The document discusses various topics related to branding and product decisions in global marketing, including:
1. It defines what brands and products are, and discusses factors like brand equity, local vs global brands, and strategic alternatives for product development in different markets.
2. It also covers topics like new product development, testing products globally, and challenges in building a global brand.
3. Finally, the document provides questions companies should consider when seeking to develop a global brand and strategies for choosing the right approach in different country markets.
This document provides an overview of branding and product decisions in global marketing. It discusses key concepts like brands, brand equity, local vs global brands, and product design considerations. It also outlines various strategic alternatives companies can take to extend their brands and products globally, such as extension, adaptation, or creation. Overall, the document emphasizes that while global brands allow companies to leverage their reputation worldwide, companies must also understand local customer needs and adapt their products accordingly in different country markets.
This document discusses factors that shape competition and competitive advantage at the industry and national levels. It covers Michael Porter's five forces model of competition and ways for companies to achieve competitive advantage through low cost strategies, product differentiation, focus strategies, or changing industry rules. It also examines how national factor conditions, demand, related industries, and firm strategy/rivalry can influence competitive advantage. Overall it provides an overview of analyzing competition and developing strategies for gaining an edge over competitors.
This document provides an overview of global marketing communications decisions regarding advertising and public relations. It discusses key topics such as integrated marketing communications, global advertising approaches and challenges, advertising agencies and spending, creating global advertising campaigns, and the role of public relations internationally. The document aims to define important concepts, compare standardization versus adaptation strategies, examine cultural considerations, and explore best practices for selecting media and crafting effective communications across borders.
This document discusses various global market entry strategies available to companies, including licensing, joint ventures, foreign direct investment, and strategic alliances. It provides examples of major companies that have used each strategy, such as Starbucks expanding globally through direct ownership, licensing, and franchising. The advantages and disadvantages of each strategy are outlined, with licensing providing a lower investment option but less control, while ownership allows more control but requires greater investment. Strategic partnerships are described as involving independent companies that share benefits and control over assigned tasks through ongoing collaboration. Success requires a joint long-term strategy and reciprocal relationship between partners.
This document discusses various concepts and strategies for global pricing decisions. It begins by outlining key concepts like the law of one price and different pricing objectives and strategies such as market skimming, penetration pricing, and companion product pricing. It then covers considerations for pricing goods that cross borders, factors that influence global prices like costs, competition and regulations, and alternatives for global pricing approaches. Other topics include gray markets, dumping, price fixing, transfer pricing, and countertrade.
This chapter discusses the digital revolution and its impact on global marketing. It describes key innovations like the transistor and silicon chip that enabled advancements in computing. Milestones included the creation of the Internet, email, web browsers, and search engines. The digital era saw industry convergence and the emergence of disruptive technologies. New products and services have since arisen, including e-commerce, smartphones, apps, mobile advertising, internet phones, and e-books.
The document discusses factors that influence the rate of adoption of new products in foreign markets. It notes that products successful in one country may be perceived as innovative in another country. The degree of perceived newness, a product's attributes, and how information about the product is communicated can all impact consumer reaction and the time needed for acceptance. Understanding diffusion of innovations theory may allow marketers to better predict acceptance rates and potentially accelerate acceptance through marketing strategies that minimize perceived newness or resistance.
This document discusses key considerations for creating products and brands for global markets. It covers three main areas:
1) Product components including core, packaging, and support services components. The core component includes functional and design features while packaging includes elements like price, quality, and styling.
2) Factors influencing whether to standardize or adapt products globally including product lifecycle stage, regulations, cultural differences, and product innovativeness. Both approaches have benefits like lower costs for standardization but better market penetration for adaptation.
3) Brand strategies like developing global, national, or private brands. Key brand decisions involve the brand name and developing brand equity through awareness, image, and associations. Packaging and labeling also require adaptations
This document provides an overview of branding and product decisions in global marketing. It discusses key concepts like brands, brand equity, local vs global brands, and product design considerations. It also outlines various strategic alternatives companies can take to extend their brands and products globally, such as extension, adaptation, or creation. Overall, the document emphasizes that while global brands allow companies to leverage their reputation worldwide, companies must also understand local customer needs and adapt their products accordingly in different country markets.
This document discusses factors that shape competition and competitive advantage at the industry and national levels. It covers Michael Porter's five forces model of competition and ways for companies to achieve competitive advantage through low cost strategies, product differentiation, focus strategies, or changing industry rules. It also examines how national factor conditions, demand, related industries, and firm strategy/rivalry can influence competitive advantage. Overall it provides an overview of analyzing competition and developing strategies for gaining an edge over competitors.
This document provides an overview of global marketing communications decisions regarding advertising and public relations. It discusses key topics such as integrated marketing communications, global advertising approaches and challenges, advertising agencies and spending, creating global advertising campaigns, and the role of public relations internationally. The document aims to define important concepts, compare standardization versus adaptation strategies, examine cultural considerations, and explore best practices for selecting media and crafting effective communications across borders.
