Regionalization involves targeting markets at a regional level rather than nationally, which seems contradictory to globalization. Reasons for regional marketing include needing more focused targeting and shifting from national advertising to local promotions. Drawbacks can include increased production challenges and costs. Global marketing allows companies to benefit from economies of scale, lower costs, uniform branding, and leveraging good ideas across markets. However, differences between consumer needs, behaviors, and legal environments in various countries require balancing standardized global programs with customized local approaches.

2.  Regionalization is an important recent trend
that, perhaps on the surface, seems to run
counter to globalization.
 Reasons for regional marketing
◦ Need for more focused targeting
◦ The shift from national advertising to sales
promotions
 Drawbacks
◦ Production headaches
◦ Marketing efficiency may suffer and costs may rise

5.  Perception of slow growth and increased
competition in domestic markets
 Belief in enhanced overseas growth and
profit opportunities
 Need to diversify risk

9.  Economies of scale in production and distribution
Primary advantages of global marketing program
are the manufacturing efficiencies and lower costs
that derive from higher volumes in production and
distribution.

10.  Lower marketing costs
Uniformity in Packaging, advertising,
promotion, and other marketing
communication activities.

11.  Power and scope
Brand is widely available may signal that the product
is high quality and convenient to use.

12.  Consistency in brand image
Maintaining a common marketing platform all over
the world helps to maintain the consistency of brand
and company image.

13.  Ability to leverage good ideas quickly and
efficiently
Marketers can leverage good ideas across markets as
long as the right knowledge transfer systems are put
into place.

14.  Uniformity of marketing practices
 A standardized global marketing program may
simplify coordination and provide greater control
of the way, the brand is being marketed in different
countries.

16.  Differences in consumer needs, wants, and
usage patterns for products:
◦ Differences in cultural values, economic development, and other
factors across nationalities, consumer behavior with respect to many
product category is fundamentally different.

17.  Differences in Consumer Response to
Marketing Mix Elements:
◦ Consumers in different parts of the world vary in
their attitude towards and opinions about
marketing activity.

18.  Differences in brand and product development
and the competitive environment
Products may be different stages of their cycle in
different countries. Moreover, the perceptions and
positions of particular brands may also differ
considerably across countries.

19.  Differences in the legal environment
One of the challenges in developing a global ad
campaign is the maze of constantly changing legal
restrictions that exist from country to country.

20. Standardization
vs.
Customization

21.  According to Levitt, because the world is
shrinking—due to leaps in technology,
communication, and so forth—well-
managed companies should shift their
emphasis from customizing items to
offering globally standardized products
that are advanced, functional, reliable, and
low priced for all.

22.  To build brand equity, it is often necessary
to create different marketing programs to
address different market segments.
 Identify differences in consumer behavior
◦ How they purchase and use products
◦ What they know and feel about brands
 Adjust branding program
◦ Choice of brand elements
◦ Nature of supporting marketing program

23.  To build customer-based brand equity,
marketers must:
◦ Establish breadth and depth of brand awareness
◦ Create points-of-parity and points-of-
difference
◦ Elicit positive, accessible brand responses
◦ Active brand relationships

24.  Understand similarities and differences in
the global branding landscape
 Don’t take shortcuts in brand building
 Establish marketing infrastructure
 Embrace integrated marketing
communications
 Cultivate brand partnerships
 Balance standardization and customization
 Balance global and local control
 Define operable guidelines