This ppt explains about the Indian companies which have done major initiatives for globalization

1. MAJOR
GLOBALIZATION
INITIATIVES FROM
INDIAN
COMPANIES
By,
RAMKUMAR.K

2. GLOBALIZATION
• Globalization is the process which enables the
geographical, social, cultural, political and economic
movement internationally more easily.
• Globalization refers to growing economic
interdependence among countries as reflected in
increasing cross-border flows of three types of
commodities: goods and services, capital, and know
how

3. ENTRY STRATEGY FOR
GLOBALIZATION OF COMPANIES
• Exporting ( Direct or Indirect)
• Licensing
• Franchising
• Contract manufacturing/ International subcontracting
• Strategic Alliance
• Joint ventures
• Wholly owned subsidiary
• Mergers & Acquisition

4. Globalization of Markets:
It refers to the merging of national markets into one huge global
marketplace.
Globalization of Production:
It refers to the sourcing of goods and services from locations around
the world to take advantage of national differences in the cost and
quality of factors of production.
Falling Barriers to Trade and
Investment:
The falling of barriers to international trade enables firms to view
the world as their market.
Technological Innovation:
Technological changes have achieved advances in communication,
information processing, and transportation technology, including the
Internet and the World Wide Web .

5. INDIA’s GDP GROWTH RATE

6. FACTORS DETERMINING IN
BUILDING GLOBAL COMPANIES
• POLITICAL FACTORS
 Stability of the government
 Type of government
- Democratic
- Theocracy (religious)
- monarchy ( kingdom)
 Control structure
Canada, USA ( decentralized province)
Japan, France( centralized)

7. POLITICAL FACTORS
 Government take over of asset(with or without
permission)
 Operational restriction
 Remittance/ Repatriation restrictions
 Government policies
 Opposition parties, pressure groups, external linkages

8. Economic factors
 Economic system ( open / mixed)
 Economic development
 Standard of living( per capita income)
 Sectorial share in GDP
 Foreign Exchange reserves
 Economic indicators( inflation rate, BOP)

9. Technological factors
 Differentiation strategy
 Competitive advantage
Legal factors
 Home country laws
 Host country laws
 International lawsUN resolutions, Patents & Trademark
protection & piracy laws, GATT, codes of conduct

10. ITC
SUBSIDIARIES
JOINT VENTURES
• ITC Infotech
• Surya Nepal Private Limited • Maharaja Heritage
• Landbase
Resorts Ltd.
• King Maker Marketing Inc., USA • ITC Filtrona
• Technico Pty Limited. Australia
• Russell Credit Limited
ASSOCIATE COMPANIES
• Wimco Limited
• Gujarat Hotels Limited
• Srinivasa Resorts Limited
• International Travel
• Fortune Park Hotels Limited
House
• Bay Islands Hotels Limited
• Gold Flake Corporation Limited

11. ITC INFOTECH
• The company services industries including, Banking
Financial Services & Insurance (BFSI), Consumer
Packaged Goods (CPG), Retail, Manufacturing,
Engineering Services, Media & Entertainment, Travel,
Hospitality, Life Sciences and Transportation &
Logistics.
• Ranked amongst Top 10 Specialty Application
Development Providers - Global Services, CMP Media

12. ITC CIGARETTES
Market Value
The Indian tobacco market grew by 8.9% in 2012 to reach
a value of $11.6 billion.
Market Value Forecast
In 2013, the Indian tobacco market is forecast to have a
value of $14.9 billion, an increase of 29.4% since 2008.

13. MAHINDRA
MAHINDRA AND
MAHINDRA FORGINGS
MAHINDRA
• Their global presence • They are one of the
largest and most
means that you can find technologically advanced
Mahindra vehicles on the manufacturers of forged
roads—both paved and and machined
components in the world.
unpaved—of Australia, They create parts like
Europe, Latin America, links, knuckles, spindles,
Malaysia, and South shafts, crankshafts,
camshafts, pistons, ball
Africa. And they are joints, and stub axles that
seeking out new terrain are used in automotive,
every day agriculture, railway,
mining, construction and
other industries
throughout the world.

