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Foreign Market Strategies of European and United States Transnational Management-Consulting Firms in South East Asia: The Case of Thailand

ABSTRACT The share of transnational corporations' (TNCs) foreign investment in the global investment has increased over the years. In this context, the international activities of transnational service corporations (TSCs) have become an important topic of discussion for international managers, governments, researchers, and academics. An even greater expansion has taken place in the case of management consulting services. The core subject of this study are entry strategies and FDI motives observed among transnational management-consulting firms (TMCFs) from the United States, Europe and Asia operating in Thailand. A management interview approach was the major tool for data collection in this study. Eighteen foreign TMCFs operating in Thailand were the main source of primary research data, which were analysed both quantitatively and qualitatively. The results indicate that TMCFs prefer full-ownership participation as an entry mode into the Thai market. As to their FDI motives, the most important one identified is to exploit the existing market opportunities in host countries. Other important motives include: market expansion, exploitation of competitive advantage, and following the client's international involvement.