Objective: Choosing a strategy, in a given situation, to develop a global market.
Think of the world as a giant pizza 🍕. Each country is a slice with its own taste preferences, cultural toppings, and crust thickness. To sell a product worldwide, you need to know which slice you’re targeting and how to adapt your pizza to fit the local palate.
TechCo is a mid‑size electronics firm. They want to sell their new phone in India.
| Factor | Options | Recommendation |
|---|---|---|
| Capital Availability | \$2M for marketing, \$5M for manufacturing | Export + Local Assembly (low cost) |
| Market Size | Large, growing smartphone market | Joint Venture with local distributor |
| Risk Level | Political stability moderate, currency volatility high | Licensing to reduce currency risk |
TechCo chooses a Joint Venture with a local partner who already has a distribution network. This balances control and risk while leveraging local knowledge.
Tip 1: Use the Decision‑Making Framework to structure your answer. Show a clear step‑by‑step process.
Tip 2: When comparing strategies, create a table to highlight pros and cons. This demonstrates analytical skills.
Tip 3: Remember to link company resources with market opportunities. The examiners look for a balanced approach.
Tip 4: Use real‑world examples (e.g., Apple, McDonald’s) to illustrate how global brands adapt.
Tip 5: Keep your language simple and avoid jargon. Use emojis sparingly to make the answer memorable, but ensure they don’t distract from the content.