When a company is expanding operations into a new country, it needs to carefully consider which strategies it should employ. One such approach is a regional strategy, which starts when the company gains a foothold in one country, and then it leverages its strengths across borders to expand into the region as a whole. But when is it appropriate to employ this strategy?
Toyah Miller, a University of Texas at Dallas associate professor of organizations, strategy and international management at the Naveen Jindal School of Management, spoke with Business News Daily to shed light on the regional approach and talk about the contexts in which it should be deployed and how it works.
Miller studied nearly 700 Japanese multinational companies and found that the pursuit of a regional strategy often depends on what she called “regional institutional complexity.”