Starbuck in Vietnam

I/ Executive summary: This report studies about Philips and Matsushita case in order to knowing their competing strategic and organizational choice. Then the processes of achieving transnational model of both companies are also learned. In the report, for comparing the two companies and learning about their strategies, the compare and contrast method through using evaluating table with number to imply the impact factors is being used. Besides, the identification and theories are based mostly on the “Transnational Management” book wrote by Bartlett, C. and Beamish, P.W. The first part will identify the motivations, means, and mentalities of Philips and Matsushita when expanding abroad. Afterward, the conflicting environment forces that both companies need to face are evaluated. Through these forces, the responding of Philips and Matsushita are also studied. In the next part, the strategic objectives and means of competitive advantage of both companies are examined, as well as innovation models and their challenges. Then, the various organizational models adopted by two companies and the way how they changed to transnational are defined. The final part will evaluate the successful of Philips and Matsushita in developing a transnational organization.

II/ Introduction: Philips (Netherlands) and Matsushita (Japan) have long histories, and during their growth they had follow many different stategy and adopted many organizational capabilities. Whereas Philip’s success was built on a worldwide portfolio, Matsushita focused on centralized and highly efficient operation. This report will studied from both companies histories about the competing strategic and organizational models in detail. Furthermore, the changing to transnational structure of Philips and Matsushita also researched in the last part of the report.

III/ Philips’s and Matsushita’s motivations, means, and mentalities: (500)
Expanding worldwide not only gives the