• Demonstrate knowledge of the evolution of global strategic management as a practice area and a field of study.
• Demonstrate understanding of how best to deal with the multiple level (country, industry, firm, interfirm, and individual) challenges of global strategic management.
• Demonstrate knowledge of the role played by strategy in global competition and to be able to devise appropriate strategies for particular situations.
• Demonstrate the ability to reflect on the processes and effectiveness of the group work undertaken during the course.
• Demonstrate the ability to reflect on your own existing skill set for global strategic management and what you can you do to improve it further.

Welcome to the course “Global Strategic Management” that forms a core part of the CEMS Program. The aim of the course is to help you improve in your ability to be an effective global manager, especially in the area of strategy. To achieve this aim, we will use a variety of learning tools, supported by relevant academic thinking where needed.

Because of the complex nature of the subject studied, the emphasis of this course is not on developing and applying simple recipes. Furthermore, we will strongly emphasize your ability to tackle real-life problems, and do so partly in a group setting. Thus there are three key interrelated goals in this course and this is reflected in the specific learning objectives:

1. Obtaining a Global Strategic Management Mindset. To be successful as a global strategic manager, you must be able to think, act, and manage in ways that extend beyond a single country approach. This requires an open, (self-) critical, and adaptive approach, which should allow you to operate effectively in a multitude of contexts.

2. Acquiring Global Strategic Management Knowledge. To be successful as a global strategic manager, you must have an understanding of the drivers of global strategies, how these strategies affect a variety of outcomes, and through what strategy processes they come about. This requires an ability to know both what the most appropriate solution is theoretically and how practical factors affect that solution.

3.  Applying Global Strategic Management Skills. To be successful as a global strategic manager, you must have a variety of personal skills, including the ability to turn knowledge into concrete action, the ability to work in teams to solve complex problems, and the ability to critically reflect on your own abilities and shortcomings

This course builds upon foundational knowledge of (non-global) strategic management, which you are expected to have acquired previously and focuses on strategic management in a global context. In other words, the object of our interest is how firms formulate and implement strategies when they are operating across national borders or are planning to do so.

Within this context, the course aims to provide you with a) an improved ability to analyze global strategies b), an improved ability to formulate global strategies, and c) an improved ability to execute global strategies. Our focus throughout the course is very much driven by real-life practical problems faced by large and sometimes smaller multinational firms across a wide range of industries and countries.

Below you will find further detail on (1) the course description, (2) the learning objectives, (3) the classes and group work, (4) the examination, and (5) the course sessions and readings. As in real-life settings, we assume you have come to this course ready to work in teams and willing to participate in class discussions. Furthermore we strongly expect you to engage in a learning process and to be able to articulate that learning.

The course essentially takes an evolutionary perspective, tracking how global strategic management in practice has changed over time up to where it is today and will go tomorrow. Such an approach is useful because it allows us to understand more basic settings prior to considering how global strategic management is becoming ever more complex. This complexity takes multiple forms, for instance in terms of types of decision-making, geographic spread, organizational models, the involvement of partners, and multiple and more diffuse performance objectives. 

The focus in this course is on practically relevant issues, and to some extent directly on the role you as an individual will have in tackling such issues. This practical perspective is shadowed by relevant literature and conceptual debates where needed, i.e. the focus is not on the literature as such. However, through additional background readings you can dig into the literature and these conceptual debates as much as you need and want to

Sessions

1. Introduction to global strategic management (MM)
   1. Introduction to the course
   2. Recapturing strategic management
   3. What is global strategic management
   4. Multinational corporations
2. Structures and processes in global strategic management (MM)
   1. Organizational structures
   2. Headquarters –subsidiary relations
   3. Organising for effectiveness
   4. Formal and informal institutions
3. Entry decisions and strategic market assessment (FDL)
   1. Competitive advantage for international business
   2. Learning vs. attractiveness in market choice
   3. Entry modes
4. International corporate growth (FDL)
   1. Alliances vs. acquisitions
   2. International perspective on partnerships
   3. International perspective on acquisitions
   4. How to measure performance?
5. Country analysis and environment (FDL)
   1. The competitiveness of regions
   2. Does distance matter?
   3. Strategic tripod
6. Knowledge flows in multinational corporations (FDL)
   1. HQ, subsidiary and location in knowledge production
   2. Knowledge transfer and HQ-subsidiary power relationships
   3. The role of corporate venture capital in international knowledge sourcing
7. Taking global strategic management apart (MM)
   1. Outsourcing
   2. Offshoring
   3. Global strategic management as modularisation
8. Wicked problems: Maintaining legitimacy in global strategic management (MM)
   1. CSR in global strategic management
   2. Managing across multiple levels
9. The last frontier: Global strategic  management in Africa (MM)
   1. Why?
   2. How?
10. Creating global strategic management for tomorrow (MM)
    1. The individual in global strategy
    2. You as an innovator
    3. Course recap

