The large corporate accounts comprise two-thirds of Dell's current sales. Physicals assets are easily replicated and possessed by other competing companies. Consequently, while it may be true that multinational companies can invest in China more easily than they can in India, managers in India are more inclined to be market oriented and globally aware than managers are in China.
How to Map Institutional Contexts As we helped companies think through their globalization strategies, we came up with a simple conceptual device—the five contexts framework—that lets executives map the institutional contexts of any country.
Unlike China, India is wary of foreign investment, even by members of the Indian diaspora. How difficult is it to get work permits for managers and engineers?CEOs and top management teams of large corporations, particularly in North America, Europe, and Japan, acknowledge that globalization is the most critical challenge they face today. The intangible assets of Dell prove to be the source of competitive advantage for Dell. The five contexts framework places a superstructure of key markets on a base of sociopolitical choices. So, with help from its joint venture partner, it identified farmers it could work with and advanced them money so they could invest in seeds and equipment. AAPL by a significant margin in both product categories. Not surprisingly, many CEOs are wary of emerging markets and prefer to invest in developed nations instead. This is significant growth and penetration within a very short time frame. Do the laws allow a firm to transfer locally hired people to another country? In practice, however, this is far easier said than done.
Are newspapers and magazines neutral, or do they represent sectar-ian interests? Do they reach all consumers or only wealthy ones? This has been the case in China, where providers have taken hold more quickly than they have in India, which has only recently allowed multinationals to invest in retailing.
The 20 years of experience also proves Dell's stability.
This operating system is cheaper and allows Dell to not only appease the government but also to recognize higher profits.