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Abstract

This study uses Hershey Foods Corporation as a case to demonstrate how to formulate global product strategy to penetrate growing international markets. In recent years, confectionery markets have been growing around the world. Hershey Foods Corporation, the North American confectionery leader, however, has been experiencing some setbacks in international expansion. This study uses the global strategy framework (Yip, 1992) to analyze the strategic position and resources of Hershey Foods Corporation, and to diagnose confectionery industry globalization potential. The focus of the study is the formulation of global product strategies for Hershey's future expansion into strategically important markets. Benefits and costs of a global product strategy and the organizational ability of Hershey Foods Corporation to implement a global product strategy are also evaluated.

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