The Stages of International Involvement
As Figure 17.1 shows, firms progress through five stages as they internationalize their operations.7 The higher the stage, the more the firm’s HR practices must be adapted to diverse cultural, economic, political, and legal environments.
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▪ In stage 1, the firm’s market is exclusively domestic. One firm at this stage today is Boulder Beer, which produces its ales in the Boulder, Colorado, area and seldom sells them outside the Mountain States region. Another example is Colby Welding, which repairs and rebuilds radiators for sale, primarily in the Phoenix, Arizona, metropolitan area. Many other U.S. firms are still at this stage, but their number is diminishing, particularly in manufacturing. Staffing, ...
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