Scenario: TeleToys Inc.
TeleToys Inc., a U.S.-based company, recently opened eighteen new toy stores in Brazil, acquired a women's clothing company in Canada, and closed its men's clothing line in Australia. The company has a structure that organizes its global operations into geographic regions.
-Which of the following strategies should TeleToys follow if it wants buyers to perceive its products as unique?

Question

Quizplus · Accepted Answer

The differentiation strategy is the best choice for TeleToys if it wants buyers to perceive its products as unique. This strategy emphasizes creating unique and distinctive products that stand out from competition and appeal to customers who are willing to pay a premium for them. With the recent acquisitions and closures, TeleToys has the opportunity to focus on creating innovative and distinct products that differentiate them from their competitors. In contrast, a low-cost leadership strategy prioritizes cost savings, while a global strategy focuses on standardizing products and processes across different markets. A retrenchment strategy involves reducing operations and assets to improve financial performance, which is not applicable in this scenario.

Scenario: TeleToys Inc. TeleToys Inc., a U.S.-Based Company, Recently Opened Eighteen New Toy