and resources to remain competitive despite increased competition from local manufacturers(Lecture 8).3 Corporate Level International StrategiesThe three corporate level international strategies include multi-domestic strategy, globalstrategy and transnational. As demonstrated by the case study of Delta Faucet, the use ofcorporate-level international strategies offers many benefits but also presents challenges. Forinstance, the multi-domestic strategy decentralizes strategic operating decisions based on thestrategic business unit (SBU) in each market so that products are tailored to local market needsand preferences. These variations focus on a single market as the case with the Delta Faucetoperations in the Chinese market (Grigoriou, n.d). However, the strategy isolates a firm fromglobal competitive forces as it establishes protected market positions. Secondly, global strategyallows a firm to standardize its products across different markets as the competitive advantage iscreated by the home office. The strategy focuses on benefits of scale economies and improves afirm’s global reporting standards. However, the strategy presents challenges since attempts togain integration among the strategic business units leads to management complication. Further,the strategy is less responsive to market opportunities and provides fewer effective learningopportunities since there is pressure to conform to home office standards. Thirdly, thetransnational strategy offers the benefits of both the multi-domestic and global strategies.Therefore, the strategy increases global efficiency and is responsive to local needs. Itsadvantages include flexibility in coordination, creation of a shared vision and individualcommitment due to an integrated network. However, it is costly to implement and seeks firms todifferentiate while at the same time customise products for all markets (Lecture 6).
FINAL REVISION6ReferenceGrigoriou, N. (n.d). “Delta Faucet: Global Entrepreneurship in an Emerging Market” MonashCollege-China