Decide on the marketing organization

5 important questions on Decide on the marketing organization

Strategic importance and complexity of international operations vs time involved in international operations
which forms

Ad hoc exporting
Functional exporting
International division- multinational strategy
Gloabal organization: world product groups

International division- multinaitonal strategy

Operating units can be geographical organizations or international subsidiarties

What are the advantages of geographical organizations?

- Easy to adapt to local preference and requirements
  regional expertice
ability to respond easily and quickly to the market demands
Economies of scale within regions

Disadavantages
0 complicates the task to coordinate product variations and transferring new product ideas from country to country
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Global organization world product groups

Advantages;
Cost efficiency for each product line
guarantees uniform and controller global brand image

disadvantages
it duplicates functional resources
underutilizes sales and distribution facilities abroad
the product diviisions tend to develop a total independece of each other in world markets

Global organization vs multinational organization

go; treats the world as a single market
mo; treats the world as a portfolio of national opportunities

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