Question

Which of the following situations is an example of geocentric orientation?

A) Marsha, CEO of QST Solutions, believes that top level executives at her company should be Americans to avoid any communication gaps.
B) The Gram Group of retail stores decided to open branches in China and focus on changing their policies to suit the Chinese population to maximize profits.
C) Derek, the VP of Banner Technologies, wants managers from the firm's India office to visit the U.S. branch to provide training to American officials visiting India.
D) Chill & Break Inc., an American global coffee company, is used to judging other cultures by the standards of its own culture.

Answer 1

The example of geocentric orientation is option B, wherein The Gram Group of retail stores customizes their policies for the Chinese market while expanding internationally, suggesting they use a mix of global and local strategies.

Step-by-step explanation:

An example of geocentric orientation in a business context is exhibited when a company adopts an integrated approach, mixing international practices with their own to cater optimally to local and global markets. Reviewing the provided scenarios, the situation exemplifying geocentric orientation is:

• (B) The Gram Group of retail stores decided to open branches in China and focus on changing their policies to suit the Chinese population to maximize profits.

This scenario shows an awareness and adaptability to the local Chinese market while maintaining a global business perspective, which is a hallmark of geocentric orientation. In contrast, options A, C, and D suggest either ethnocentric or polycentric orientations, focused on domestic superiority or adapting solely to host-nation practices, but not an integration of both as in geocentric orientation.