Implementing the multi-domestic strategy requires decentralisation:
A)to emphasise national interests and facilitate a firm's efforts to satisfy local or cultural differences
B)that utilises a common approach in each country to maintain consistency
C)to be avoided at all costs
D)to make the most of R&D spending

Question

Quizplus · Accepted Answer

The multi-domestic strategy focuses on emphasising national interests and catering to local or cultural differences, which requires decentralisation to allow decision-making power to be held at the local level. This allows for greater flexibility and adaptability in addressing local market conditions and preferences. Option B is more aligned with a global standardisation strategy, which relies on a common approach across countries for consistency. Option C is inappropriate as decentralisation is a critical element of the multi-domestic approach, and D is not directly related to the implementation of this strategy.

Implementing the Multi-Domestic Strategy Requires Decentralisation