This document discusses various global market entry strategies available to companies, including licensing, joint ventures, foreign direct investment, and strategic alliances. It provides examples of major companies that have used each strategy, such as Starbucks expanding globally through direct ownership, licensing, and franchising. The advantages and disadvantages of each strategy are outlined, with licensing providing a lower investment option but less control, while ownership allows more control but requires greater investment. Strategic partnerships are described as involving independent companies that share benefits and control over assigned tasks through ongoing collaboration. Success requires a joint long-term strategy and reciprocal relationship between partners.
This document discusses various concepts and strategies for global pricing decisions. It begins by outlining key concepts like the law of one price and different pricing objectives and strategies such as market skimming, penetration pricing, and companion product pricing. It then covers considerations for pricing goods that cross borders, factors that influence global prices like costs, competition and regulations, and alternatives for global pricing approaches. Other topics include gray markets, dumping, price fixing, transfer pricing, and countertrade.
This chapter discusses the digital revolution and its impact on global marketing. It describes key innovations like the transistor and silicon chip that enabled advancements in computing. Milestones included the creation of the Internet, email, web browsers, and search engines. The digital era saw industry convergence and the emergence of disruptive technologies. New products and services have since arisen, including e-commerce, smartphones, apps, mobile advertising, internet phones, and e-books.
The document discusses factors that influence the rate of adoption of new products in foreign markets. It notes that products successful in one country may be perceived as innovative in another country. The degree of perceived newness, a product's attributes, and how information about the product is communicated can all impact consumer reaction and the time needed for acceptance. Understanding diffusion of innovations theory may allow marketers to better predict acceptance rates and potentially accelerate acceptance through marketing strategies that minimize perceived newness or resistance.
This document discusses key considerations for creating products and brands for global markets. It covers three main areas:
1) Product components including core, packaging, and support services components. The core component includes functional and design features while packaging includes elements like price, quality, and styling.
2) Factors influencing whether to standardize or adapt products globally including product lifecycle stage, regulations, cultural differences, and product innovativeness. Both approaches have benefits like lower costs for standardization but better market penetration for adaptation.
3) Brand strategies like developing global, national, or private brands. Key brand decisions involve the brand name and developing brand equity through awareness, image, and associations. Packaging and labeling also require adaptations
Global products aim to standardize core features while localizing additional elements to suit local tastes. While standardization enables economies of scale, it risks poor positioning if market research is insufficient. Successful global brands require balancing global management with localization. New global products depend on replicating key success factors across markets through commitment and synergy with existing brands.
This chapter discusses marketing channels and physical distribution. It defines channel objectives as creating utility for customers through place, time, form, and information utility. Distribution channels are made up of firms that add utility through physical flow of goods. Key channel members are distributors and agents. The chapter also covers consumer and industrial product channels, establishing direct and indirect channels, working with intermediaries, and global retailing strategies and challenges. It defines supply chain, logistics, and discusses physical distribution and transportation. The chapter concludes with a comparison of US and Japanese distribution channels for automobile parts.
In international marketing, the marketers are required to come up with a decision as to whether they are going to standardize the product or to modify the existing products which is one of the challenging decisions that they have to make. And this decision can make impacts on the organization in terms of the Research and development expenses, finance, production, organization structure, procurement, marketing mix etc. And the decision as to which to choose depending on the attitudes towards the different cultures. So in this article, we are going to cover these two concepts so that you can have an idea about the two concepts in depth.
This marketing plan summary outlines BREF's strategy to strengthen its position as an all-purpose cleaner brand. It analyzes the market and competitive landscape, identifies customer needs like cost-effectiveness and environmental protection. The plan discusses leveraging BREF's quality and experience through repositioning and an integrated marketing communications approach using traditional and unconventional channels. Pricing will be segmented and promotions will target improving brand awareness and loyalty through both traditional and new ideas. The overall goal is to increase market share by addressing customer concerns and gaining an advantage over competitors.
The document discusses Henkel's strategy to increase market share in Southern European markets like Italy and Spain. It recommends localizing branding and product features to better satisfy local consumer preferences over the next 5 years. This will boost revenues by 20% in Italy and 50% in Spain by catering to local tastes rather than standardizing globally like competitors. The strategy emphasizes differentiating products through localization instead of focusing only on cost reduction through standardization.
International Marketing - Global Product Strategiesstevetalks81
The document discusses several factors that companies must consider when standardizing or adapting products for global markets. It provides examples of how products needed to be modified for different climates, infrastructure conditions, cultural preferences, sizes and dimensions based on local needs, costs and prices, performance expectations, standards and regulations, packaging and labeling requirements, and warranty/service support across countries. Standardization aims to benefit from economies of scale while adaptation ensures products meet local customer requirements and tastes. Both approaches require careful evaluation of tradeoffs.
Chapter 5 Developing the Global Vision 2014Earlene McNair
The document discusses various aspects of developing a global vision and global marketing strategies. It begins by outlining the importance of global marketing and the impact of multinational firms on the world economy. It then describes the external environment facing global marketers, including factors like culture, economic development, politics, and demographics. The document also identifies different ways for companies to enter the global marketplace, such as exporting, licensing, and direct investment. Finally, it lists the basic elements of the global marketing mix, including product, price, place, promotion, and how these elements need to be adapted for different international markets.
