What is global integration?

Global integration refers to the process of coordinating and managing activities across multiple countries to achieve greater efficiency, consistency, and competitiveness in the global marketplace. It involves harmonizing strategies, operations, and resource allocation to ensure that various international activities are aligned and work cohesively towards common organizational goals.

In this context, coordinating activities means leveraging various resources and capabilities that exist in different countries while creating synergies among them. This approach allows companies to optimize their operations, share best practices, and effectively respond to global market dynamics, leading to enhanced innovation and competitive advantage.

The other choices, while touching on aspects of strategy, do not accurately capture the essence of global integration. For instance, isolating domestic operations contradicts the very principle of integrating global functions. Similarly, focusing solely on local market opportunities and excluding local suppliers emphasizes a more localized or fragmented approach rather than a coordinated, integrated effort across borders. Therefore, the essence of global integration lies in the ability to bring together diverse operations and strategies to function as a unified global entity.