Sourcing Strategies of European and Japanese Multinationals: A Comparison

Abstract

Based on a typology of sourcing strategies, this study identifies various sourcing patterns adopted by European and Japanese multinational manufacturing firms in serving the U.S. market, The study has found that the product's market performance is not at all related to its life–Cycle stage in world trade or to production location, but is positively related to the internal components sourcing and negatively related to the product adaptation. The findings strongly support Levitt's call for a global product.© 1989 JIBS. Journal of International Business Studies (1989) 20, 113–130