This chapter discusses managing international product lines, combating product piracy, dealing with country of origin stereotypes, and branding strategies. It also addresses the challenges and opportunities in global service marketing. Managing a multinational product line involves considerations of customer preferences, price points, competition and more. Combating piracy includes lobbying, legal action, and product policies. Country of origin perceptions can be addressed through product policies, pricing, distribution, and communication strategies. Global and local branding approaches are discussed.
The document discusses various elements of international product strategies, including standardization, adaptation, and invention. It analyzes factors for standardizing products globally versus adapting products for local markets. Additionally, it examines strategic alternatives for products and communications in international markets and considerations for choosing a standardization or adaptation approach.
The document discusses factors that influence international marketing communication decisions. It provides examples of how culture, language, and education can impact whether communication strategies and messages need to be standardized or adapted for different global markets. Culture is a major factor, as messages that work well domestically may be misunderstood abroad due to differences in cultural norms and traditions. Language translation errors can also undermine communication if the translated text conveys an unintended meaning. Education levels affect the appropriate tools and content, as markets with lower literacy may respond better to visual versus written messages. Standardizing communication ignores these important factors that shape customer understanding in global contexts.
To what extent must a company adapt its products and marketing program to eac...Sameer mathur
This document discusses strategies for adapting products and marketing to foreign countries. There are two main strategies - a standardized program that is low-cost but ignores cultural differences, and an adapted program that caters to each market individually. When adapting, companies must consider factors like product features, branding, packaging, advertising, and pricing for each country. For products, companies can pursue standardization, customization, or brand element adaptation. Global communication should adapt the delivery method while keeping the core message consistent. Pricing strategies include uniform prices, market-based prices, managing transfer prices between subsidiaries, and preventing gray markets and counterfeiting. Distribution requires partnering with local channels that vary widely between countries.
The document discusses several topics related to marketing including product quality, market share, product line breadth, vertical integration, expenditures, marketing communication elements, new products, research and development expenditures, standardization vs adaptation, the 4Ps of marketing, and people, process and physical aspects. It provides information on how these topics relate to profitability and competitive advantage.
The document presents a marketing strategy presentation for a solar cell car company called 7998. It includes sections on an introduction, product overview, competitors, market position, value chain, corporate identity, marketing mix strategy, SWOT analysis and conclusion. The presentation outlines 7998's innovative solar cell car that has zero emissions, discusses target markets and competitors, and presents strategies for price, place, promotion, and an overall differentiated and focused marketing approach.
The document discusses various global competitive strategies that companies can employ, including platform strategies, network strategies, intermediary strategies, entrepreneur strategies, and investment strategies. It provides examples of how companies like Unilever, Nestle, and Amul have implemented these strategies globally and locally. The key takeaway is that coordinating competitive actions across borders is important for gaining global competitive advantage while achieving both standardization and customization.
The document discusses different global marketing strategies and the standardization versus localization of the marketing mix elements of product, price, promotion, and place. It describes four main strategies: 1) an ideal global strategy of marketing a standard product uniformly worldwide; 2) an ideal national strategy of locally adapting the marketing mix in each country; 3) a hybrid strategy that standardizes products but localizes other elements; and 4) another hybrid strategy that standardizes one key element like retail format but localizes other aspects like product offerings. The document emphasizes determining the appropriate level of standardization for each marketing mix element based on factors like product characteristics, regulations, culture, and competition in local markets.
The document discusses various aspects of developing and marketing products internationally, including standardized vs. adapted products, product classifications, new product development challenges, product screening and evaluation processes, product life cycles, and factors that influence product diffusion across countries. It notes that products are typically introduced and see most growth in developed markets before being exported to developing countries as they reach maturity, and that manufacturing may shift to developing nations for cheaper labor costs during later stages.
The document discusses the international marketing mix and whether companies should standardize or customize their approach across different markets. It covers the key elements of the marketing mix - product, place, price, and promotion. While standardization can reduce costs, customization may be necessary when consumer tastes and regulations vary significantly between countries. The document provides several examples of companies that have both standardized and customized their marketing mix internationally.
The document discusses international product policy and planning. It notes that a key decision for international marketing is whether to export the standard domestic product, adapt the domestic product to foreign markets, or develop new products for foreign customers. While standardization is more convenient, customer needs, competition, and legal factors often require product adaptation. The document outlines different levels of products from local to global and discusses strategies like product adaptation, invention, and standardization. It provides examples of how companies have adapted products for factors like culture, income levels, and regulations in foreign markets.
International marketing mix: global products and servicesluispachon
International marketing mix: global products and services takes into account what are the characteristics that companies must consider in order to satisfy the local customer's needs.
This chapter discusses product and brand decisions for international markets. It covers defining a company's product offering, including core benefits, expected products, and augmented products. The chapter also discusses different types of products, branding strategies, and adapting products versus standardizing them across markets. Key aspects that can be modified for different markets include product attributes, packaging, quality, positioning, and after-sale services. The chapter provides examples of companies that use global, international, local, and private label branding approaches.
Global products aim to standardize core features while localizing additional elements to suit local tastes. While standardization enables economies of scale, it risks poor positioning if market research is insufficient. Successful global brands require balancing global management with localization. New global products depend on replicating key success factors across markets through commitment and synergy with existing brands.
