The Drawbacks of a Localized Multidomestic Strategy Include

question 5

Multiple Choice

The drawbacks of a localized multidomestic strategy include

• A) hindering the use of cross-market subsidization techniques and increasing company vulnerability to adverse shifts in currency exchange rates.
• B) making it very difficult to take into account significant country-to-country differences in distribution channels and marketing methods.
• C) making it difficult and costly to be responsive to country-to-country differences in customer needs,buying habits,cultural traditions,and market conditions.
• D) hindering transfer of a company's competencies and resources across country boundaries and hindering the pursuit of a single,uniform competitive advantage in all country markets where a company operates.
• E) being unsuitable for competing in the markets of emerging countries and posing added difficulty in building multiple profit sanctuaries.

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Definitions:

Anticipatory Semantic Slanting

The deliberate use of language to shape and influence perceptions or expectations of future events.

Name Calling

A tactic used in argumentation or insult where derogatory or unpleasant terms are used about an individual or group.

Tax Increase

A raise in the amount of money that must be paid to the government based on earnings, property value, or purchases, often implemented to fund public services.

Representativeness Heuristic

A cognitive shortcut used in decision making, where the likelihood of an object belonging to a category is assessed based on how similar it is to one's conception of that category.