The effects of globalization on marketing strategy and performance
by Amonrat Thoumrungroje, Ph.D.
Washington State University
Chair: Patriya Tansuhaj
Building on international business, strategic management, and marketing literature, this
dissertation advances prior knowledge on globalization and business by analyzing different
effects of globalization on firms. Globalization—the process of increasing social, cultural,
political, and economic interdependence—has resulted in several changes in business
environment. Global market opportunities and threats are major effects of globalization. While
the former refers to the increases in market potential, trade and investment potential, and
resource accessibility, the latter refers to the increases in number and level of competition, and
the level of uncertainty. Two empirical studies included in this dissertation explore how these
effects influence firms’ international marketing activities and performance.
The first empirical study investigates the effects of globalization on firm performance.
The second study examines the role of firms’ cooperation in alliances in enhancing their
performance amid globalization by specifically focusing on co-marketing alliances and
international marketing performance of firms. Conceptual models are developed based on
environment-organization literature, transaction cost economics, and market power perspective.
Results from both empirical investigations lend support to theoretical conjectures. Specifically,
the first study found that while firm performance is enhanced by increased market opportunities
evoked by globalization, it is also hampered by growing competitive threats. Moreover, the
second study indicates that globalization drives more collaboration in international marketing
activities among firms in co-marketing alliances, and such cooperation enables firms to enhance
their international marketing effectiveness.
Thus, central contributions of this dissertation include: first, it classifies the effects of
globalization on firms into global market opportunities and global competitive threats; second, it
integrates literature on international business, strategic management, and marketing to address
the effects of globalization on firms’ marketing conduct and outcomes; third, it demonstrates the
generalizability of the transaction cost economics, the market power perspectives, and the
literature on environment-organization interfaces in the domain of globalization; fourth, it
confirms that globalization acts as a two-edged sword and that alliance cooperation presents a
viable alternative for firms to navigate successfully in this new competitive landscape.
School:Washington State University
School Location:USA - Washington
Source Type:Master's Thesis
Keywords:marketing globalization business enterprises international
Date of Publication: