ASSIGNMENT 1:

1. Coca-cola is called a global product. Does this mean that Coca-cola is formulated in the same way throughout the world? Discuss. (10 marks)

1. Identify and explain the four strategies that operations managers of international and multinational firms use to approach global opportunities. (10 marks)

1. Coca-cola is considered a global product company that practice transnational strategy. However, this does not necessarily mean it is formulated in the same way worldwide. Coca-Cola's basic formula is consistent, but there are variations in taste due to factors like local preferences, ingredient availability, and cultural differences. For example, in some countries, Coca-Cola might be sweeter or less carbonated to cater to local tastes. Additionally, ingredients might vary based on regional regulations and sourcing capabilities. The company adapts its formula to suit diverse consumer preferences while maintaining the core elements of the original product. Differentiation in taste that caters to preference of locals in different nation can enhance the response and have better reach of the product worldwide.

1. Operations managers of international and multinational firms employ four key strategies to approach global opportunities which include global, international, transnational and multidomestic strategies.

Global strategy is an approach that aims to streamline operations and products across different markets to achieve economies of scale. It involves producing and delivering a consistent product or service globally. Operations are centralized and the same products are marketed globally with minimal local customization.

International strategy is in which operations managers may leverage outsourcing and offshoring to access global opportunities. This involves contracting with suppliers or service providers in different countries to reduce costs or access specialized expertise. By leveraging the expertise and resources of local partners, international firms can navigate complex market landscapes, understand local regulations, and establish strong relationships with local stakeholders.

Transnational strategy combines elements of both standardization and localization. It seeks to balance global consistency with local adaptation, allowing companies to leverage global resources while being responsive to local conditions. For instance, an automotive manufacturer may standardize its core components while customizing certain features for specific markets.

Multidomestic strategy involves tailoring products or services to meet the specific needs and preferences of individual markets. It may include adapting flavors, sizes, or features to suit local tastes and cultural norms. This approach recognizes and respects cultural differences, allowing companies to effectively cater to diverse consumer demands. Examples are franchises or join venture companies.