1. For any activities ? According to ghemawat,The triple A suppose to bring internationals companies to the right strategy. Hypothetically thanks to the triple A , internationals companies can optimize their international strategy and can face to country differences. Ghemawat takes a particular exemple to demonstrate that previous theory: the High technology area « one in the medical system and the other one in the IT » THEN we wonder if those successful examples could be available for any other company in other industry.
Let us try with the Luxury industry: * Adaptation: we can not customize luxury goods locally the luxury brand can lost its value. * Agregation: we can not standardize luxury goods this is the exact opposite of a definition of “LUXE”. * Arbitrage: we can not exploit differences of countries to reduce the cost generally, the luxury brand are very limited to extend its supply chain all around the world to exploit countries differences. Luxury company have to care of the image because this is what they sell.
As we can see on this previous example, the triple A is not efficient for a company which is positioning in “ differenciation” on the Matrix of Ansoff . So the triple A can be efficient depending the company’s activity. Is the Triple A available … 2. At any circumstances? Ghemawat’s view is too much focused on “integration” while he should mention some others importants aspect of globalisation. I think Ghemawat’s theory on strategy of internationals companies is too much based on countries profiles.
An international company should pay attention to the macro environment which means: PESTEL/ Interaction between companies/competition / Changes of world/ others Externals factors ( such as the last economic crisis or the European crises or the War somewhere, or the fact that the economic world is absolutely instable as well as Policie of countries. ) Ghemawat take IBM example to prouve that company can use the triple A related to their evolution and the changes of the business world. But the problem is that the triple A require an important flexibility of the ompanies strategy and all activity are not too flexible. We may be should remind that strategy is about : * matching activities of the organisation to the environment and to the organisations capabilities. * LT direction of organisation and require an integrated approach( inside and outside to adressing the strategy to the changes of the business environment) Finally, An international strategy is an high complexixity excercise and the triple A suggest some change of strategy at some points of lifecycle of the company as a solution which it is received.
However Ghemawat missed to deal some other important aspect for the wellness of companies. I do not think that the triple A can support a culture of company. I mean each international company have to get its strong own culture which one based on not only the strategy aim of the company but also on more importants things like the management of HR, the structure of the company and all. He can not pretend that triple A tool can guarantee the sucessful of any companie.