BUS 485 Topic 6 DQ 1

An international strategy can take many forms. Explain what a global strategy is and how is it different from a multi-domestic strategy. What are the traditional and emerging reasons/motives that firms expand internationally?

“Global Strategy’ is a shortened term that covers three areas: global, multinational and international strategies. Essentially, these three areas refer to those strategies designed to enable an organisation to achieve its objective of international expansion.(Richard Lynch 2014)

Ultimately companies choose to expand internationally because of better opportunities, product life cycle, or to pursue a larger economy of scale.

A multi domestic strategy uses different plans, products, or services for different areas of global business. For example I am aware that in America McDonalds sell pork related items in its menu regularly, however in the Middle East they do not have any pork items for sell on the menus. Many other companies change or alter their offerings in such ways as to increase sales in specific regions based on that regions needs or desires.

Ch, I. (2014). What is global strategy? And why is it important? Retrieved July 20, 2016, from http://www.global-strategy.net/what-is-global-strategy/