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local responsiveness

Jeanne McNett


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Local responsiveness, also known as localization, is the willingness of firms to make adjustments to their products, services, and ways of conducting business at the local level, taking into consideration local culture and needs. Local responsiveness is at one end of the standardization spectrum. Although it is costly, local responsiveness is driven by consumer tastes and preferences, local, traditional business practices, distribution channels, and host government demands. Such customization may also be motivated by local content rules, local manufacturing and testing requirements, and threats of protectionism. It reduces the potential benefits to be gained from manufacturing a standardized product in the lowest cost location and then selling it globally, the basic approach to standardization. ( 1989 ). Managing Across Borders . Boston, MA : Harvard Business School Press . ( 2003 ). The need for a corporate global mindset . Sloan Management Review , 44 ( 2 ), 25 – 33 . ( 2003 ). Frameworks for global strategic analysis . Journal of Strategic Management Education . Dublin : Senate Hall Academic Publishing . ( 2002 ). Organizational dynamics and global integration: A perspective from subsidiary managers . Journal of International Management , 8 ( 2 ), 189 – 216 . ( 1987 ). The Multinational Mission . New York : Free Press . ( 1990 ). An empirical analysis ... log in or subscribe to read full text

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