Business, 19.01.2021 19:20 carolineepoolee84
Cost Reductions and Local Responsiveness
Choosing the most appropriate strategy for a firm in international business involves two essential dimensions. The firm must examine ways to reduce costs, which can be done in a number of ways. Standardization of products and components plays a very important part. Customers, however, don't always want standardized products, even if it means they will pay more.
The balance a firm seeks between the pressures for cost reduction and local responsiveness is one of the most essential determinants of the firm's strategy.
Pressures for local responsiveness imply that it may not be possible for a firm to realize the full benefits from economies of scale, learning effects, and location economies. The need to customize a product offering may work against a strategy of producing a standardized product made in a single, low-cost location. Customization may bring benefits but it limits the ability of a firm to realize significant scale and location economies. In addition, pressures for local responsiveness imply that it may not be possible to leverage skills and products associated with a firm's core competencies from country to country without additional changes.
The appropriateness of the four main strategic postures-global standardization, localization, translational with the extent of the pressures for cost reductions and local responsiveness .
As the balance between cost reduction and local responsiveness affects strategy you must know each thoroughly.
Read the points below and determine if it represents a pressure for cost reductions or local responsiveness
1. Differences in Infrastructure
2. Differences in Preferences
3. Outsourcing
4. Universal Needs
5. Distribution Channels
6. Optimal Location
7. Host Government Demands
8. Experience Curve
Pressure for cost reductions Pressure for local responsiveness
Answers: 1
Business, 21.06.2019 19:10
If we know that a firm has a net profit margin of 4.6 %, total asset turnover of 0.62, and a financial leverage multiplier of 1.54, what is its roe? what is the advantage to using the dupont system to calculate roe over the direct calculation of earnings available for common stockholders divided by common stock equity?
Answers: 2
Business, 22.06.2019 06:40
At april 1, 2019, the food and drug administration is in the process of investigating allegations of false marketing claims by hulkly muscle supplements. the fda has not yet proposed a penalty assessment. hulkly’s fiscal year ends on december 31, 2018. the company’s financial statements are issued in april 2019. required: for each of the following scenarios, determine the appropriate way to report the situation. 1. management feels an assessment is reasonably possible, and if an assessment is made an unfavorable settlement of $13 million is reasonably possible. 2. management feels an assessment is reasonably possible, and if an assessment is made an unfavorable settlement of $13 million is probable. 3. management feels an assessment is probable, and if an assessment is made an unfavorable settlement of $13 million is reasonably possible. 4. management feels an assessment is probable, and if an assessment is made an unfavorable settlement of $13 million is probable.
Answers: 1
Business, 22.06.2019 09:40
Catherine de bourgh has one child, anne, who is 18 years old at the end of the year. anne lived at home for seven months during the year before leaving home to attend state university for the rest of the year. during the year, anne earned $6,000 while working part time. catherine provided 80 percent of anne's support and anne provided the rest. which of the following statements regarding whether anne is catherine's qualifying child for the current year is correct? a.anne is a qualifying child of catherine.b.anne is not a qualifying child of catherine because she fails the gross income test.c.anne is not a qualifying child of catherine because she fails the residence test.d.anne is not a qualifying child of catherine because she fails the support test.
Answers: 2
Business, 22.06.2019 09:50
Acar manufacturer uses new machines that automatically assemble an engine from parts fed to the system. the machine can regulate the speed ofassembly depending on the number of parts produced. which type of technology does this machine use? angenoem mense wat ons in matin en esta va ser elthe machine uses
Answers: 3
Cost Reductions and Local Responsiveness
Choosing the most appropriate strategy for a firm in inter...
Mathematics, 05.12.2020 09:50
Mathematics, 05.12.2020 09:50
English, 05.12.2020 09:50
Mathematics, 05.12.2020 09:50
Mathematics, 05.12.2020 09:50
English, 05.12.2020 09:50
Mathematics, 05.12.2020 09:50
Mathematics, 05.12.2020 14:00
Advanced Placement (AP), 05.12.2020 14:00
Chemistry, 05.12.2020 14:00
Mathematics, 05.12.2020 14:00
Mathematics, 05.12.2020 14:00
Biology, 05.12.2020 14:00