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    The End of Corporate Imperialism
    The End of Corporate Imperialism
    The End of Corporate Imperialism
    Ebook39 pages36 minutes

    The End of Corporate Imperialism

    By C. K. Prahalad and Kenneth Lieberthal

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    About this ebook

    Hundreds of millions of people in China, India, Indonesia, and Brazil are eager to enter the marketplace. Yet multinational companies typically pitch their products to emerging markets' tiny segment of affluent buyers, and thus miss out on much larger markets further down the socioeconomic pyramid—which local rivals snap up. By applying the authors' recommendations, you can position yourself to compete innovatively in developing countries—and to unlock major new sources of revenue for your business. Since 1922, Harvard Business Review has been a leading source of breakthrough ideas in management practice. The Harvard Business Review Classics series now offers you the opportunity to make these seminal pieces a part of your permanent management library. Each highly readable volume contains a groundbreaking idea that continues to shape best practices and inspire countless managers around the world.

    LanguageEnglish
    PublisherHarvard Business Review Press
    Release dateNov 10, 2008
    ISBN9781633691414
    The End of Corporate Imperialism

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      Book preview

      The End of Corporate Imperialism - C. K. Prahalad

      IMPERIALISM

      As they search for growth, multinational corporations will have to compete in the big emerging markets of China, India, Indonesia, and Brazil. The operative word is emerging. A vast consumer base of hundreds of millions of people is developing rapidly. Despite the uncertainty and the difficulty of doing business in markets that remain opaque to outsiders, Western MNCs will have no choice but to enter them. (See the table Market Size: Emerging Markets Versus the United States.)

      During the first wave of market entry in the 1980s, MNCs operated with what might be termed an imperialist mind-set. They assumed that the big emerging markets were new markets for their old products. They foresaw a bonanza in incremental sales for their existing products or the chance to squeeze profits out of their sunset technologies. Further, the corporate center was seen as the sole locus of product and process innovation. Many multinationals did not consciously look at emerging markets as sources of technical and managerial talent for their global operations. As a result of this imperialist mind-set, multinationals have achieved only limited success in those

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