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BIC

Define global strategy:A global corporation views the world As a single marketplace and has as its primarygoal the creation of a standardized goods and services that will address The needs ofcustomers worldwide. The global strategy is almost the exact opposite of the multidomestic strategy. Whereas The multidomestic firms believes that its customersin every country are fundamentally different and must be approached from Thatperspective, a global corporation Assumes that customers are fundamentally the sameregardless of their nationalities

How does BIC’s matrix structure enable it to Target geographic markets more effectivelyBy using geographical area as one part of the Matrix, BIC is able to create a marketing mix that is both appropriate to a Global strategy and yet which enables individualisation to meet local needs. BIC thus operates in a multi-local way.

What are the benefits and drawbacks of a global Strategy that focuses on a relatively narrow range of core products?Focusing on core categories enables An organisation to build up a real strength in these lines – in marketing, Production, sales, etc. A company and its brand therefore becomes closely Associated with these lines. Economies of scale give the company a real Competitive advantage. The drawback is that should one of these categories Start to suffer, for example because of changing social and buying patterns, Then losses can be substantial. It makes sense therefore to concentrate on Categories that are growing in importance, or which consumers will always Require. It is then essential to create clear points of differentiation from Rivals and to offer customers better value for money.

BIC has to organise the marketing mix so that It is appropriate both to large and small scale retailers. How do they do this?BIC has to organise the marketing mix so that it is appropriate both to Large and small scale retailers. For example, this involves organising the Logistics of distribution to deliver small quantities of the product to kiosks, And bulk supplies to large supermarkets. Different promotional support is Required for different sellers. Supermarkets will be able to buy at much lower Prices because of their bulk purchasing. However, it is also essential to Supply kiosks in such a way that they can be profitable.ENTERPRISE

Explain the difference between organic and Inorganic growthOrganic Growth comes from expanding your organization´s output and by engaging in internal Activities that increase revenue. Inorganic growth comers from mergers, Acquisitions and joint ventures.

Explain the four strategies in Ansoff’s matrixThis matrix suggests four Alternative marketing strategies:a) Market penetration - involves selling more Established products into existing markets, often by increased promotion or Price reductions or better routes to market, for example online.B) Product development - involves Developing new products or services and placing them into existing markets.C) Market development - entails taking existing products or services and selling Them in new markets.D) Diversification - involves developing new products and Putting them into new markets at the same time.

Discuss pros and cons of diversification as a Growth strategy. Use examples from the case study to help. It is more risky than other growth Strategies and also requires a bigger knowledge and investment FE, when enterprise invested in Mexican chili products, it finally had to sell it because It didn´t gave any profit.