Companies are faced with the decision whether to expand by seeking new markets in existing countries or seeking new country markets for already identified and served market segments

Faced with these situations, what are the strategies that can be followed?

There are four different dimensions that emerge in combination to produce four different sets of strategies that are described as follows. (1 ) Country and market concentration, which involves targeting a limited number of customer segments in a few countries. This is typically a starting point for most companies and it matches with limited company resources and market investment needs. (2 ) Country concentration and market diversification, in which a company serves many markets in a few countries. Many European companies have followed this strategy. American companies that decide to diversify in the U.S. market as opposed to going international have also followed this strategy. (3 ) Country diversification and market concentration is the classic global strategy whereby a company seeks out the world market for a product. This strategy is desirable since it serves the world customer, and a company can achieve a greater accumulated volume at a lower cost. It also has a competitive advantage due to cost. This is the strategy followed by well-managed businesses that serve a distinct need and customer category. (4 ) Country and market diversification is the corporate strategy of a global, multi-business company such as Matsushita. Thus, based on the level of involvement desired and available resources, one of the above-mentioned strategies should be selected.