Explain the meaning and the importance of a global mindset to international firms

A global mindset is a term that refers to a firm's ability to adapt in international markets with different cultures and its potential to maintain its effectiveness when dealing with individuals from different cultures.

A global mindset is important because it helps a company balance its operations and production effectiveness, especially through the inter-market segmentation structure, and prevent failure in international markets. An inter-market segmentation structure refers to consumer segments' formation based on consumer similarities, needs, and buying behaviors. With a global mindset, international firms can effectively understand and interact with these consumers, depending on their buying behavior and characteristics and serve them accordingly to satisfy their needs.

For example, in a place/area that believes ladies should not wear trousers, most preferable rural areas in undeveloped or developing countries. In such areas, a company that deals in the production of trousers may be forced to adjust and produce another type of clothing fit for the ladies in that area, maybe jean dresses and skirts.