Contrast the Strategies of Multidomestic Industries and Global Industries

question 33

Essay

Contrast the strategies of multidomestic industries and global industries. Why is there a difference in strategies between the two industries? Provide an example for illustration.

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Definitions:

Purchase Cost

The amount paid to acquire goods or services, including the price of the item(s) and associated costs such as shipping and handling.

Manufacturing Overhead

All indirect costs associated with the production process, such as utilities, rent for production facilities, and maintenance expenses.

Factory Equipment

Machinery and tools used in a manufacturing process to produce goods.

Indirect Material

Materials used in the production process that do not end up as part of the final product, such as lubricants for machinery.