The Pros and Cons of Relocating a Firm’s headquarter to developing countries

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The Pros and Cons of Relocating a Firms headquarter to developing countries

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Essentially, this investigation provides significant insights into the role played by corporate headquarters in the international business arena. Existing business knowledge shows that shifting a business office or headquarter is associated with competitive positioning within an industry or market (Birkinshaw, Braunerhjelm, Holm and Terjesen, 2006). According to the arguments of a good corporate strategy, an international or multinational business must define the scope of the business in which to participate and determine ways of adding value in the lines of business (Ibid). By providing an analysis of multiple case studies of firms holding their HQs in countries other than the traditional home country, this study explicates the viewpoint that seeking competitive positioning might succeed or fail. The basic assumption in this study is that firms shift their HQs to other countries in response to the forces of demand and supply.

Word Count: 3500