We strongly encourage presence in the classroom and participation in both classroom discussion and group work. Such participation should facilitate the writing of your learning diary, which is an integral part of the individual assignment you must pass in order to pass the course. Ample room will be provided for you to participate in classroom discussion, regardless of whether you prefer to tackle issue from a more practical or more conceptual angle. We use multiple learning tools in this class, including case studies, lectures, group presentations, role play, and practitioner contributions. Each of these tools provides different benefits.
Case studies will be used to discuss specific topics in more depth, allowing us to study a specific issue in a practical context. The aim of these case studies is to put you in the position of a global strategic manager. Lectures will take a specific practical question as a point of departure and apply relevant academic thinking to that question. The focus of this course is in many ways quite practical, but there will be room to deepen your theoretical knowledge, as well as to apply it in the individual assignment.
The group presentations form a central part of the class and are mandatory (you must work on and attend your group’s presentations). Groups will have some minimum level of school and gender diversity and each group will tackle a different real-life problem faced by a company in the role of consultants. Groups will make two presentations, a 5 minute presentation during the second or third week of the course where the problem is analyzed, followed by a 20 minute presentation during a later week where a strategy to tackle the problem is formulated and an initial implementation approach is proposed. The presentations will receive feedback from fellow students, who act as the board of the company, and from the lecturers.
Role plays will be used for you to practise specific dilemmas you will encounter as a global strategic manager. During these role plays you will take on a specific role. Finally, a few practitioners will come to class to share their experience and knowledge of global strategic management, again focusing on specific issues their respective companies are dealing with (rather than a broad take on what global strategic management may or may not be).

1. Introduction to global strategic management
   1. Recapturing strategic management
   2. What is global strategic management
   3. Expectations for the course

In this session we will first introduce the course, including the group work and assignment. Then we briefly revisit our understanding of strategic management (without the global) and set out the stall for global strategic management: What is it (not), why do we need it and how do we go about it? We then discuss multinational corporations, which are the vehicle for global strategic management and briefly look at formal and informal institutions. We will dig into some shorter examples throughout this session. There are no group presentations

Core readings and materials:

• Mintzberg, H. & Lampel, J. (1999) Reflecting on the strategy process. MIT Sloan Management Review40(3), 21-30.
• Buckley, P.J., & Casson, M.C. (2009) The internalisation theory of the multinational enterprise: A review of the progress of a research agenda after 30 years. Journal of International Business Studies, 40, 1563–1580.

Further readings:

• Berry, H., Guillen, M. & Zhou, N. (2010) An institutional approach to cross-national distance. Journal of International Business Studies, 41, 1460-1480.
• Dunning, J.H. (2001) The eclectic (OLI) paradigm of international production: Past, present and future. International Journal of the Economics of Business, 8, 173–190.
• Frynas, J.G., & Mellahi, K. (2015) Global Strategic Management. Oxford: Oxford University Press.
• Ghemawat, P. (2013) Redefining Global Strategy: Crossing Borders in a World where Differences still Matter. Boston: Harvard Business Press.

• Hennart, J.F. (2012) Emerging market multinationals and the theory of the multinational enterprise. Global Strategy Journal, 2, 168–187.

• Peng, M.W., Wang, D.Y.L., & Jiang, Y. (2008) An institution-based view of international business strategy: a focus on emerging economies. Journal of International Business Studies, 39, 920–936.

  2. Structures and processes in global strategic management (MM)

1.  Organizational structures
2. Headquarters –subsidiary relations
3. Organising for effectiveness

One aspect of session is the idea that organizational structures and strategies are intertwined and that a choice of structure therefore enables / constrains strategic choices that organizations make. We then zoom in on a key aspect of organizational structure in global strategic management, the headquarter-subsidiary relationship. Next we look at global strategic management through a process angle, i.e. how does global strategic management get done? The session includes a simulation exercise. Groups 1 to 6 will provide a short initial presentation during this session.

Core readings and materials:

• Bartlett, C. & Ghoshal, S. (1993) Beyond the M form: Towards the managerial theory of the firm. Strategic Management Journal, 14, 23–46.
• Bouquet, C., Birkinshaw, J., Barsoux, J. (2016) Fighting the ‘headquarters knows best’ syndrome. MIT Sloan Management Review, 57(2), 59-66.
• Schaan, J., & Chandrasekhar, R. (2013) Arla Foods – Matching structure with strategy. CaseCentre reference 9B13M112. Must read before coming to class.