14. MAHINDRA
MAHINDRA SATYAM TECH MAHINDRA
• Since commencing operations in
1986 as a joint
• Sathyam is a global player in venture between Mahindra and
the global Information, British Telecom (BT), they have
Communication, and
Technology (ICT) space. They become one of India’s largest
provide enterprise business software exporters and ranked
solutions, infrastructure No.1 in the Telecom Software
services, industry native Category (Voice & Data 2010-11).
solutions, integrated For over two decades, they have
engineering solutions, been the chosen transformation
consulting services, partner for wireline, wireless and
application development and broadband operators in Europe,
management services, and Asia-Pacific and North America.
business process outsourcing
to more than 350 clients in We operate in more than 30
35 countries. countries through 17 sales offices
and 13 delivery centers, working
with major players like British
Telecom, Vodafone, among others

15. INFOSYS
• Infosys is a global leader in consulting, technology and outsourcing
with revenues of US$ 7.231 billion
• Infosys provides business consulting, technology, engineering and
outsourcing services to help clients in over 30 countries build
tomorrow’s enterprise.
• Infosys and its subsidiaries have 155,629 employees as on Dec 31,
2012.

16. INFOSYS
• Infosys takes pride in building strategic long-term client
relationships. 97.5% of our revenues come from
existing customers
• Infosys has a global footprint with 67 offices and 69
development centers in US, India, China, Australia,
Japan, Middle East, UK, Germany, France, Switzerland,
Netherlands, Poland, Canada and many other
countries.

17. DABUR
• Dabur has a special herbal health care and personal care range
successfully selling in markets ranging from the Middle East, Far
East, North Africa and Europe
• Inroads into several European and American markets that have
good potential due to resurgence of the back-to-nature
movement
• Export of Active Pharmaceutical Ingredients (APIs),
manufactured under strict international quality benchmarks, to
Europe, Latin America, Africa, and other Asian countries
• Export of food and textile grade natural gums, extracted from
traditional plant sources
• Six modern manufacturing facilities spread across South Asia,
Middle East and Africa to optimize production by utilizing local
resources and the most modern technology available

18. Acquisition

19. TATA
• Corus Group (U.K.)
 Tata Steel, one of the leading steel producers in India,
acquired Corus Group for U.S. $12.11 billion (€ 8.5
billion) on January 31, 2007
 This acquisition is considered to be one of the biggest
foreign acquisitions by an Indian company, and after
this only TATA Steel came out to be the fifth largest
steel producer in the whole world.

20. TATA
• Jaguar Cars and Land Rover (U.K.)
 Tata Motors has acquired both Jaguar and Land Rover,
which are two iconic British brands with worldwide
growth prospects
 This deal was for a whooping U.S. $ 2.3 billion with
Ford, the previous American owners.
 The deal was effective from May 2008. The deal is seen
as yet another endeavor of the fast growing Indian
industries, also the latest in a string of foreign
acquisitions by Tata.

21. Bharti Airtel
• Zain Africa
 Bharti Airtel had acquired Zain Africa for a value of U.S.
$10.7 billion. The acquisition gives Bharti Airtel a total
customer base of 180 million, including 131 million
subscribers it had in India at the end of April
 By expanding its business outside the country, Bharti
Airtel can in the long term benefit from economies of
scale, including getting better deals from suppliers

22. Aditya Birla
• Novelis (U.S.)
• Has acquired the entire stake in the Atlanta based
aluminium company Novelis for U.S. $6 billion
• This company had separated from Alcan, a global
aluminium company

23. ONGC
• Imperial Energy (U.K.)
• Oil and Natural Gas Corp (ONGC) has acquired Imperial
Energy. This deal was for 1.3 billion pounds (U.S. $1.9
billion).
• The company owed the acquisition to government
support, which in the past seven years increase its
number of projects to 39 in 17 countries, from just a
single project in Vietnam

24. Essar Steel Global
• Algoma Steel (Canada)
Ruias owned Essar Steel Global acquires the
Canadian steel company Algoma Steel at a valuation of
Canadian $1.85 billion.
Essar Steel Holding, Essar Group's overseas investment
arm made the investment possible and easy. Algoma
would definitely provide Essar an excellent platform for
the Canadian and North American market

25. Reliance
• Marcellus Shale
Reliance, led by Indian billionaire Mukesh Ambani, got the
right to buy 40 percent of all new Marcellus Shale leases
that Atlas acquires, after this purchase acquisition and
agreement was completed.

26. Acquisition summary
Company Acquisition Price ($m)
Reliance Industries Flag Telecom, Bermuda 212
Trevira, Germany 95
Tata Motors Daewoo, Korea 118
Infosys Technologies Expert Information 3.1
Services, Australia
Wockhardt CP Pharmaceuticals, UK 18
Cadila Health Alpharma SAS, France 5.7
Hindalco Straits Ply, Australia 56.4
Wipro NerveWire Inc, US 18.5
Aditya Birla Dashiqiao Chem, China 8.5
United Phosphorus Oryzalin Herbicide, US 21.3
Bharat Forge Carl Dan Peddinghaus Gmbh, Germany 28
Ranbaxy RPG Aventis, France 80

27. THANK YOU