This chapter discusses marketing channels and physical distribution. It defines channel objectives as creating utility for customers through place, time, form, and information utility. Distribution channels are made up of firms that add utility through physical flow of goods. Key channel members are distributors and agents. The chapter also covers consumer and industrial product channels, establishing direct and indirect channels, working with intermediaries, and global retailing strategies and challenges. It defines supply chain, logistics, and discusses physical distribution and transportation. The chapter concludes with a comparison of US and Japanese distribution channels for automobile parts.
In international marketing, the marketers are required to come up with a decision as to whether they are going to standardize the product or to modify the existing products which is one of the challenging decisions that they have to make. And this decision can make impacts on the organization in terms of the Research and development expenses, finance, production, organization structure, procurement, marketing mix etc. And the decision as to which to choose depending on the attitudes towards the different cultures. So in this article, we are going to cover these two concepts so that you can have an idea about the two concepts in depth.
This marketing plan summary outlines BREF's strategy to strengthen its position as an all-purpose cleaner brand. It analyzes the market and competitive landscape, identifies customer needs like cost-effectiveness and environmental protection. The plan discusses leveraging BREF's quality and experience through repositioning and an integrated marketing communications approach using traditional and unconventional channels. Pricing will be segmented and promotions will target improving brand awareness and loyalty through both traditional and new ideas. The overall goal is to increase market share by addressing customer concerns and gaining an advantage over competitors.
The document discusses Henkel's strategy to increase market share in Southern European markets like Italy and Spain. It recommends localizing branding and product features to better satisfy local consumer preferences over the next 5 years. This will boost revenues by 20% in Italy and 50% in Spain by catering to local tastes rather than standardizing globally like competitors. The strategy emphasizes differentiating products through localization instead of focusing only on cost reduction through standardization.
International Marketing - Global Product Strategiesstevetalks81
The document discusses several factors that companies must consider when standardizing or adapting products for global markets. It provides examples of how products needed to be modified for different climates, infrastructure conditions, cultural preferences, sizes and dimensions based on local needs, costs and prices, performance expectations, standards and regulations, packaging and labeling requirements, and warranty/service support across countries. Standardization aims to benefit from economies of scale while adaptation ensures products meet local customer requirements and tastes. Both approaches require careful evaluation of tradeoffs.
Chapter 5 Developing the Global Vision 2014Earlene McNair
The document discusses various aspects of developing a global vision and global marketing strategies. It begins by outlining the importance of global marketing and the impact of multinational firms on the world economy. It then describes the external environment facing global marketers, including factors like culture, economic development, politics, and demographics. The document also identifies different ways for companies to enter the global marketplace, such as exporting, licensing, and direct investment. Finally, it lists the basic elements of the global marketing mix, including product, price, place, promotion, and how these elements need to be adapted for different international markets.
This chapter discusses managing international product lines, combating product piracy, dealing with country of origin stereotypes, and branding strategies. It also addresses the challenges and opportunities in global service marketing. Managing a multinational product line involves considerations of customer preferences, price points, competition and more. Combating piracy includes lobbying, legal action, and product policies. Country of origin perceptions can be addressed through product policies, pricing, distribution, and communication strategies. Global and local branding approaches are discussed.
The document discusses various elements of international product strategies, including standardization, adaptation, and invention. It analyzes factors for standardizing products globally versus adapting products for local markets. Additionally, it examines strategic alternatives for products and communications in international markets and considerations for choosing a standardization or adaptation approach.
The document discusses factors that influence international marketing communication decisions. It provides examples of how culture, language, and education can impact whether communication strategies and messages need to be standardized or adapted for different global markets. Culture is a major factor, as messages that work well domestically may be misunderstood abroad due to differences in cultural norms and traditions. Language translation errors can also undermine communication if the translated text conveys an unintended meaning. Education levels affect the appropriate tools and content, as markets with lower literacy may respond better to visual versus written messages. Standardizing communication ignores these important factors that shape customer understanding in global contexts.
To what extent must a company adapt its products and marketing program to eac...Sameer mathur
This document discusses strategies for adapting products and marketing to foreign countries. There are two main strategies - a standardized program that is low-cost but ignores cultural differences, and an adapted program that caters to each market individually. When adapting, companies must consider factors like product features, branding, packaging, advertising, and pricing for each country. For products, companies can pursue standardization, customization, or brand element adaptation. Global communication should adapt the delivery method while keeping the core message consistent. Pricing strategies include uniform prices, market-based prices, managing transfer prices between subsidiaries, and preventing gray markets and counterfeiting. Distribution requires partnering with local channels that vary widely between countries.
The document discusses several topics related to marketing including product quality, market share, product line breadth, vertical integration, expenditures, marketing communication elements, new products, research and development expenditures, standardization vs adaptation, the 4Ps of marketing, and people, process and physical aspects. It provides information on how these topics relate to profitability and competitive advantage.
