Cost will play a big role in the differences that the R&D firm might have to take care of. The reason for this is because since they are a global company they have to spend the money to understand how each market reacts to different types of products. This results in them performing surveys and generating data which will cost a lot of money compared to them only doing this for one country (locally) where they already understand and are familiar with the market. Another large difference is the fact that they will have to perform a balance between creativity and discipline in the sense that each market will be different and they will respond differently to different amounts of creativity. For example, the German market might respond positively to products that are very simple and long lasting while the American market might respond negatively to a product of that nature.
These differences will be considerably different when comparing two different firms like a British one and a Japanese one. The reason for this is because the Japanese have more of a stricter culture and this is instilled into their work environment. This results in them spending less money on R&D to generate new ideas. The British on the other hand would welcome new ideas into their market since their culture isn’t as strict as the Japanese. The Japanese are the type that would be focused more on discipline and the British would be focused more on creativity, but neither would be wrong in what they are doing since it is all based on how their consumers prefer their products. This strategy for both firms, although are complete opposites, would yield the highest return for their specific market due to the way that each market reacts to creativity. [continues]
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