Standardization of the Brand in the Context of International Strategic Marketing

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Inconclusion, it discusses briefly what strategy should actually be adopted by the firms that want to operate globally. The concept of a global strategy has become increasingly popular over the last few years. A greater part of the popularity of global strategy can be observed in the Multinational Corporations. (MNCs) Furthermore, economic articles and journals, as Root (1992) relates, are also increasingly urging the companies to ‘go global’. In addition, conferences held on the use of global strategy have also attracted a lot of support from the corporate sector and enthusiastic investors. The global strategy is gaining a lot of importance but it is important first to understand what global strategy is. The global strategy is a strategy that can be adopted by any corporation- a strategy that may guide it through the process of globalization. This means that companies can achieve some objectives and have a comparative advantage over some countries in certain industries if they adopt a proper global strategy. A global strategy basically carries objectives like the managing of certain risks, the increase in the efficiency and also inner learning capabilities as Root (1992) relates. The managing of risks can make it easier to reduce costs and increase profits for the companies. An increase in efficiency means that the companies can operate and achieve the economies of scale. As a result, the costs incurred can be the least for the corporations. The increase of the inner learning capabilities, on the other hand, means that the corporations can enhance their research and development departments and so can come up with innovative and useful ideas that can be used in the future. In order to carry out the objectives that the global strategy emphasizes it is important to initiate a procedure that can make sure that the global strategy is properly followed.