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International Marketing
April 2025 Examination
Q1. What are your views on Foreign
Direct Investments FDI and FII and how do both impact our country? (10 Marks)
Ans
1.
Introduction
Foreign
Direct Investment (FDI) and Foreign Institutional Investment (FII) are two
crucial forms of foreign capital inflows that significantly influence a
nation's economic growth. While FDI involves long-term investment by foreign
entities in physical assets such as factories, technology, and infrastructure,
FII pertains to investments in financial assets like stocks and bonds,
typically in the short term.
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Q2. Many countries today are
promoting “Go Local “to promote Local consumption. What is your view on nations
promoting local production and how does it impact globalization? (10 Marks)
Ans
2.
Introduction
The
“Go Local” movement has gained significant traction in recent years as nations
emphasize local production to enhance self-reliance, boost domestic industries,
and preserve cultural identity. This approach, driven by economic and
environmental considerations, encourages consumers to prefer locally-produced
goods over imports. By promoting local production, countries aim to strengthen
their economies, reduce reliance on global supply chains, and create
opportunities for small and medium-sized enterprises (SMEs).
However,
this trend has implications for globalization, a phenomenon that thrives on
interconnected markets and the
Q3. Read the following case study
carefully and then answer the questions that follow: Your firm manufactures
Incense sticks also called Agarbatti, in India and desires to market them
globally. Although there is competition, you see that Mauritius has a huge
potential and plan to expand your company’s retail operations in Mauritius.
a) Discuss the market entry
strategy that you would recommend to launch your company products in
Mauritius. (5 Marks)
Ans 3a.
Introduction
Expanding
into the Mauritius market offers significant opportunities for incense stick
manufacturers, given the cultural and religious relevance of these products in
the region. The nation’s multicultural society, with a significant Hindu
population, creates a natural demand for incense sticks in religious
ceremonies, aromatherapy, and everyday use. However, entering a new market
requires careful planning to overcome competition and establish a strong brand
presence. An effective market entry strategy should focus on understanding
consumer preferences, establishing a
b) How does global pricing policies
help in launch of products. In your view which pricing policies do you think
would be appropriate while launching of Incense sticks in Mauritius? (5 Marks)
Ans
3b.
Introduction
Pricing
is a critical component of a successful product launch in international
markets. Effective pricing strategies align with consumer purchasing power,
market demand, and competition. In Mauritius, where incense sticks hold
cultural and spiritual value, a well-considered pricing policy can ensure
market penetration and profitability. Global pricing policies such as
cost-based pricing, competition-based pricing, and value-based pricing provide
frameworks to
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