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Scenario: Beanstalk International Beanstalk International Is a Rapidly Growing Company with Well-Established Subsidiaries

Question 96

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Scenario: Beanstalk International
Beanstalk International is a rapidly growing company with well-established subsidiaries in several nations. The company wants to follow a strategy of adapting its products and marketing activities in each national market to suit local preferences. This strategy aims at creating value for its customers.
-Beanstalk managers know that the drawback of such an adaptive strategy is that it ________.


A) does not allow companies to exploit scale economies in product development, manufacturing, and marketing
B) can cause a company to overlook important differences in buyer preferences across various markets
C) is applicable only to industries in which price-competitiveness is a key success factor
D) does not allow a company to modify its products except for the most superficial features

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