Global and standardised
products
International products are those that are offered in
multinational or in regional markets. Global products are those which are
designed to meet the standards of the global markets. There are different
approaches that can be taken up to add new products to the product mix in
global markets. All depend on the firm’s competitiveness in the context of
global market
environment. Firms prefer to introduce new products to
stay in global markets. MNEs (Multinational enterprises) have different
approaches to develop global products. Though there is a slight difference
between the terms “global” and “international” products, they are often used interchangeably.
Companies with standardized products have strong
international brands and reputation, which enables them to establish a monopoly
over customer tastes and preferences. For example, Barbie is Barbie across the
world and Marlboro is Marlboro. Some of the top FMCG (fast moving consumer
goods) MNEs (multinational enterprises) have been able to capture the markets across
the world due to their ability to adapt their product offerings. Coca- Cola and
Pepsi are contrasting and classic examples for the same. Sometimes, a standardized
product may have strong brands. Levi’s Jeans is an example in this context. Standardized
products also help companies in creating international brands.