Case Study Analysis: International Business Strategy Failures

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Case Study
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This case study examines the international business failures of Taco Bell in Dubai, Dunkin' Donuts in India, and Tesco in the USA. The analysis explores the reasons behind these failures, including issues with local taste preferences, brand recognition, high operational costs, and inadequate localization strategies. The study then proposes strategies for revival, such as adapting to local consumer behavior, focusing on core products, and implementing international, transitional, and localization strategies. The conclusion highlights the importance of understanding market-specific factors and adapting business strategies for successful international expansion. The assignment focuses on the application of international business strategies to address failures and improve future performance.
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Case Study
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Introduction
The paper focus on three different companies and their failure in three different countries.
Why TACOBELL failed in Dubai?
The first problem with was with the local taste buds, and there is 0.14 per cent of the UAE’s
Food sales were the Latin Americans. The company also lacked international brand recognition
in comparison to KFC and the Pizza Hut. The menu of the company is not appealable to other
people in comparison to KFC and Pizza Hut. Both the companies launched before Taco Bell.
The third factor is the physical factor layout in the business.
What strategies TACOBELL should do to revive its businesses in
UAE?
Global standardization strategy: Taco bell can use standard marketing internationally, and it can
use a unified strategy from one country to the other.
Transitional Strategies: During the transitional phase the organization can use this strategy to
support the individuals and routines (Armstrong et al. 2018).
International Strategy: the firm must use this strategy to acquire the outlets at strategic places to
attain the objective .
Localization strategy: The company must address the customer behaviour and purchasing habit
of the people of Dubai.
Why Donkin Donuts failed in India?
The consumer preference in India was different as Indians does not believe in the garb
and go breakfast concept of the chain. The menu option did not appeal to the Indian as it was
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2CASE STUDY
more of a sweet, and this is something the population would splurge on. Secondly, it diluted the
image of his own company by introducing to the burgers chain. The most important problem was
the high operational cost as the company expanded faster.
What strategies Dunkin Donuts should do to revive its sales, profit
and growth in Indian Markets? Your opinion
The company should firstly follow the International strategy and instead of focusing on
burgers and the vegetarian product it should promote on its iconic doughnuts and promote those
in the subcontinent (Feng et al. 2018). The company should also focus on the translational
strategy, and instead of expanding fast and getting high infrastructure stores, it can set off the
kiosk in the subcontinent. This will not only reduce the operational cost of the company but also
stabilize the product in the Indian market.
Why TESCO failed in USA?
It seems that’s it would have been better for the organization to open up in the
metropolitan cities and the larger cities. Their model would have been better if it was intertwined
with the lifestyle of the New Yorker. Their strategy was somewhat similar to that of the United
Kingdom, especially London. Therefore, it is suggested that the country if it was beginning with
the East Coast it would have been successful in the country.
What strategies TESCO should do to revive its businesses in USA?
TESCO could have used the localization strategy in the USA and address the customer
behaviour, purchasing habits as well as the cultural difference the Americans have had with the
Britishers it actually followed the same strategy and failed in the US market (Baker, 2014). The
company should have adopted the content product of the market, which was specific as
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3CASE STUDY
consumer behaviour is different in both of these countries. It is difficult for a foreign company to
offer the same experience as they are comfortable with.
Conclusion
The following discussion concludes how the three respective companies have failed.
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References
Armstrong, G. M., Kotler, P., Harker, M. J., & Brennan, R. (2018). Marketing: an introduction.
Pearson UK.
Baker, M. J. (2014). Marketing strategy and management. Macmillan International Higher
Education.
Feng, Z. H., Kittler, J., Awais, M., Huber, P., & Wu, X. J. (2018). Wing loss for robust facial
landmark localisation with convolutional neural networks. In Proceedings of the IEEE
Conference on Computer Vision and Pattern Recognition (pp. 2235-2245).
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