090-9516; 1878-5573
• DOI: 10.1016/j.jwb.2007.06.001

The emergence of a “second wave” of developing country multinational enterprises (MNEs) in a variety of industries is one of the characterizing features of globalization. This paper documents how emerging markets’ MNEs (EM-MNEs) may follow quite different patterns to reach, or at least approach, global competitiveness. In particular, it investigates how three EM-MNEs pursued global growth through accelerated internationalization combined with strategic and organizational innovation. Haier (China), Mabe (Mexico) and Arçelik (Turkey) emerged as multinationals in the large home appliances (so-called “white goods”) industry. The recipe for the success of these firms seems to lie in their ability to treat global competition as an opportunity to build capabilities, move into more profitable industry segments, and adopt strategies that turn latecomer status into a source of competitive advantage. At the same time, their experiences show that there are many strategies and trajectories for going global, consistent with a pluralistic conceptualization of globalization.