The of (With ) | International Business

Firms that compete in the global marketplace typically face two types of competitive pressures: pressures for cost reductions and pressures to be locally responsive. These two pressures place conflicting demands on a firm. Responding to pressures for cost reductions requires that a firm try to minimize its unit costs. But responding to pressures to be locally responsive requires that a firm differentiate its product offering and marketing strategy from country to country in an effort to accommodate the diverse demands. Because differentiation across countries can involve significant duplication and a lack of product standardization, it may raise costs. So how do differences in the strength of those pressures affect a firm's choice of strategy? In this video, I will introduce four major international strategies to you.

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15 thoughts on “The Strategy of International Business (With Real World Examples) | International Business

  1. JoJohn Tv says:

    This video shows just how much companies have to adapt for different markets. A good example is the food that we eat. McDonald’s in India and other Asian countries may have curry while US has our typical American cuisine.

  2. Claire Mounce says:

    My biggest issue with pressure for cost reduction is the ethics of it, I know many times that the people who work for these lower wages in these countries are often the only bread winners for their families, but I cna't help but think the companies are saving enough to where they couldoffer better work conditions and wages.

  3. Madisyn Raulston says:

    The Strategys of internation business can be a difficut concept to grasp. This video is a great one to watch to try to have a better understanging because it offers real world examples. This video also gives a great explantion of the differnt types of pressure companys face and how it is a deciding factor of the strategys they use, great video overall!

  4. Gerardo Ramirez says:

    this video is a really good tool. i love how they presented situations and examples in order to have a better understand of the concept. ihave learned the two types of competitive pressure and the importance of those concepts in the economy. i also learned new concepts that helped me to understand some of the material of the chapter.

  5. james chapa says:

    This video does a great job in teaching the differences between the different strategies in international business. depending on the type of company and what country you are expanding to, determines the type of strategy you will use.

  6. James Sawyer says:

    It was interesting learning about the different kinds of pressures that a firm may face. The two competitive pressures being, the pressures for cost reductions and the pressures to be locally responsive. Each example given added to my depth of understanding of these types of pressures.

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