Adaptation, Aggregation and Arbitrage Strategies
Introduction
In the wake of the current competitive market and increased globalization, companies in different industries have been forced to establish appropriate policies to achieve a competitive position among other desired objectives. However, organizations are expected to be cognizant of the significant challenges primarily in emerging markets which creates the need to ensure the business operations are embedded in local markets to ensure they relate well to the markets. Companies from industries such as car industry and Airline industry have adopted theories associated with adaptation, aggregation, and arbitrage in the pursuit of their business and enhancing their performance. In the car industry, the companies selected includes Toyota and Daimler AG with brands such as Mercedes-Benz while in the airline industry the companies selected includes Emirates airlines and Virgin Atlantic airlines. The two industry have been significantly affected by globalization and changes in technology creating the need for the industry players to establish strategies that promotes their competitive position while addressing the market needs. One of the key theories that have been widely used within the two industries includes Ghemawat’s “AAA” model which also provides the basis for this report by defining the adaptation of the companies selected to global value creation.
Industry-Level Analysis
Car Industry
The car industry is one of the most competitive due to increased demand and the presence of new entrants creating the need for the existing players to establish appropriate policies to promote their global value while enhancing the chances of achieving their objectives. Some of
(I.C. RDS 3226)