Global Markets

2030 Words Dec 17th, 2013 9 Pages
DQ 1: Summarize the most important benefits and risks associated with diversification into global markets.
There are benefits and there are risks associated with diversification into global markets. Diversification into global markets means a company is seeking to have the control in one central area instead of in many different areas because ultimately they are seeking to control their costs. The main advantage of a global market is that a company does not need to make a lot of variations of a product. They can instead just make one quality standardized product, which means it is easier for the company to keep everyone on the same page in regard to any changes or innovations to their products. Ultimately having a global market means
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For example, the creators of Sesame Street have not only tailored their show to be in different languages depending upon where it’s aired, but they have also tailored the shows characters and their experiences for the specific market. The article also mentioned how Google adapts its interface for the specific market that it is accessed in especially when it featured the characters from Sesame Street on its interface. I found it pretty interesting that these two companies would go to such great lengths to adapt to the local markets.

References
A quick example of local adaptation. (n.d.). Retrieved November 16, 2013, from International Business and Strategy Blog: http://internationalbs.wordpress.com/2009/11/16/a-quick-example-of-local-adaptation/
(2012). Chapter 7: International Strategy. In G. G. Dess, G. T. Lumpkin, A. B. Eisner, & G. McNamara, Strategic Management (pp. 257, 259-260). New York: McGraw-Hill/Irwin.

DQ 3: According to Theodore Levitt, what are the three assumptions that favor the pursuit of a "pure" global strategy? Briefly provide counterarguments to each assumption?
According to Theodore Levitt there are three assumptions that favor the pursuit of “pure” global strategy. The first one is that customers worldwide are starting to all want the same things. If this were true, I’d be able to buy the same things that I can buy in the United States in
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