Question

When venturing abroad, Sweetz Company produces locally targeted candies for which it has built specialized plants in each local region. It customizes its candies according to the tastes and preferences of the local consumers. Zoom Company offers a standardized economy automobile and has a single worldwide corporate headquarters from which it centrally manages its entire worldwide company's operations. In the case of these two companies, Sweetz uses the _______ ; whereas Zoom uses the ________ strategy.
a. international, global

b. multi-domestic; global

c. multi-domestic; transnational

d. global; transnational

Answer 1

Answer:

(B). Sweetz uses the Multi-domestic strategy, whereas Zoom uses the Global strategy.

Explanation:

A company using the Multi-domestic strategy customizes the products it has to offer to meet the needs or specifications of customers in the different countries it operates in.

A company using a Global strategy to operate in different foreign markets, controls its operations and businesses around the world, from a central corporate headquarter location. The corporate headquarter decides the amount of freedom each subsidiary will have, to make decisions, based on conditions in their domestic markets.