Definition
Corporate strategy to operate across borders via exporting, licensing, franchising, greenfield, brownfield, acquisitions, or subsidiaries.

Introduction
Global plays diversify demand, access talent/suppliers, and tap clusters—but add cultural, regulatory, and supply-chain complexity.

Explanation

Entry mode choice:

Low control/low capital: export, licensing, franchising.

High control/high capital: acquisitions, greenfield plants, wholly owned subsidiaries.

CAGE framework: Cultural, Administrative, Geographic, Economic distances guide sequencing.

Operating model: global, multi-domestic, or transnational (balance scale vs. local adaptation).

Localization: product features, pricing, channels, compliance.

Risk management: FX, political risk insurance, supply redundancy.

Key Takeaways

Match entry mode to risk, speed, and capability fit.

Use CAGE to stage expansion.

Operational choices (org, systems) decide success post-entry.

Real-World Case
McDonald’s scaled globally via franchising (asset-light) while adapting menus and supply chains locally; direct ownership in strategic markets.
Reference: https://www.mcdonalds.com