ABSTRACT
The Diamond model is used when an enterprise wishes to establish whether there is a good starting point for internationalisation. The model comprises four aspects, on the basis of which the enterprise can determine its competitive position in its own country. These are the aspects Economic order, Production factors, Demand and Network. The starting point of Porters Diamond is Economic order has an influence on achieving the objectives of the enterprise. The mutual relationships indicate that the factors influence this achievement in a positive or negative manner. The most important starting point of Porter is that enterprises can most successfully internationalise when the Diamond model is used for the home country. In many situations it turns out that a Diamond model can be made for the target country. Through the combination of the two countries, a better estimation can be made with regard to the international activities the enterprise wishes to commence in the target country.
