EP PRIN.OF OPERATIONS MGMT.-MYOMLAB
EP PRIN.OF OPERATIONS MGMT.-MYOMLAB
10th Edition
ISBN: 9780134183848
Author: HEIZER
Publisher: PEARSON CO
Question
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Chapter 2, Problem 13P
Summary Introduction

To determine: The strategy practiced by company BG.

Introduction:

Global firm:

A global firm will look at the market as one global market. It will have a centralized headquarters which will coordinate the overall operation.

Transnational firm:

A transnational firm will have a global market but with customization for the individual regional markets. The strategy will be customized for individual locations.

Multinational firm:

A multinational firm will have its assets and other facilities in at least one more country other than the home country of the firm.

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For expand its operations to different countries, Fuel Up Restaurant should adopt a Transnational Strategy. This approach combines elements of both global and multi domestic strategies, allowing the restaurant to achieve global efficiency while also catering to local tastes and preferences. Here's why Fuel Up should choose a Transnational Strategy: Global Efficiency: By standardizing certain processes and menu items across all locations, Fuel Up can benefit from economies of scale and streamline its operations. This includes utilizing centralized production facilities for bulk preparation of staple items, just-in-time inventory management, and technology integration for online ordering and payment. Local Adaptation: While maintaining global efficiency, a transnational strategy also allows Fuel Up to customize its offerings to suit local preferences and dietary habits in each new market. This could involve sourcing locally grown produce, adapting menu items to accommodate regional…
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