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Glocalization strategy in a Japanese multinational corporation : a case study

English Abstract

Globalization has become a prevalent phenomenon over the past few decades and it provides both opportunities and challenges to the multinational corporations (MNCs). While implementing their business strategies, MNCs need to be concerned with the issues of global integration (GI) and local adaptation (LA) in various foreign markets. At the same time, with the booming of China’s economy, more and more multinational firms have established their production base in China in order to compete for the Chinese market shares directly. How to develop the competitive advantages and establish an effective supply chain would be the key to success. It is agreed that purchasing strategy is at the heart of any supply chain and its function is gradually taking a crucial role in the MNC’s global corporate strategy. Thus, the purchasing strategy must not be independent of the MNCs’ overall business strategy and the performance and outcome of procurement can enhance the overall productivity of the manufacturing companies. This paper adopted a single case study approach by studying the subsidiary of a Japanese manufacturing MNC in Macau. The objective was to explore how it could balance the driving forces of the globalization and localization in its purchasing domain and attempt to exploit the process and dynamics for developing a “glocalized” 2 purchasing strategy that is globally integrated and locally responsive at the same time. The findings indicated that the two dimensions could be coordinated effectively to implement an optimized and glocalized purchasing strategy with both of benefits that could enhance the overall competitiveness of the MNC subsidiary.

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Wu, Guo Zhen


Faculty of Business Administration


Department of Management and Marketing




Corporations -- Japan

Industrial management -- Japan

Business enterprises -- Japan


Hong, Jacky

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