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Idea

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Submitted By teddyscooby
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In a game theoretic perspective:
Ghemawat, in his article talks about the strategies that companies need to adopt when they want go international. The actions that companies take to achieve this can be linked with the game theory. Every company tries to adopt strategies to gain a competitive edge in the market. And game theory talks about what kind of approaches they can take to direct success and profit towards themselves and increase their hold in the market. We can try to link every move of a company to one of the factors in the game theory namely changing the player, changing the Added value, changing the rules, changing the tactics and changing the scope. This might result in a win-win or win-lose relationship between companies. In addition to this few companies also adopt strategies that change the entire game that they play in the market.
Let us take the example of one of the companies that tried to adopt Arbitrage, as pointed out by Ghemawat, TCS managed to beat out its Indian competitors and won the deal with ABN AMRO which generated more than hundred million dollars to the company. TCS was able to achieve this largely because it was the only Indian vendor positioned to deploy several hundred professionals to meet the application development and maintenance needs of ABN AMRO. TCS’s huge bench strength was the added advantage in this game. Thus TCS played the game of changing its added value. TCS managed to increase its added value in the IT market by have hundreds of professionals trained in core software technologies. It was this ‘value add’ that provided an extra advantage for TCS to get hold of large clients like ABN AMRO that looked for companies with a strong potential to fulfil their IT desires.
Nintendo’s 8 bit game introduction to the market is an example of how adaptation to local needs can help gain strategic advantage. Nintendo’s power in 8 bit

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