Topic 3 - Standardization Vs Adaptation

Question 1

What is a global strategy?

Answer 1

Standardized product across markets; high efficiency, low adaptation (e.g., Apple).

A global strategy focuses on uniformity and efficiency in production and marketing across different countries.

Question 2

What is a transnational strategy?

Answer 2

Combines global efficiency and local responsiveness (e.g., McDonald’s).

A transnational strategy seeks to balance the need for efficiency with the need to cater to local preferences.

Question 3

What is a multi-domestic strategy?

Answer 3

Highly adapted to each country; decentralized (e.g., Nestlé).

A multi-domestic strategy allows companies to tailor their products and marketing strategies to fit local markets.

Question 4

What is an international strategy?

Answer 4

Exports core product with minimal local adaptation (e.g., Ferrari).

An international strategy often involves leveraging core competencies and capabilities in foreign markets with little modification.