A weakness of the ________________ strategy is that many of the firms that pursue this strategy have developed into decentralized federations in which each national subsidiary functions in a largely autonomous manner.
A) multinational
B) global
C) international
D) transnational
E) multidomestic

Question

Quizplus · Accepted Answer

The multidomestic strategy involves decentralization and allows for subsidiaries to operate independently in each country or region. This can lead to a lack of coordination and inconsistency in the overall strategy of the firm. This is not a weakness of the other strategies listed. The multinational strategy allows for each subsidiary to adapt to local markets but maintains centralized control. The global strategy is characterized by a high degree of standardization and a centralized approach. The international strategy involves exporting products to foreign markets with minimal customization. The transnational strategy aims to balance local responsiveness with global efficiency through a complex matrix structure.

A Weakness of the ________________ Strategy Is That Many of the Firms