+44-7897-074717Short Communication - Journal of Research in International Business and Management ( 2025) Volume 12, Issue 3
Published: 29-Jun-2025
Global competitive strategy refers to the strategic approaches firms adopt to compete effectively across international markets. This study examines how organizations develop and implement global competitive strategies to achieve sustainable advantage in diverse and dynamic environments. It explores key strategic options such as cost leadership, differentiation, and focus strategies at the global level. The paper highlights the role of resource capabilities, market positioning, and strategic coordination in shaping competitive outcomes. It also discusses challenges related to balancing global integration and local responsiveness. By integrating strategic management theory with international business perspectives, this study emphasizes that effective global competitive strategy enhances firm performance, adaptability, and long-term success in international markets.
Global Competitive Strategy, Competitive Advantage, Global Strategy, Cost Leadership, Differentiation Strategy, Strategic Positioning, Multinational Enterprises, International Business
Global competitive strategy involves the formulation and execution of strategies that enable firms to compete successfully across multiple international markets. As globalization intensifies competition, organizations must develop strategies that leverage global scale while responding to local market conditions. Global competitive strategy supports long-term growth and sustainability in international business environments (Spulber, 2007). The pursuit of competitive advantage in global markets requires firms to understand industry dynamics and competitive forces across countries. Differences in consumer preferences, cost structures, and regulatory environments influence strategic choices. Global competitive strategy enables firms to align resources with international opportunities. Cost leadership is a common global competitive strategy. Firms achieve cost advantage through economies of scale, efficient global supply chains, and standardized processes. Cost leadership supports competitive pricing and market penetration. However, maintaining cost advantage requires continuous efficiency improvement (Mehra & Agrawal, 2003).
Differentiation strategies focus on offering unique products or services that meet diverse customer needs. Global differentiation may involve innovation, branding, and quality enhancement. Differentiated offerings enhance customer loyalty and reduce price competition. Global competitive strategy balances differentiation and cost considerations. Strategic coordination across international units is essential for effective global competitive strategy. Firms must align activities, knowledge, and resources across borders (Porter, 2023). Coordination enhances consistency and efficiency in global operations. Balancing global integration and local responsiveness is a key challenge in global competitive strategy. Firms must standardize operations to achieve efficiency while adapting to local market conditions. Strategic flexibility supports this balance (Wahyudin & Hidayat, 2023).
Resource-based perspectives emphasize the importance of unique capabilities in achieving global competitive advantage. Firms leverage technological expertise, brand equity, and organizational knowledge to compete internationally. Strong capabilities support strategic differentiation. Competitive dynamics in global markets are influenced by technological change and innovation. Firms must continuously adapt strategies to remain competitive. Innovation-driven strategies enhance responsiveness and growth. Strategic alliances and partnerships support global competitive strategy by providing access to complementary resources. Collaborative strategies enhance market reach and innovation capability (Sudirjo, 2023).
Digital transformation increasingly influences global competitive strategy. Digital tools enable data-driven decision-making and global coordination. Digital strategies enhance competitiveness in international markets. Overall, global competitive strategy is essential for navigating complexity and achieving sustainable advantage in international business. Firms that develop robust global strategies enhance resilience and long-term success.
Global competitive strategy plays a critical role in achieving sustainable international advantage. This study highlights that strategic alignment, coordination, and capability development enhance competitiveness. Organizations that adopt effective global competitive strategies are better positioned to succeed in dynamic international markets.
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