The document presents a marketing strategy presentation for a solar cell car company called 7998. It includes sections on an introduction, product overview, competitors, market position, value chain, corporate identity, marketing mix strategy, SWOT analysis and conclusion. The presentation outlines 7998's innovative solar cell car that has zero emissions, discusses target markets and competitors, and presents strategies for price, place, promotion, and an overall differentiated and focused marketing approach.
The document discusses various global competitive strategies that companies can employ, including platform strategies, network strategies, intermediary strategies, entrepreneur strategies, and investment strategies. It provides examples of how companies like Unilever, Nestle, and Amul have implemented these strategies globally and locally. The key takeaway is that coordinating competitive actions across borders is important for gaining global competitive advantage while achieving both standardization and customization.
The document discusses different global marketing strategies and the standardization versus localization of the marketing mix elements of product, price, promotion, and place. It describes four main strategies: 1) an ideal global strategy of marketing a standard product uniformly worldwide; 2) an ideal national strategy of locally adapting the marketing mix in each country; 3) a hybrid strategy that standardizes products but localizes other elements; and 4) another hybrid strategy that standardizes one key element like retail format but localizes other aspects like product offerings. The document emphasizes determining the appropriate level of standardization for each marketing mix element based on factors like product characteristics, regulations, culture, and competition in local markets.
The document discusses various aspects of developing and marketing products internationally, including standardized vs. adapted products, product classifications, new product development challenges, product screening and evaluation processes, product life cycles, and factors that influence product diffusion across countries. It notes that products are typically introduced and see most growth in developed markets before being exported to developing countries as they reach maturity, and that manufacturing may shift to developing nations for cheaper labor costs during later stages.
The document discusses the international marketing mix and whether companies should standardize or customize their approach across different markets. It covers the key elements of the marketing mix - product, place, price, and promotion. While standardization can reduce costs, customization may be necessary when consumer tastes and regulations vary significantly between countries. The document provides several examples of companies that have both standardized and customized their marketing mix internationally.
The document discusses international product policy and planning. It notes that a key decision for international marketing is whether to export the standard domestic product, adapt the domestic product to foreign markets, or develop new products for foreign customers. While standardization is more convenient, customer needs, competition, and legal factors often require product adaptation. The document outlines different levels of products from local to global and discusses strategies like product adaptation, invention, and standardization. It provides examples of how companies have adapted products for factors like culture, income levels, and regulations in foreign markets.
International marketing mix: global products and servicesluispachon
International marketing mix: global products and services takes into account what are the characteristics that companies must consider in order to satisfy the local customer's needs.
This chapter discusses product and brand decisions for international markets. It covers defining a company's product offering, including core benefits, expected products, and augmented products. The chapter also discusses different types of products, branding strategies, and adapting products versus standardizing them across markets. Key aspects that can be modified for different markets include product attributes, packaging, quality, positioning, and after-sale services. The chapter provides examples of companies that use global, international, local, and private label branding approaches.
The document discusses various product and branding decisions for international markets. It covers defining a company's product offering, the concept of products versus services and rights. It also discusses adapting products to local markets through attributes, packaging or positioning versus standardizing products across markets. Branding strategies like developing global versus local brands are also examined.
Product policy and adaptation in international marketsChDaliaCulbertson719
Product policy and adaptation in international markets
Chapter 9
1
Learning objectives
Explain the different approaches to creating product offerings.
Discuss various market-related differences in international markets.
Describe the characteristics of a product.
Engage with the company considerations in offering a product in the international marketplace.
Evaluate strategies to combat against counterfeiting.
2
Product variables
Tangible and intangible
The core product: the main benefit?
Augmented features:
Differentiation
Positioning
Augmented product i.e. installation, delivery and warranty
Core (or generic) product –solves the problem
core benefit consumers are seeking (car – transport, food to feel full / satiated)
Actual product – the buyer’s most basic expectations
differences between sellers start to appear at this level
i- quality level, features, styling, brand name, packaging
Augmented product – a bundle of benefits that the buyer may not expect – adds value
differentiates the market offering from its competitors
may not always be wanted by price-sensitive consumers. Augmented product; for example, installation, delivery and warranty
3
4
Standardisation versus adaptation
Four basic alternative approaches to product modifications:
no change
modify for different countries or regions
design new products for foreign markets
incorporate all the differences into one product and introduce it globally
5
Factors affecting adaptation
The market(s) that have been targeted
The products and its characteristics
Company characteristics (resources and policy)
The majority of the products have to be modified for the international marketplace
Mandatory versus discretionary adaption
6
Factors affecting
product-adaptation decisions
7
Other factors affecting adaptation
Assessment as a function of time and market involvement
Export learning leads to greater standardisation
8
Ikea – standardises most of its products
International marketing, Czinkota et al. Asia Pacific Edition
IKEA is an example of a firm that standardizes most of its products but leaving some decisions to local managers. Almost 90% of the product line is identical across many different countries. However, IKEA modifies some furniture offerings to suit tastes in individual countries. An overall, standardized marketing plan is centrally developed at the firm’s headquarters in Sweden,
but is implemented with local adjustments. Management decentralizes some decision-making to local store managers (i.e., product displays, advertising in local language).
Source: Cavusgil. International Business. Pearson
9
Whirlpool standardizes most of its products
12-10
10
Factors affecting adaptation
Standardisation results in production and marketing cost savings.
