To understand the strategic planning options available to a corporation, its managers need to recognize that different types of industry-based competition exist. Specifically, they must identify the position of their industry along the global versus multidomestic continuum and then consider the implications of that position for their firm. The differences between global and multidomestic industries about the location and coordination of functional corporate activities necessitate differences in strategic emphasis. As an industry becomes global, managers of firms within that industry must increase the coordination and concentration of functional activities. Appendix 4 at the end of this chapter lists many components of the environment with which global corporations must contend. This list is useful in understanding the issues that confront global corporations and in evaluating the thoroughness of global corporation strategies. As a starting point for global expansion, the firm's mission statement needs to be reviewed and revised. As global operations fundamentally alter the direction and strategic capabilities of a firm, its mission statement, if originally developed from a domestic perspective, must be globalized. The globalized mission statement provides the firm with a unity of direction that transcends the divergent perspectives of geographically dispersed managers. It provides a basis for strategic decisions in situations where strategic alternatives may appear to conflict. It promotes corporate values and commitments that extend beyond single cultures and satisfies the demands of the firm's internal and external claimants in different countries. Finally, it ensures the survival of the global corporation by asserting the global corporation's legitimacy with respect to support coalitions in a variety of operating environments. Movement of a firm toward globalization often follows a systematic pattern of development. Commonly, businesses begin their foreign nation involvements progressively through niche market exporting, license-contract manufacturing, franchising, joint ventures, foreign branching, and foreign subsidiaries.