Question

Among ethno-centric, poly-centric, region-centric and geo-centric orientations, which orientations are most effective if MNCs decide to enter Malaysia market? Why? Explain your choice.

Answer 1

The most effective orientation here would be ethnocentric,

POLYCENTRIC: In this kind of approach company differentiates between domestic and abroad markets ie it analysis the market it is about to enter and make the strategy according to that particular country.

Why polycentric?

1. Though it is time consuming but also worth it because once you make the strategies according to the people , there itself you start with the profit. Once the strategies are made and analysis is done, you are aware of the requirement of the people and you can work accordingly.

2. It is also important because each and every country has different opinions and habits, for eg one country likes wearing traditional outfit but another country like wearing western, but if you manufacture the western clothes in the country where they prefer traditional, you are definitely going into loss.

So it becomes very important for you to analyse the markte first and then make strategy and plans according to that particular market.

3. For eg. Mcdonalds, they have different menus in different countries because not every country consume the same product, some might take chicken but some might not. So what is the fun of making chicken burgers if they are not consumed.

4.This kind of approach is good because the company following this approach can easily adapt itself to the maket in which it is working.