Other approaches include building adaptation around a standardised core.
11
Platform – example
12
time
...
The product is the most important element of the marketing mix. It refers to anything offered in a market to satisfy a want or need, including physical goods, services, experiences, places, organizations, and ideas. There are several factors to consider when developing products for international markets, such as product life cycle stage, objectives, coordination between parent and foreign subsidiaries, and degree of standardization versus adaptation required. Product positioning involves creating an image or identity for a product in the target market's mind through promotional activities over time.
Introductory Session on International MarketingShantanu Ghosh
The document summarizes the global nature of everyday products and activities in the modern world. It describes how the author consumed various products from different countries throughout their morning routine, from coffee to shampoo to technology. It highlights how globalization has led to an interconnected world where products routinely cross international borders.
This document provides an overview of key concepts related to product and marketing mix. It defines a product, discusses different levels and types of products. It also covers product mix, product life cycle, new product development process and challenges companies may face with new products. The marketing mix elements of product, price, place and promotion are discussed at a high-level. Examples of specific companies' product mixes are also provided.
The document discusses strategies for building international brands, including defining brands, understanding customer perspectives, and factors for creating successful global brands. It also covers decisions around product design, branding, and developing brands globally by extending, adapting, or creating new products for international markets. The presentation aims to explain how to establish and grow brands internationally.
The document describes a man's morning routine that highlights the global nature of modern consumer goods. He uses products from many different countries for basic tasks like making coffee, watching news, grooming, and communicating. Even relatively simple daily activities rely on an intricate global supply chain. The summary emphasizes how the man's routine illustrates our deep integration into the global economy through the widespread international sources of common consumer items.
The document describes a man's morning routine that highlights the global nature of modern consumer goods. He uses products from many different countries for basic tasks like making coffee, watching news, grooming, and communicating. Even mundane daily activities rely on an intricate global supply chain that seamlessly integrates economies worldwide. The passage emphasizes how international trade has interconnected global markets and made nationality largely irrelevant for many consumer brands.
The document discusses developing new products for global markets. It covers introducing products into foreign markets through extension, adaptation, or invention strategies. It also discusses developing global products through standardization or modularity. For new product development processes, a company can assign responsibilities to subsidiaries or head office. Sources of new development include lead markets, subsidiaries, purchasing R&D, importing, acquisitions, joint ventures, and alliances. Introducing new products globally requires test marketing and determining the target country and introduction timing.
The document discusses the key challenges of product design and development. It provides 10 challenges: 1) global competition, 2) time constraints, 3) quality control, 4) assessing market potential, 5) keeping up with technological changes, 6) effective distribution strategies, 7) incorporating new features, 8) addressing critical unmet needs, 9) evaluating market size, and 10) setting the right price and promotion strategies. Each challenge is explained and an illustrative case example is provided. The document aims to outline the major considerations for successful product design and development.
This chapter discusses product and brand decisions in global marketing. It covers topics such as branding strategies, global brand development, product positioning, and new product development for global markets. The key strategic alternatives for global products are extension, adaptation, and creation. Choosing the right strategy depends on analyzing the product, market conditions, and costs. Successful companies focus on competitive global markets, recruit top talent, and rapidly bring new products to market.
Hotstar saw a threefold increase in views for the Indian Premier League cricket matches in season 8 compared to the previous season, reaching 200 million views. It also saw 340 million views for the 2015 Cricket World Cup matches. This made both tournaments the largest sporting events on digital media. Hotstar's increased viewership led to higher advertising revenue of Rs. 50 Crore for IPL-8, a 25% increase over the previous season. Hotstar created additional cricket-related shows to engage viewers. Its success with cricket coverage provided another major boost for the streaming service in 2015.
The document discusses various aspects of global strategic management including stages of globalization, factors limiting product universality across cultures, motivations for international competition, and generic international strategies. It compares multi-country strategies, which tailor offerings to local markets, versus global strategies, which offer standardized products worldwide. It also outlines strategic options for competing in foreign markets and lists major trade blocs around the world.
This document summarizes key concepts around managing products and branding. It discusses the product life cycle model including the introduction, growth, maturity and decline stages. It then covers branding, explaining the benefits of branding to buyers and sellers. Some key branding decisions are outlined, including selecting a corporate name and types of brands such as manufacturers brands. Packaging, labeling and warranties are also briefly mentioned.
This document provides a study guide for the MKT 421 Final Exam, including 30 multiple choice questions covering various marketing concepts. The questions address topics such as integrated marketing communications, pay-per-click advertising, cultural influences on consumer behavior, how Amazon uses cookies to provide personalized recommendations, and definitions of terms like SWOT analysis, the product life cycle, and AIDA model.
This document provides a study guide for the MKT 421 Final Exam, including 30 multiple choice questions covering various marketing concepts. Question 3 asks about cultural differences influencing consumer needs and wants across countries. Question 4 asks about how Amazon uses cookies to remember customer preferences and past purchases. Question 19 asks about how the marketing concept focuses on satisfying customer needs compared to other business approaches.
