Global halal market is ever expanding due to the rapidly increasing mulsim population and favorable aptitude of non-muslim consumers toward halal products. Multinationals are strategically responding to halal market but few studies have responded to this increasingly important subject. This study attempted to fill the research gaps by analyzing the case of Nestle Malaysia as a multinational properly reacted to the growth of halal market, based on the framework of transnational strategy and to provide implications for Korean firms pursuing global halal markets. The findings showed that Nestle accomplished both localization and integration by attaining halal compliance as well as sharing halal related knowledge acquired in due course. In addition, Nestle reacted to the formation of the free trade area in ASEAN and carried out transnational strategy by spatial specialization of production network for the complementarity among subsidiaries. This provided critical path to accomplishing economies of scale and scope together with harmonized regional marketing efforts and standardized operating systems. This strategy would be considered as differentiated attempt as the reaction to halal compliance was not stayed at localization effort but utilized as a mean to achieve efficiency. This study implies that firms should be able to understand halal as strategic tool and to apply to practical instances with creative and innovative approach.