The Drawbacks of a Localized Multidomestic Strategy Include

question 28

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)the difficulty in taking into account significant country-to-country differences in distribution channels and marketing methods.
• C)the difficulty in and costs of being responsive to country-to-country differences in customer needs,buying habits,cultural traditions,and market conditions.
• D)hindering the 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:

High-Trust Cultures

Organizational environments characterized by strong mutual respect, integrity, and confidence among members and leaders.

Company's Values

The core beliefs and ethical principles that guide a company's actions and decisions.

Productivity

A measurement of the efficiency of production, often evaluated as the ratio of output to input in the production process.

Unethical Behaviors

Actions that do not conform to accepted moral norms or standards within a profession or organization.