Wednesday, March 28, 2012

International Strategy


According to Kellogg’s website, one of it’s greatest competitive advantages is their global infrastructure. Kellogg’s expanded into new geographies in its early years, which has led them to be a successful global business. Their products are manufactured in 18 different countries and sold in more than 180 countries worldwide. A list of countries can be found at this link for their website.  http://www.kelloggcompany.com/company.aspx?id=38

I think their strategic focus was to increase the size of potential markets. Kellogg’s wanted their cereals and snacks to be located on shelves across the world because they knew and still know they have great products. I looked at the Kellogg’s website for South Africa to get an idea of what Kellogg’s has done there. They offer many of the same products, but much fewer than in the United States. Some of the cereals are the same, but the boxes have different images on them. These two things have led me to conclude that Kellogg’s uses a multi-domestic strategy because they adopt their products to the countries they are located in. For example, in South Africa they can buy Special K Bars Red Berries and I have never seen these on the shelves in South Dakota.   

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