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자료유형
학술저널
저자정보
저널정보
한국무역연구원 무역연구 무역연구 제10권 제4호
발행연도
2014.1
수록면
897 - 913 (17page)

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This study explores on the MNE’s localization between advanced economy and emergingmarket. Moreover, it tries to compare resource and strategy of localization in accordancewith product market heterogeneity. There has been little research on the topic in whichlocalization is to be explored in terms of industry globalization potential, product market, andsubsidiary, hitherto. In other words, integrative approach is necessary to shed light on thelocalization issues in international business. That is, micro institution perspective is shown toelicit the relationship between product market characteristics and subsidiary’s localization. Inreality, micro institutions seem to be infrastructure of product market as informal institutionlike consumption, consumer needs, strategic importance, competitive forces, and dominantlocal player. Under those circumstances, analyzed the internationalization case of LGElectronics, made inroad into the U.S. and Indian market. According to the case analysis, theresearch showed that strategy, competence and level of localization can be dependent on thesituation in local product market. It also implied that more locally responsive strategies arerequired to be suitable to emerging market. In conclusion, localization mechanism is indispensable to understand the nature of product market characteristics in emerging market,furthermore to tailor to the market in the early stage of entry.

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