Question

Describe why would some companies consider global branding while other companies prefer to have local brands

Answer 1

There are three types of globalisation strategies which a firm uses.
1. Multi-domestic strategy
2. Global strategy
3. Transnational strategy.

Which a firm uses multi- domestic strategy then it considers local branding instead of global Branding.
In multi- domestic strategy firms makes specific products for the country according to countries culture, liking and taste.
For Example: Xiaomi has made POCO F1 just for India. Taking Indian cousumer needs into consideration. In such a case company brands locally within India.

In a Global strategy then firm makes a product which suits the needs globally. It takes everyone needs into consideration and modifies little bit from country to country. It has same product name through out the globe so that it can easily be identified. In such a case a company brands locally. It has a huge target audience.

Ex: Apple has made iPhone 11 for the global audience. It brands iPhone 11 globally instead of locally.