Unveiling the Dynamic Personalities, Key Dates, and Horoscope Insights: Gemin...my Pandit
Explore the fascinating world of the Gemini Zodiac Sign. Discover the unique personality traits, key dates, and horoscope insights of Gemini individuals. Learn how their sociable, communicative nature and boundless curiosity make them the dynamic explorers of the zodiac. Dive into the duality of the Gemini sign and understand their intellectual and adventurous spirit.
NIMA2024 | De toegevoegde waarde van DEI en ESG in campagnes | Nathalie Lam |...BBPMedia1
Nathalie zal delen hoe DEI en ESG een fundamentele rol kunnen spelen in je merkstrategie en je de juiste aansluiting kan creëren met je doelgroep. Door middel van voorbeelden en simpele handvatten toont ze hoe dit in jouw organisatie toegepast kan worden.
Call8328958814 satta matka Kalyan result satta guessing➑➌➋➑➒➎➑➑➊➍
Satta Matka Kalyan Main Mumbai Fastest Results
Satta Matka ❋ Sattamatka ❋ New Mumbai Ratan Satta Matka ❋ Fast Matka ❋ Milan Market ❋ Kalyan Matka Results ❋ Satta Game ❋ Matka Game ❋ Satta Matka ❋ Kalyan Satta Matka ❋ Mumbai Main ❋ Online Matka Results ❋ Satta Matka Tips ❋ Milan Chart ❋ Satta Matka Boss❋ New Star Day ❋ Satta King ❋ Live Satta Matka Results ❋ Satta Matka Company ❋ Indian Matka ❋ Satta Matka 143❋ Kalyan Night Matka..
Brian Fitzsimmons on the Business Strategy and Content Flywheel of Barstool S...Neil Horowitz
On episode 272 of the Digital and Social Media Sports Podcast, Neil chatted with Brian Fitzsimmons, Director of Licensing and Business Development for Barstool Sports.
What follows is a collection of snippets from the podcast. To hear the full interview and more, check out the podcast on all podcast platforms and at www.dsmsports.net
Best Competitive Marble Pricing in Dubai - ☎ 9928909666Stone Art Hub
Stone Art Hub offers the best competitive Marble Pricing in Dubai, ensuring affordability without compromising quality. With a wide range of exquisite marble options to choose from, you can enhance your spaces with elegance and sophistication. For inquiries or orders, contact us at ☎ 9928909666. Experience luxury at unbeatable prices.
Top mailing list providers in the USA.pptxJeremyPeirce1
Discover the top mailing list providers in the USA, offering targeted lists, segmentation, and analytics to optimize your marketing campaigns and drive engagement.
[To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
This presentation is a curated compilation of PowerPoint diagrams and templates designed to illustrate 20 different digital transformation frameworks and models. These frameworks are based on recent industry trends and best practices, ensuring that the content remains relevant and up-to-date.
Key highlights include Microsoft's Digital Transformation Framework, which focuses on driving innovation and efficiency, and McKinsey's Ten Guiding Principles, which provide strategic insights for successful digital transformation. Additionally, Forrester's framework emphasizes enhancing customer experiences and modernizing IT infrastructure, while IDC's MaturityScape helps assess and develop organizational digital maturity. MIT's framework explores cutting-edge strategies for achieving digital success.
These materials are perfect for enhancing your business or classroom presentations, offering visual aids to supplement your insights. Please note that while comprehensive, these slides are intended as supplementary resources and may not be complete for standalone instructional purposes.
Frameworks/Models included:
Microsoft’s Digital Transformation Framework
McKinsey’s Ten Guiding Principles of Digital Transformation
Forrester’s Digital Transformation Framework
IDC’s Digital Transformation MaturityScape
MIT’s Digital Transformation Framework
Gartner’s Digital Transformation Framework
Accenture’s Digital Strategy & Enterprise Frameworks
Deloitte’s Digital Industrial Transformation Framework
Capgemini’s Digital Transformation Framework
PwC’s Digital Transformation Framework
Cisco’s Digital Transformation Framework
Cognizant’s Digital Transformation Framework
DXC Technology’s Digital Transformation Framework
The BCG Strategy Palette
McKinsey’s Digital Transformation Framework
Digital Transformation Compass
Four Levels of Digital Maturity
Design Thinking Framework
Business Model Canvas
Customer Journey Map
The Steadfast and Reliable Bull: Taurus Zodiac Signmy Pandit
Explore the steadfast and reliable nature of the Taurus Zodiac Sign. Discover the personality traits, key dates, and horoscope insights that define the determined and practical Taurus, and learn how their grounded nature makes them the anchor of the zodiac.
IMPACT Silver is a pure silver zinc producer with over $260 million in revenue since 2008 and a large 100% owned 210km Mexico land package - 2024 catalysts includes new 14% grade zinc Plomosas mine and 20,000m of fully funded exploration drilling.
Taurus Zodiac Sign: Unveiling the Traits, Dates, and Horoscope Insights of th...my Pandit
Dive into the steadfast world of the Taurus Zodiac Sign. Discover the grounded, stable, and logical nature of Taurus individuals, and explore their key personality traits, important dates, and horoscope insights. Learn how the determination and patience of the Taurus sign make them the rock-steady achievers and anchors of the zodiac.
