Mittelstand and international business: How mittelstand companies are using China do maintain stability of respective business
Date
2017
Authors
Webb, Patrick
Journal Title
Journal ISSN
Volume Title
Publisher
Bachelor of Commerce Best Business Research Papers
Abstract
The purpose of this paper is to gain a better understanding of the success factors of the German Mittelstand and how they differ from certain North American practices. In doing so, we understand how critical the Mittelstand is to Germany’s economic success as an export economy. The German companies to be discussed are often defined differently depending on sources. IfM Bonn’s definition has been used to derive the quantitative definition. The qualitative characteristics have been procured from various expert sources. The technological revolution that is taking place currently, Industrie 4.0, as well as global hypercompetition, has forced these firms to be dynamic within their niches. German companies have recognized Asia as a major business opportunity to expand their niche markets and have taken an incremental approach to expansion due to cultural differences and concerns over the safety of their supply chain. Two cases studies will look at how this expansion differs between two gebohener Mittelstand firms, followed by a brief discussion as to how North American managers can utilize the information protection practices in their expansion decision‐making. With this in mind, North American managers should consider the trade‐offs between protecting proprietary knowledge and protectionism as this decision can have a great impact on ROI. The first Case also looks at how DELO has focused on customer satisfaction to increase firm performance. Methods of analysis for this paper include gathering research on the influence of the Mittelstand on the German economy, profiling the cultural characteristics that influence business decisionmaking, and utilizing the work of Mittelstand experts, particularly Dr. Bernd Venohr.
Description
Keywords
Citation
Webb, P. (2017). Mittelstand and international business: How mittelstand companies are using China do maintain stability of respective business. Bachelor of Commerce Best Business Research Papers, 10, 107–119.