Question

Marko is the CEO of the advertising department at Foster-Ghent, a company that encompasses a variety of personal hygiene brands, including Lush Soap and New Gleem toothpaste. Foster-Ghent does business in 65 countries through one or more operating companies, with a total of about 50 companies in the Foster-Ghent group. Tanvi is the advertising and marketing manager for the Indian market. Based on your knowledge of the transnational model, which of the following best describes how Marco and Tanvi would divide responsibilities?
A) Tanvi designs, from start to finish, an advertising campaign for Clearly Clean, Foster-Ghent's new line of contact lens solution. Marko signs the check to pay for the billboards.
B) The new advertising campaign for Foster-Ghent's Clearly Clean contact solution are fully designed by Marco and his local team. Tanvi oversees translation of the ads.C) Marco and his local team create an advertising campaign and strict guidelines for implementing it. Tanvi is merely responsible for ensuring the guidelines are followed by her staff.
D) The general guidelines for the new Clearly Clean contact solution advertising comes from Marco's team, but Tanvi is allowed to design campaigns that will appeal to the local market.
E) Members of Marko's local team personally direct all advertising, traveling to India to meet with Tanvi several times a year to direct the design and launch of its various campaigns.

Answer 1

Answer:

D) The general guidelines for the new Clearly Clean contact solution advertising comes from Marco's team, but Tanvi is allowed to design campaigns that will appeal to the local market.

Explanation:

A transnational model represents a compromise between local autonomy and centralized decision making. The organization seeks a balance between the pressures to integrate globally and response from a local audience.

Generally, in a transnational organization, there are central guidelines for the company which can be adjusted by national representatives to suit local regulations and demand.