Apple is struggling in the Indian market. Some people argue that Apple should delegate power to...

Apple is struggling in the Indian market. Some people argue that Apple should delegate power to the local managers in Apple India so that they can develop and sell iPhones tailored to the preferences of Indian people. What do you think about this idea? Provide at least two advantages and two disadvantages of the approach you choose. Elaborate upon and justify your choice. Please watch the following video clip to get some information about this topic.

Expert Solution

Answer: I feel that it is a good idea as localization is an effective strategy that enables the firms to perform as per the expectations of the customers. Needs of customers in every nation are different and if the products of a company do not satisfy these local needs then they often fail in such markets no matter how much successful they are in the other parts of the World. Wal Mart failure in China is one such example. Therefore it is wise for Apple that it delegates powers to local managers so that new products that fit with the needs of the Indian customers are developed. This can make the company successful in India. The two advantages of this approach are

1. It helps in developing relevant products for the local markets that have better acceptability

2. It helps in developing brand reputation of the organization

The disadvantages include

1. It is costly to produce different types products in different nations

2. The central control of the company is lost and the subsidiaries become more powerful

keosha answered 4 months ago

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