Wednesday, October 16, 2019

Qualitative Data Analysis Essay Example | Topics and Well Written Essays - 2750 words

Qualitative Data Analysis - Essay Example The essay shows the importance of establishing linkages and the possible changes that occur in these linkages. The two cases of venture into Taiwan and Korea are different and show the significance of linkages and how firms establish linkages. In Taiwan the multinational company established a joint venture with a large local firm and the venture was less expensive and fast. In this case the form of linkage formed by the firm is through establishing china suppliers and also local suppliers of its goods. The purpose why MNE will create linkages with suppliers is because they will be in a position to communicate about the quality and prices that are desired in the market. Firms in most cases will opt to establish partners but if this fails they will tend to establish these linkages on their own. The advantage of forming linkages with suppliers is them being a source of information regarding the current trends in the market. Linkages will widen and also deepen over time when an MNE inves ts in a foreign country, linkages will widen as the firm expands in the host countries where it forms linkages with several suppliers. From this essay therefore it is clear that linkages developed by firms are beneficial to the MNE and therefore there is need for the MNE to understand the importance of developing linkages, they help firms to gain competitive advantage, however there is need to undertake more research on the forms and types of linkages formed by these firms and also regarding the disadvantages of forming these linkages.

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