Discussion Question

 Assuming you are the new director of the South Asia region for Dunkin Donuts (India, Pakistan, Bangladesh, Sri Lanka, Nepal and Bhutan, Afghanistan and Maldives). Select two countries from this list and recommend donut flavors that would resonate with the group. Provide rationale to support your reasoning.

  • From the e-Activity, examine two (2) instances when multinational companies have used offensive or defensive competitive strategies. Determine the major advantages that global companies would have over domestic competitors in sustaining competitive advantage as a result of using offensive or defensive competitive strategies

Reply to classmate:

 Please respond to Trina

  • Assuming you are the new director of the South Asia region for Dunkin Donuts (India, Pakistan, Bangladesh, Sri Lanka, Nepal and Bhutan, Afghanistan and Maldives). Select two countries from this list and recommend donut flavors that would resonate with the group. Provide rationale to support your reasoning.
  • From the e-Activity, examine two (2) instances when multinational companies have used offensive or defensive competitive strategies. Determine the major advantages that global companies would have over domestic competitors in sustaining competitive advantage as a result of using offensive or defensive competitive strategies

As the director of India and Pakistan some recommended donut flavors that I would market to increase sales and brand for Dunkin donuts would be common to spices and flavors that they normally use everyday.  Indian food uses a vast array of spices including cardamom, cassia bark, curry, nutmeg and mace.  I would use donut flavors such as Spiced Cardamom, Saffron Cream, and infuse fruits such as mango and other spices such as Curry or ChickPea.  In Pakistan some of the spices are influenced by India and included raisins, nuts such as pistachios and almonds, and creams and sweet milk.  They also use many dessert sauces.  Some flavors I would use is Almond and Raisin Spice, and Caramel Cream.  These flavors would provide texture as well as more sweetness which is popular.  Offensive business strategies include direct head-to-head competition and normally come in the form of price wars or highlighting quality differences.  Defensive business strategies would be used to block competitors by commonly adding incentives, announcing product innovations, company expansion and other methods to hold on the what you have using competitive advantages.  Two instances when multinational companies have used offensive or defensive competitive strategies would be Dunkin Donuts offensive strategy directly targeting Starbucks.  Both companies rose to create a local-in-feel artisanal shops that competed for market share with McDonald’s and other competitors. In 2006 Dunkin Donuts went head to head with Starbucks poking fun at its relatively upscale competitor via a commercial that found coffee drinkers struggling to order their brew from a menu written in “Fritalian.”  Another example would be Walmart attempting to retain its customers by updating its offerings to meet customer preferences and tastes rather than further slashing prices.  Counter-Parrying is also a strategy where companies respond to an attack in their own market from a foreign competitor by moving into the competitor’s home market.  Goodyear is an example of this when in response to Michelin in North America, they began marketing in Europe.  Major advantages that global companies have over domestic organizations in using offensive or defensive competitive strategies would be global companies can eliminate rivals and gain market share by acquiring or purchasing a company in a foreign market that already has an established position with geographic coverage and established relationships.  It can greatly increase a company’s bottom line.  Global companies can also pursue unoccupied markets or countries that have been ignored by the rest of the industry.  Sometimes the first company into a market gains a position which later entrants cannot dislodge.  Global companies can also benefit over domestic companies through exclusion.  Global firms have the advantage of having exclusive supplier relationships and can block access of rivals to the best suppliers, sources or partners.