Global Votatic Strategy: Localization And Multidomestic Strategy

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Register to read the introduction… A good example would be McDonald. They are adopting the “Glocal” (think on a global scale, but react on a local scale) marketing mix principle towards their product. Despite wanting to maintain a certain level of standards around the world, it is important that company understand that in different countries adaptation is required such as culture, customer tastes / preferences, and even their customs. For example Mcdonald’s restaurant in India serves vegetable McNuggets and a mutton-based Maharaja Mac (Big Mac) (Vignali 2001). Such action is believed to be necessary if global companies want to grow within that …show more content…
Ferrero have an extensive product range, their distribution list globally is not usually complete. Some of the Ferrero products can only be found at certain countries and you may not be able to find that product elsewhere. However, Ferrero adopts this strategy where organization produces and sells standardized products in different market. They use a central divisional office and offices where decisions and marketing strategies are made at a division headquarters. This will ensure the quality and reliability of their …show more content…
Conclusion
All the strategy are viable for company to adopt in expanding the company globally, however there is always disadvantages or criticism towards all theories. Hill, Wee & Udayasankar (2012) argues that the weakness of international strategy is that over time, competitors will be able to overtake and outrun your firm is you do not take proactive steps to reduce firm’s cost structure. Therefore in order to conquer the market, company needs to shift towards a global standardization strategy or transnational strategy.
The same can be said for localization strategy, it may give organisation a competitive edge, but when faced with aggressive competitors, the company will have to reduce its cost structure and move towards the transnational strategy to maintain survival in the market. It is very much dependent on how the management decides to move their product in terms of placement and marketing, bringing in their product to a whole new market, at the same time observing the market movement and make necessary

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