L'influence des facteurs structurels sur le choix de mode de présence

Part 1 :

Theoretical part

Chapter I :

The internationalization of the companies

The great revolution of the last quarter century is that of universalization. The latter is a phenomenon with multiple dimensions in the middle which the multinationalisation of the companies is. The multinational corporations contribute already by their internal exchanges to the third international trade. Fusions and acquisitions, creations of companies abroad explode the level of the foreign direct investments.

Inevitably the multinational corporations are an essential element in the world trade.

For better including/understanding the phenomenon of the multinationalisation it is necessary to define it: its factors, its objectives and the consequences which result from this.

Section 1 :

Definition and factors of internationalization

1-definitions 

The definitions of the multinational corporations are many and nonconsensual. According to Andreff^1(*), the reasons of this diversity are mainly of two types : the origin of the definitions and the nature of the criteria selected. First of all the definitions emanate at the same time from leaders, international organizations and academics (economists, managers, lawyers). Then, they rest on various criteria such as the extent of the activity (size of the company), the existence of subsidiary companies abroad, the number of countries of establishment, the number of paid nationality other than that of the head office or the adopted organisational structure.

Vernon (1987)^2(*) defines a multinational as a company of big size having industrial subsidiary companies in at least six foreign countries. Later Caves (1982)^3(*) considers that the multinational is that which controls and manages a production abroad in at least two countries.

Hugonnier (1984-1997)^4(*) considers that a company becomes multinational as from the moment when it carries out direct investments abroad or engages in activities of direct co-operation abroad.

Michalet (1985) and Andreff (1996)^5(*) define the multinationals as being specific companies of which the organisational strategies and structures are conceived on a worldwide scale.

According to Desreumaux (1999)^6(*), the multinational corporation functions as a decentralized federation in which the operations abroad are managed like a largely independent business portfolio. Research on the strategies of internationalization generally related to multinational firms or big sizes. The place that SME occupy on the international scene remains still marginal if one compares their trade with those of the multinational firms, so much in volume than in value.

For the leader of SME, to cross the borders implies increased risks and investments. All SME inevitably do not may find it beneficial to internationalize themselves.

On the other hand, all the leaders of SME must plan a durable growth their businesses in a market which does not cease being internationalized^7(*).

2 them factors of internationalization

With an aim of widening their economic activities the companies seek first of all to extend their market beyond the national borders by export.

Vis-a-vis the obstacles (such as the protectionist policies) the firms, according to Mucchielli (1992)^8(*), judged more effective to conquer the foreign markets while settling on the spot. They thus invest abroad by creating new companies. These direct investments abroad can be also carried out by fusion or acquisition of already existing foreign companies.

The firms also delocalize themselves because the adaptation of the product to the specific request of the market will be easier for a subsidiary company than for the head office. The legal constraints (technical or medical standards), of the characteristics of the request related on the taste and the income could better be appreciated and satisfied by the subsidiary companies on the spot.

The delocalization of the Fifties to 65 which was based on a logic of market will leave room to a delocalization based on a logic of production and reduction of the wages. In front of the increase in the competition of years 65-75 the firms will seek to reduce their production cost^9(*).

Indeed, thanks to new technologies and progress of telecommunication the firms can make burst their production process while making carry out each elementary operation in the country where it is the least expensive. These spare parts will be then transferred in one or more points from assemblies often close to the place to marketing. This division of the productive processes at the same time makes it possible to reduce the production costs and to carry out tax avoidance. The firm profits from an access privileged to factors or raw materials at weak prices, in particular of the low wages of the labor of certain developing countries.

* ¹ Andreff W (1987)  : «  Multinationals  », Edition  : the discovery

* ² Vernon R. (1979)  : «  The product cycle hypothesis in A new international environment  », Oxford Bulletin off economics and statistics  41, pp255-267

* ³ Suckers R. (1982)  : «  Multinational Enterprise and economic analysis  » Cambridge university near.

* ⁴ Hugonnier B (1984)  : «  Direct investment, international co-operation and multinational corporations  » Economica

Hugonnier B (1997)  : «  Multinational corporations  », in Encyclopedia of management, under the direction of Y Simon and P Joffre, pp1115-1135

* ⁵ Michalet C. (1985)  : «  World capitalism  », 2nd Edition, PUF.

Andreff W. (1996)  : «  Total multinationals  », Edition the discovery

* ⁶ Desreumaux A (1999)  : «  Internationalization  », in Encyclopedia of management and management, under the direction of R Duff, pp522-524

* ⁷ David J P (2002)  : «  Internationalization of SME  : a grid of analysis  », the Expansion Review Management, June 2002, p82

* ⁸ Mucchielli J L (July 1992)  : «  Determinants of the delocalization and multinational firms  » Re-examined economic, flight 43, N° 4.

* ⁹ Lahimer NR (2003)  : Memory «  Determining factors of the delocalization  : Comparative study enters Asia and Africa  » Dauphine Paris University