We also found evidence on the role of industry globalization drivers. Structural characteristics of an industry and certain drivers, such as market, cost, government, and competitive factors, tend to promote or inhibit the overall globalization potential of industries. An increase in globalization potential due to favorable industry conditions should yield more opportunities for global strategy to prosper. Prior research has typically found a positive relationship between the globalization potential of an industry and the global strategic orientation of the organizations operating in that industry (Birkinshaw, Morrison, and Hulland 1995; Hout, Porter, and Rudden 1982; Yip 1995). In support of this contention, we find that industry globalization drivers have an effect on both strategy and structure.