Often the small business has an advantage over large firms because an individual in the small business can develop personal contacts with other small firms that transfer cost, labor, or technology advantages informally, quickly and on a scale that would be difficult or impossible for large firms. The ability to sell, source and manage on a global basis requires understanding of the structural, cultural and ethnic variables. Businesses of any size wanting to expand to global opportunities need to understand these variables. Once this occurs, many small businesses seem to gain confidence in their global planning. Global marketing strategies Business without borders will not be the reality, but global relationships among firms of all sizes will.
Network marketing is increasingly global.
News reports indicate that corporate alliances between firms in different countries increased 47 percent annually during the past decade. For small firms, networking alliances may provide needed access to new markets, resources, and the capability to compete effectively with larger competitors. For large corporations, such alliances may be essential for global dominance. This was apparently the motivation in an alliance between Du Pont, the largest American firm, and Phillips, the largest Dutch electronics firm. In centrally planned economies such as China, a local partner may be legally required to do business in the alien system.