Further readings:

• Berry, H., Guillen, M. & Zhou, N. (2010) An institutional approach to cross-national distance. Journal of International Business Studies, 41, 1460-1480.
• Birkinshaw, J., Bouquet, C., & Ambos, T.C. (2007) Managing executive attention in the global company. MIT Sloan Management Review, 48(4), 39-45.
• Birkinshaw, J. & Hood, N. (1998) Multinational subsidiary evolution: capability and charter change in foreign-owned subsidiary companies. Academy of Management Review, 23, 773-795.
• Burgelman, Robert A. & Grove, A. (2007) Let chaos reign, then rein in chaos—repeatedly: managing strategic dynamics for corporate longevity. Strategic Management Journal, 28, 965-979.
• Ghoshal, S. & Bartlett, C.A. (1990) The Multinational corporation as an interorganizational network. Academy of Management Review, 15, 603-626.

 3. Entry decisions and strategic market assessment

1. Competitive advantage for international business
2. Learning vs. attractiveness in market choice
3. Entry modes

This session starts looking at how to assess competitive advantage for subsidiaries. Based on the competitiveness assessment, the session explores: i) the dimensions to assess the choice of a new international market to enter into, ii) how to assess how strategic is that potential market, and iii) the choice of the entry mode appropriate to the market and firm characteristics. Groups 7 to 12 will provide a short initial presentation during this session.

Core readings and materials:

• Gupta, A.K. and Govindarajan, V. (2000). Managing global Expansion. A conceptual framework, Business Horizons, 43(2), pp. 45-54.
• Perepu, I.; Purkayastha, D.; Maseeha, S. (2008). Entry and expansion strategy: TESCO in Japan, IBS Center for Management Research. Must read before coming to class.

Further readings:

• Black, S.; Foeste, A. (2009). WAL-MART in China 2007: future prospects, INSEAD, 17 (1)

 4. International corporate growth (FDL)

1. Alliances vs. acquisitions
2. International perspective on partnerships
3. International perspective on acquisitions
4. How to measure performance?

This session introduces external growth strategies with focus on alliances and acquisitions. After the introduction of what these growth strategies are, the session explores: i) how (market conditions and firm characteristics) to decide between these two strategic options, ii) international dimensions of alliances and acquisitions, and iii) how to assess the performance of these operations, also from an international perspective. Groups 1 and 2 will present. Groups 7 and 8 will act as clients for these presentations.

Core readings and materials:

• Dyer, Kale and Singh (2004). When to ally and when to acquire, Harvard Business Review.
• Vasudha, M. (2008). Starbucks – TATA Alliance: brewing a fresh strategy for India, Amity Research CentreMust read before coming to class

Further readings:

• Löffler et al. (2004). Bayer and Millennium Pharmaceuticals: success based on perfect interaction.
• Alcacer, J.; Collis, D.; Furey, M. (2009). The Walt Disney Company and Pixar, Inc: to acquire or not to acquire?
• Zollo and Meier (2008). What is an M&A performance? The Academy of Management Perspectives

​ 5. Country analysis and environment

1. The competitiveness of regions
2. Does distance matter?
3. Strategic tripod

The session looks at how regions are heterogeneous in providing challenges and opportunities to multinational corporations. More precisely, the session will reflect on the assessment of the competitiveness of specific geographies. The concept of distance among regions is discussed to understand how it affects international business opportunities. Groups 3 and 4 will present. Groups 9 and 10 will act as clients for these presentations.

Core readings and materials:

• Porter, M. (1990). The competitive advantage of nations. Harvard Business Review. March-April

Further readings:

• Ghemawat, P. (2001). Distance still matters. Harvard Business Review (mandatory)

 6.Knowledge flows in multinational corporations

1. HQ, subsidiary and location in knowledge production
2. Knowledge transfer and HQ-subsidiary power relationships
3. The role of corporate venture capital in international knowledge sourcing

The session looks at the role of knowledge in multinational corporation. In particular, the session discusses: i) knowledge as form of power in the HQ-subsidiary relationship, ii) knowledge production in subsidiary and transfers within multinational corporation, and iii) the role of corporate venture capital as knowledge sourcing strategy in multinational corporation. Groups 5 and 6 will present. Groups 11 and 12 will act as clients for these presentations.

Core readings and materials:

• Rajagopalan, S. (2011). Google Ventures: disrupting corporate venture capital? Must read before coming to class.

Further readings:

• Chesbrough, H. (2002). Making Sense of Corporate Venture Capital
• Wolcott, R.; Bauke, B.; Baierl, R. (2015). Corporate Venture Capital

7.Taking global strategic management apart

1. Outsourcing
2. Offshoring
3. Global strategic management as modularisation

The aim of this session is to understand how global strategic management can be viewed as a collection of modules sourced from within or outside an organisation, and within or outside a country. Groups 7 and 8 will present. Groups 1 and 2 will act as clients for these presentations.

