Home replication strategy cannot be used when ________________.
A) foreign markets are viewed as a simple extension of the domestic market
B) a MNC has a low need for local responsiveness and cost reduction
C) a MNC has a proprietary product that faces limited competition
D) a MNC faces increasing competitions on price and product features

Question

Quizplus · Accepted Answer

Home replication strategy often fails when a multinational corporation (MNC) faces increasing competition on price and product features because it relies on the MNC's core competency developed in its home market without significant adaptation for local markets. This approach may not be effective in highly competitive environments where local responsiveness and adaptation are crucial for success.

Home Replication Strategy Cannot Be Used When ________________