MGMT 405 - CH 8

Which of the following are features of successful business-level strategies? (Check all that apply.)

- They reduce rivalry. - They increase profits.

The planning process is designed solely to identify effective strategies.

False

If managers decide to pursue a global strategy for selling products in the national market, how does that impact how products are produced and marketed? Multiple choice question.

Products will be standardized for each nations, but the marketing message will be customized according to each nation's needs.

Which is a major advantage of a global strategy?

Significant cost savings associated with not having to customize products and marketing approaches to different national conditions

The advantage of licensing is that the licenser does not have to ______ in a foreign country.

bear the development costs associated with opening up

The advantage of licensing associated with opening up in a foreign country is that

the licenser does not have to bear the development costs

True or false: The low-cost strategy drives down an organization's costs below those of its competitors. This strategy is aimed at serving a broad market.

true

The downside of using the franchise strategy is that franchisers risk losing ______ over the way the franchisee operates the franchise.

control