Abstract
While the threat posed by national champions is nothing new, their essential character has substantially changed, and the competitive advantage of national champions in the global marketplace has become more pronounced. Today's national champions are much more sophisticated, competing in more industries, and harder to spot than ever before. As a result, Western companies need a new strategic guide for competing against them. A company should consider the four strategic options in light of the type of national champion -- majority government-owned national champions, minority government-owned national champions, and implicitly supported national champions -- that it is competing against and the context of that competition. In today's aggressive trade environment that may soon include outright trade wars, companies are increasingly likely to encounter a new, more competitive breed of national champions in their home markets and abroad. To protect and win market share against these financially advantaged, innovation-driven, government-supported champions, competing companies will need a new and more proactive strategic toolkit.