Core readings and materials:

• Larsen, M., Pedersen, T., & Slepniov, D. (2010) Lego group: an outsourcing journey. CaseCentre Reference no. 9B10M094. Must read before coming to class.
• Lewin, A.Y., Massini, S., & Peeters, C. (2009) Why are companies offshoring innovation: The emerging global race for talent. Journal International of Business Studies, 40, 901–925.
• Mol, M.J. (2007) Outsourcing: Design, Process, and Performance. Chapters 1-3. Cambridge: Cambridge University Press.  Provided on CBS Learn.

Further readings:

• Kotabe, M., Mol, M.J. & Ketkar, S. (2008) An evolutionary stage theory of outsourcing and competence destruction: A triad comparison of the consumer electronics industry. Management International Review, 48, 65-93.
• Leiblein, M. J. (2003). The choice of organizational governance form and performance: Predictions from transaction cost, resource-based, and real options theories. Journal of Management, 29, 937-961.
• Linder, J. C. (2004). Transformational outsourcing. MIT Sloan Management Review, 45(2), 52-58.
• Mudambi R. (2007) Offshoring: Economic geography and the multinational firm. Journal of International Business Studies, 38, 206.

8. Wicked problems: Maintaining legitimacy in global strategic management

1. CSR in global strategic management
2. Managing across multiple levels

This session investigates the ‘dark’ side of multinational corporations, especially their struggle in maintaining corporate social responsibility across the many domains they operate in. Groups 9 and 10 will present. Groups 3 and 4 will act as clients for these presentations.

Core readings and materials:

• Lee, S.H., Mol, M.J., & Mellahi, K. (2015) The close to $1 Trillion company that seemingly cannot get basic working conditions right: Apple’s continuing struggles with corporate social responsibility in its supply chain. London (Ontario): Ivey Publishing. Provided on CBS Learn. Must read before coming to class.
• Kostova, T. & Zaheer, S. (1999) Organizational legitimacy under conditions of complexity: The case of the multinational enterprise. Academy of Management Review, 24, 64-81.

Further readings:

• Aguilera, R.V., Rupp, D.E., Williams, C.A., & Ganapathi, J. (2007) Putting the S back in corporate social responsibility: A multilevel theory of social change in organizations. Academy of Management Review, 32, 836-863.
• Mol, M.J., Mellahi, K., Lee S.H. (2016) That is just not acceptable: A multilevel theory of corporate social responsibility failure under different governance modes. Frederiksberg: Copenhagen Business School working paper. Provided on CBS Learn.

9. The last frontier: Global strategic  management in Africa

1. Why?
2. How?

During this session we look at what can arguably be seen as the one remaining unexplored continent in global strategic management, Africa. We try to understand Africa from an opportunities perspective, while not ignoring its challenges. Groups 11 and 12 will present. Groups 5 and 6 will act as clients for these presentations.

Core readings and materials:

• George, G., Kotha, R., Parikh, P., Alnuaimi, T., & Bahaj, A. (2016) Social structure, reasonable gain, and entrepreneurship in Africa. Strategic Management Journal, 37, 1118-1131.
• Mellahi, K., & Mol, M.J. (2015) Africa is just like every other place, in that it is unlike any other place. Africa Journal of Management, 1, 201-209. Provided on CBS Learn.

Further readings:

• Klingebiel, R. & Stadler, C. (2015) Opportunities and challenges for empirical strategy research in Africa. Africa Journal of Management, 1, 194-200.
• Stadler, C. (2015) Talk given at Royal Geographical society: http://www.iea.org.uk/multimedia/video/think-dr-stadler-on-helping-the-poor
• Uchenna, U., & Mair, J. (2014) Source and patterns of organizational defiance of formal institutions: Insights from Nollywood, the Nigerian movie industry. Strategic Entrepreneurship Journal, 8, 56–74.
• Mitchell, W. (2015). Fan Milk in West Africa, 1950s to 2014. Toronto: University of Toronto case study. See http://www-2.rotman.utoronto.ca/william.mitchell/Bio/TeachingMaterials/0Cases/FanMilk/FanMilk-WestAfrica-2014-09c.pdf

10. Creating global strategic management for tomorrow

1. The individual in global strategy
2. You as an innovator
3. Course recap

In the final session we specifically look at what individuals, you yourself included, do in global strategy, especially how they innovate in management practices. This involves some in-class group work. We then recapture the course. There are no group presentations.

Core readings and materials:

• Birkinshaw, J., & Mol, M.J. (2006) How management innovation happens. Sloan Management Review, 47(4), 81-88. Provided on CBS Learn.

Further readings:

• Birkinshaw, J., Hamel, G., & Mol, M.J. (2008) Management innovation. Academy of Management Review, 33(4), 825-845. Provided on CBS Learn.
• Felin, T, Foss, N.J., & Ployhart, R.E. (2015) The Microfoundations Movement in Strategy and Organization Theory. The Academy of Management Annals, 9:1, 575-632.