Research of the Development Strategies of Multinational Corporations in Emerging Markets

Abstract

Emerging markets are significant target markets for a range of goods and services due to their large consumption potential. Yet, because of the general lack of market liquidity in emerging markets, the growth of multinational firms just so happens to increase market liquidity and draw in additional investors. Therefore, the development of multinational corporations plays a vital role in promoting the prosperity of emerging markets. This paper focuses on the development strategies of multinational corporations in emerging markets. Through searching and collecting the development process and relevant information and data of well-known old multinational corporations, this paper analyzed and compared them, and summed up three important strategies. It can be concluded that in order to make established multinationals play a bigger role in emerging markets and get more emerging market companies to become multinationals, there are three important strategies: stick to direct investment, create unique business models, and promote internationalization.