Question

Explore the trade offs between centralized and decentralized international marketing research

Answer 1

Solution -

The Centralized Approach Controls Headquarters at Headquarters All search-specifications like focus, thrust and design are directed by the main office and are implemented to implement local country operations. Thereafter, the information gathered again was discussed at Headquarters. The same approach can be very valuable for the purpose of international marketing research strategy and implementation of the policy.

A decentralized approach requires the corporate headquarters to establish a detailed definition of research activities, and then, in specific countries, further design and implementation must be done. The entire research is conducted locally at the supervision of the local country and only the final report is provided to the headquarters. When the difference in international market is different, this approach has a special value because it allows for detailed changes in local circumstances. However, if the research activity on the basis of country-to-country basis is not necessary to implement, there may be lack of knowledge transfer, and lack of comparable absence.