The Transnational Approach of a Firm Using a "Think-Global, Act-Local

question 43

Multiple Choice

The transnational approach of a firm using a "think-global, act-local" version of a global strategy entails

• A)selling numerous product versions (each customized to buyer tastes in one or more countries and sometimes branded for each country)but opting to only sell direct to buyers at the company's website so as to bypass the costs of establishing networks of wholesale/retail dealers in each country market.
• B)pursuing the same basic competitive strategy theme (low-cost, differentiation, best-cost, focused)in all countries where the firm does business but giving local managers some latitude to adjust product attributes to better satisfy local buyers and to adjust production, distribution, and marketing to be responsive to local market conditions.
• C)selling the company's products under a wide variety of brand names (often one brand for each country or group of neighboring countries)so that buyers in each country market will think they are buying a locally made brand.
• D)producing and marketing a variety of product versions under the same brand name, with each different version being designed specifically to accommodate the needs and preferences of buyers in a particular country.
• E)little or no strategy coordination across countries.

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Definitions:

Rate of Inflation

The percentage increase in prices for goods and services over a specific period, typically a year, indicating the purchasing power of currency.

Chief Financial Officer

A senior executive responsible for managing the financial actions of a company, including financial planning, risk management, and financial reporting.

Fortune 500

An annual list published by Fortune magazine that ranks 500 of the largest United States corporations by total revenue.

Corrective Steps

This term refers to actions taken to fix problems, address failures, or correct mistakes in a process, plan, or operation.