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Global product, localization, globalization

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1) How can financial decisions of an international subsidiary impact the profitability of an entire organization?

2) A) What is a global product?
B) Can any product or service be marketed globally?
Why or why not?

3) What factors support or impede the localization or globalization of products/services and promotion?

4) How do the 4 Ps of marketing differ in a global business environment?

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Global product, localization, globalization

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1) Financial decision of an international subsidiary impact the profitability of an entire organization because the financial statements of the subsidiary and the profit/loss generated from its operations are merged with the parent company's statements at the end of the year. Therefore, the operations of the international subsidiary is directly linked to the profitability of the parent company in the sense that the outflow/inflow of money of the subsidiary impacts the parent company and its operations.

2) A global product is one which can be marketed all over the world in different countries and different markets. The global product should be accepted all over the world in different markets competitively ...

Solution provided by:
Sandeep Bardia, MBA
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  • BCom, SGTB Khalsa College, University of Delhi
  • MBA, Rochester Institute of Technology
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