Question

Feel Good Inc. is a multinational sports goods manufacturer that uses a different strategy in each of its subsidiaries and operations. Moreover, all decision making is decentralized, which leaves the company open for the threat of opportunistic behavior. Since expatriate managers do not rely on headquarters expertise, there is also a great imbalance in transference of information and specialized knowledge. In the context of the four intemational strategies proposed by Bartlett and Goshal, Feel Good Inc. uses the ___.

a. global strategy
b. multidomestic strategy
c. universal strategy
d. international strategy

Answer 1

The correct answer is letter "B": Multi domestic strategy.

Step-by-step explanation:

The Bartlett & Ghoshal Matrix (1989) proposes there are four (4) strategies companies could use to make international businesses: Multi domestic, Global, Transnational and International. The Multi domestic strategy implies having a presence in different countries by adapting the product or service offered to the region. This strategy is characterized by low integration between subsidiaries and decisions are taken by the decentralized subsidiaries on their own.