GMS 522 Lecture Notes - Lecture 8: Twix, High Visibility, Rolex

• School: Ryerson University
• Department: Global Management Studies
• Course: GMS 522
• Professor: Carlyle Farrell

Document Summary

A complex combination of tangible and intangible elements that distinguishes it (the product) from the other entities in the marketplace. I(cid:374) i(cid:374)te(cid:396)(cid:374)atio(cid:374)al (cid:373)a(cid:396)kets so(cid:373)e p(cid:396)odu(cid:272)t (cid:373)odifi(cid:272)atio(cid:374) is usuall(cid:455) (cid:374)e(cid:272)essa(cid:396)(cid:455) . Options available to the firm depend on whether customer segments are homogeneous or heterogeneous. It heterogeneous then a different product for each region (multi-domestic) or add country-specific product features on a common global platform (mass customization e. g. vaillant) Ma(cid:455) (cid:271)e a(cid:374) e(cid:448)e(cid:396)(cid:455)da(cid:455) p(cid:396)odu(cid:272)t that p(cid:396)o(cid:448)ides a(cid:374) oppo(cid:396)tu(cid:374)it(cid:455) to (cid:271)e (cid:272)(cid:396)eati(cid:448)e . Standardization selling the same product worldwide offers several advantages: cost savings in production (economies of scale, global customer segments may exist and can be targeted with a standardized product. Generally, some product changes are needed as standardization results in products that are off-target (e. g. do not appeal completely to any consumer market) Standardization also results in products which are not unique- firm forgoes the segment of the market that wants exclusivity.