Multidomestic Strategy

Multidomestic Strategy in International Trade

Meaning of Multidomestic Strategy, according to the Dictionary of International Trade (Global Negotiator): A multidomestic strategy is an international marketing approach that chooses to focus advertising and commercial efforts on the needs of a local market rather than taking a more universal or global approach. This means that companies employing this marketing strategy will seek to understand the culture of various local markets and tailor their entry into those markets based on the demographics of that area. With this approach, a great deal of effort is made to adapt advertising and presentation to appeal to local sensibilities, rather than using a mass market approach. In order for a multidomestic strategy to be successful, is it important to invest a great deal of research into the various localities where the products are actively marketed. This can often provide valuable insights into the nuances of the prevailing culture in an area, which leads to inspiration on how to present the products to best advantage. By taking the time to learn how to connect with consumers, it is possible to use the multidomestic strategy to create a wide range tactics that can be adapted to fit markets that share a lot of similarities, while still customizing the advertising and marketing efforts to match exactly with the local culture. While employing a multidomestic strategy can be somewhat costly on the front end, the effort can pay off in a big way. Assuming the products do in fact capture the attention and the loyalty of the local populace, those early efforts can yield returns over a number of years, possibly even decades. For this reason, any business seeking to become established and build a loyal client base in a number of different geographical areas will want to consider the potential of this particular marketing strategy. See global strategy.