1.What is the nature of Whirlpool’s domestic and international business environments? What types of risk does the firm face?
As far as Whirlpool domestic and international business and its environment are concerned, it resembles a complex nature. However, it would be prudent for the sake of this case and it analysis that domestic and international market of whirlpool is defined and analyzed uniquely, so as to drive home the idea in each one of it for a far reaching understanding. To be precise in that capacity we feel that the degree of whirlpool domestic market alone defines an altogether different nature from its international market. In the simplistic sense from assimilating the given case, it is relevant to ponder upon the fact that domestic market of whirlpool is rather marked with intensive competition and challenges when laid emphasis upon from a macro and micro-economic aspects. Whirlpool domestic market is also faced with intense demands of its buyers in the domestic arena. There is reason enough that buyers should be demanding, given the uproar and stiff competitions from rival manufacturers which makes it so. Moreover, for a firm with an international presence buyer’s expectation in the domestic market is also rather extreme to a certain degree, and their behavior based on whirlpool products and its allied appliances at the domestic front also presents an altogether diverse perception and wide array of choice selection, given the presence of other manufacturing competitors that offers similar products and appliances for buyers. Given these features, it is relevant and cautious to conclude that the nature of whirlpool domestic market is marked by competition, challenges and most notably buyer’s perception and choice, which at the end of the day decides the nature of any given market. Secondly, considering the nature of whirlpool international market, we are of the opinion that whirlpool international marketing is focused on the global arena to reaps and harness the benefits that international market offers. From the given case it is clear that international marketing of whirlpool is rather hyper-active in a sense. To cite an example, the case of its international marketing operation that focuses on innovations, internal expansion and most importantly acquisition and tie-ups plus partnership designate the point to note. Add to it, given the stiff competition on the domestic front, whirlpool is quick enough to shift and focused its marketing on international market. What we can drive home the idea from assimilating these crucial facts of whirlpool international market environment and its nature can be laid emphasis to the point that whirlpool presence thereof served a different and altogether greater purpose. To drive the idea in that regard we can reason finally that the nature and characteristics of its international market is more standardized, risky, and presents a great variations in the uncontrollable environmental forces, which is not the case with domestic environment. Consumer’s behavior is also different, which presents a different picture altogether. Nonetheless, to differentiate the nature of whirlpool domestic and international market the primary differences can be laid emphasis upon marketing strategy. After all, international market is more risky, given the added complexities. Yet returns and scope from international market is much higher and the opportunity cost is also huge, which is why we feel despite the environmental risks whirlpool radiantly prefers internationalization for an altogether different ball game
2. How can Whirlpool benefit from going international? What types of advantages can the firm obtain? What advantages acquired abroad can help management improve Whirlpool’s performance in its home market? Going international have many unseen extremes and benefits. Marketing internationally present a wide array of opportunities, variations, scope, operation and strategic...
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