Competition in Global Markets: A Case Study of American and Japanese Competition in the British Market

Abstract

The results of a three-year study of the objectives, strategies and organisation of American subsidiaries are presented. Their operations are compared against a matched sample of competitive British and Japanese subsidiaries. American subsidiaries were found to be less ambitious, more orientated towards delivering short-term profit performance and less adapted to local market conditions than their Japanese competitors. Over the five-year period, only one in three U.S. subsidiaries exhibited successful profit and market performance, against more than three out of four Japanese subsidiaries.