With the further development of the economy, economic globalization has become the basic trend of world economic development, and the production and operation activities of all countries or regions will be integrated into the global economy. A unified, networked market system will be shaped around the world. However, there has long been a debate between standardization and localization for the choice of a commercial strategy by the transnational company. The former argues that in the enterprise standardization management strategy option, economy of scale and experience curve can be used for greater cost reduction, while the latter emphasizes that that the enterprise location management strategy to choose is to satisfy the requirements of various countries and regions. Cheon & Cho & Sutherland, 2007). In this essay we will discuss it. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”?Get the original essayStandardization as a regular practiceStandardization refers to the fact that a transnational corporation provides a unified product in a national, regional market or global (Theodosiou & Leonidou, 2003). In the case of other similarities, standardization will generally be retained. In addition, a company is more suitable to standardize all or part of its business strategy in the foreign market, since the adoption of this management strategy has the following advantages: obtaining economies of scale and making prices predominant. R&D and mass production of standardized products will contribute to the company's product development and research as well as the economy of scale arising from the manufacturing process (Moutinho & Chien, 2008). Achieving economies of scale will play a considerable role in reducing costs and lowering prices, making the company more competitive in global turf wars and its products more accredited to customers around the world (Moutinho and Chien , 2008). In case the company reduces costs and prices while improving quality synchronously, customers will prefer globally standardized products. These savings are not only reflected in production and R&D, but also in purchasing, distribution, promotion, advertising, logistics, etc. Additionally, planning and control can be improved and staff utilization can be maximized by being standardized, thereby creating economies of scale for management (Theodosiou & Leonidou, 2003). To shape a unified image and build a global brand. The company adopting standardized management designs a set of brand names and trademarks that do not conflict with local culture in most countries and regions for its products, through the development of unified and dominant product standards at world with advanced technology and excellent performance and efficiency (Washington, 1998). Communication media acceptable to most consumer groups are used for the dissemination and communication of information around the world through the sophisticated design of CI images. And customers are visually and acoustically galvanized and impressed by a unified, distinctive and unforgettable product brand image, thereby increasing their brand loyalty (Richard, 2016). Certainly, differences in consumer demand are not taken into account. standardization management strategy (Cheon & Cho & Sutherland, 2007). Regardless of their individual needs, she believes that a single identical demand can be found among all consumers and that segmentation of themarket, which can be very important for the company, is sidelined, which exposes the company to potential risks while providing economies of scale. After all, each consumer's demand is naturally different. Its fatal weakness lies in the inability of standardized management to meet the different needs of different consumers. Competitiveness of local differential business strategy Localization operation is the differential management strategy implemented by a transnational company based on the real situation of the place where the target market is located. By applying the differentiated strategy, it not only meets the specific needs of all local markets, but also maintains the company's differentiation competitive advantage and achieves profits (Haron, 2016). Compared to the standardized management strategy, the differentiated local business is specifically distinguished by: Its advantage of integrating into the local culture and better meeting the needs of local consumers. To a large extent, consumer behavior depends on culture as the unique spiritual wealth of a region and a particular historically determined value. On the one hand, localization idiosyncratically eliminated the differences between foreign cultures, in particular the estrangement formed by cultural diversities as well as the coercion and invasion of that culture (Cavusgi, 1996). On the other hand, business strategy is developed by localizing management according to the situation of different markets and actual consumer demand. This is not just about conforming to the consumer-oriented business philosophy, but also about making it more likely that changing market needs will be met (Cavusgi, 1996). These are contributions to the efficient allocation of global resources by the company. As a symbol of the enterprise strongly integrated with the local territory, localization can fully share the advantages of production and manufacturing costs in the local market and simultaneously make the most of the countries' capital, technology and human resources reception (Cavusgi, 1996). After allocating all kinds of resources around the world, the company will spend less on the total cost and increase the total profit, thus always occupying a large market share in an increasingly fierce market. Precise control of local market demand and acquisition of the local market. competitive advantage. Through the market indigenization strategy, multinational companies possess the ability to explore different markets. From a market perspective, business profit opportunities are all transferred with consumption demand in which there will definitely be potential business opportunities (Haron, 2016). For transnational corporations, the global market is subdivided based on country and all controlled companies are empowered to develop customized marketing plans based on consumer demand in each market. All actions and means are consistent with local needs and preferences so that business opportunities in all countries can be best exploited. However, local differential operation also has its own disadvantage. First, firms in which differential operations are advocated are less likely to become cost dominant (Viswanathan & Dickson, 2007). Since companies are required to carry out differential combinations of operations based on differentiated requirements, they fail in achieving the scale effect and in usinglocation advantages in product design and manufacturing. Second, differentiated local management can trigger cognitive brand biases. In different market segments, the company's distinct product positioning, pricing strategy, distribution strategy, and promotion model can obscure consumers' brand cognition (Aaker and Joachimsthaler, 1999). Ultimately, local differential functioning runs counter to coordinated corporate control at the global level (Ger, 1999). To implement differential operation, all branches are supposed to be allowed greater autonomy, which helps make the branches more creative but also presents them with a terrible dilemma of coordinated overall control. In this regard, the transnational corporation must take into account that global economic integration is underway and will ensure that strategic decisions extend on a global scale. But in the process of implementation and concrete operation, the differences between different regions are taken into account based on an analysis of the advantages and disadvantages of the two means, including standardization and localization. For multinational enterprises, standardized and localized management means are used in a general and synthetic manner, and the proportions of differentiation and standardization depend on the actual situation. Therefore, the concept of "Global Localization Management Strategy" arises, which is to call on the enterprise to achieve a dual operation between "Global Standardization Operation" and "Local Differentiated Management" under the strategic thinking of "Thinking globally and act locally.” ".The international market should be subdivided macroscopically, and all submarkets should be standardized. There are many countries and regions in the world, and the unique market demand of each country or region creates an independent submarket. Even though neglected market differences may lead to business failure, it is unlikely that the company will design a differentiated product and develop a business plan for all countries or regions to make it compromised and effective. it subdivides the international market at the macro level, that is, dividing the whole world into dozens of submarkets which include many countries or regions and have a fundamentally identical business environment according to a certain standard Considering the different characteristics. and needs of different submarkets, the company should adopt the differentiation management strategy but insist on a highly standardized strategy within each submarket (Zhang & Cantwell, 2013).2. Product standardization and promotion localization. Relatively speaking, the implementation of a standardized operation is unlikely in international business promotion, because there are huge gaps between the cultural backgrounds of all countries. Among the various business portfolio factors, promotion is one of the most sensitive to cultural differences. And discrepancies in the aspects of language and education, religion, aesthetics, advertising media and even government regulations make the company more inclined to a differentiated promotion strategy (Bustamante, 2011). In all countries, Coca-Cola drinks manifesting an overall image of happiness, good times and fun are positioned the same way, and they are uniquely formulated and wrapped in red and white. But when advertising internationally, the cultural differences of all countries must be taken into account. In a popular Coca-Cola Company advertisement, it shows Joan Gobinni, a football player.