Final answer:
A flexible production line used by an appliance manufacturer for customizing refrigerators for various international consumer preferences is a diversification global strategy. This approach is part of the trend of splitting up the value chain, allowing specialization and adaptation to local markets.
Step-by-step explanation:
An appliance manufacturer that uses a flexible production line to customize its refrigerators for the different preferences of consumers in several different nations is employing a diversification global strategy. This strategy allows for the adaptation of products to meet the varied needs of consumers in different markets. It involves tailoring products like refrigerators to suit local preferences, which might include different sizes, styles, or functionalities that are preferred in different countries.
The trend of splitting up the value chain is quite relevant to this discussion, as it describes how goods are produced in various stages across different locations. This approach enables companies to specialize in certain parts of the production process, leveraging economies of scale and local expertise, leading to efficient production and potential innovation benefits.
In contrasting with other strategies, diversification here does not mean creating completely different lines of businesses, but rather offering variations of a core product, the refrigerator, to appeal to different market segments globally. This contrasts with a deepening strategy which would involve going further into a specific market with the same product line, or a development strategy which focuses on enhancing the company's capabilities and resources.