Narrative 8-1
India has the fastest-growing demand for consumer products in the world. In recent years, Coca-Cola attempted to enter the Indian market once again. Coca-Cola's first attempt to enter the Indian market a decade earlier was grossly mismanaged, which led to the company losing 20 billion Indian rubles. In that first attempt, Coca-Cola purchased Thumbs Up, the leading India-based carbonated soft drink. The company hoped to replace Thumbs Up with Coke while maintaining the Thumbs Up distribution strategy. For its return to the market, Coca-Cola built five plants, cut costly staff, revamped transport, shrunk bottles, and made the bottles lighter to increase a truck's carrying capacity. It also increased its number of distributors and dumped a global advertising campaign that proved irrelevant to the Indian market.
-Refer to the Narrative 8-1.Which of the following is reflected by the need for Coca-Cola to create a promotional strategy specifically targeted to the Indian market?
A) a diversification strategy
B) an awareness of cultural differences
C) the desire to maintain a high contribution margin
D) an insular approach to strategy
Correct Answer:
Verified
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