Narrative 7-1
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 rupees. 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 Narrative 7-1. 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

Question

Narrative 7-1
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 rupees. 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 Narrative 7-1. 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

Quizplus · Accepted Answer

The need for Coca-Cola to create a promotional strategy specifically targeted to the Indian market reflects an awareness of cultural differences. This is because cultural nuances can significantly impact consumer behavior and preferences, and a promotional strategy that takes these nuances into consideration is more likely to be effective in resonating with the target audience in the Indian market.

Narrative 7-1 India Has the Fastest-Growing Demand for Consumer Products in the in the World