[To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
This PowerPoint compilation offers a comprehensive overview of 20 leading innovation management frameworks and methodologies, selected for their broad applicability across various industries and organizational contexts. These frameworks are valuable resources for a wide range of users, including business professionals, educators, and consultants.
Each framework is presented with visually engaging diagrams and templates, ensuring the content is both informative and appealing. While this compilation is thorough, please note that the slides are intended as supplementary resources and may not be sufficient for standalone instructional purposes.
This compilation is ideal for anyone looking to enhance their understanding of innovation management and drive meaningful change within their organization. Whether you aim to improve product development processes, enhance customer experiences, or drive digital transformation, these frameworks offer valuable insights and tools to help you achieve your goals.
INCLUDED FRAMEWORKS/MODELS:
1. Stanford’s Design Thinking
2. IDEO’s Human-Centered Design
3. Strategyzer’s Business Model Innovation
4. Lean Startup Methodology
5. Agile Innovation Framework
6. Doblin’s Ten Types of Innovation
7. McKinsey’s Three Horizons of Growth
8. Customer Journey Map
9. Christensen’s Disruptive Innovation Theory
10. Blue Ocean Strategy
11. Strategyn’s Jobs-To-Be-Done (JTBD) Framework with Job Map
12. Design Sprint Framework
13. The Double Diamond
14. Lean Six Sigma DMAIC
15. TRIZ Problem-Solving Framework
16. Edward de Bono’s Six Thinking Hats
17. Stage-Gate Model
18. Toyota’s Six Steps of Kaizen
19. Microsoft’s Digital Transformation Framework
20. Design for Six Sigma (DFSS)
To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations
❼❷⓿❺❻❷❽❷❼❽ Dpboss Matka Result Satta Matka Guessing Satta Fix jodi Kalyan Final ank Satta Matka Dpbos Final ank Satta Matta Matka 143 Kalyan Matka Guessing Final Matka Final ank Today Matka 420 Satta Batta Satta 143 Kalyan Chart Main Bazar Chart vip Matka Guessing Dpboss 143 Guessing Kalyan night
𝐔𝐧𝐯𝐞𝐢𝐥 𝐭𝐡𝐞 𝐅𝐮𝐭𝐮𝐫𝐞 𝐨𝐟 𝐄𝐧𝐞𝐫𝐠𝐲 𝐄𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐜𝐲 𝐰𝐢𝐭𝐡 𝐍𝐄𝐖𝐍𝐓𝐈𝐃𝐄’𝐬 𝐋𝐚𝐭𝐞𝐬𝐭 𝐎𝐟𝐟𝐞𝐫𝐢𝐧𝐠𝐬
Explore the details in our newly released product manual, which showcases NEWNTIDE's advanced heat pump technologies. Delve into our energy-efficient and eco-friendly solutions tailored for diverse global markets.
Profiles of Iconic Fashion Personalities.pdfTTop Threads
The fashion industry is dynamic and ever-changing, continuously sculpted by trailblazing visionaries who challenge norms and redefine beauty. This document delves into the profiles of some of the most iconic fashion personalities whose impact has left a lasting impression on the industry. From timeless designers to modern-day influencers, each individual has uniquely woven their thread into the rich fabric of fashion history, contributing to its ongoing evolution.
31. Global Product Planning: Strategic Alternatives 10- Product Same Different Communication Different Same Strategy 1: Dual Extension Strategy 2: Product Extension Communication Adaptation Strategy 4: Dual Adaptation Strategy 3: Product Adaptation Communication Extension
32.
33.
34.
35.
36.
37.
38.
39.
40.
Editor's Notes
The product “P” of the marketing mix is at the heart of the challenges and opportunities facing global companies today: Management must develop product and brand policies and strategies that are sensitive to market needs, competition, and company ambitions and resources on a global scale. Effective global marketing often entails finding a balance between the payoff from extensively adapting products and brands to local market preferences and the benefits that come from concentrating company resources on relatively standardized global products and brands.
A product’s tangible attributes can be assessed in physical terms such as weight, dimensions, or materials used. Consider, for example, a flat-panel TV with an LCD screen that measures 42 inches across. The unit weighs 100 pounds, is four inches thick, and has a tuner capable of receiving high-definition TV signals over the air. These tangible, physical features translate into benefits that enhance the enjoyment of watching prime time TV and movies on DVR’s. Intangible product attributes, including status associated with product ownership, a manufacturer's service commitment, and a brand's overall reputation or mystique, are also important. When shopping for a new TV set, for example, many people want “the best:” They want a TV loaded with features (tangible product elements), as well as one that is "cool" and makes a status statement (intangible product element).
A frequently used framework for classifying products distinguishes between consumer and industrial goods. Consumer and industrial goods, in turn, can be further classified on the basis of criteria such as buyer orientation. Buyer orientation is a composite measure of the amount of effort a customer expends, the level of risk associated with a purchase, and buyer involvement in the purchase. The buyer orientation framework includes such categories as convenience, preference, shopping, and specialty goods.
Customers integrate all their experiences of observing, using, or consuming a product with everything they hear and read about it. The essence of a brand exists in the mind; as such, brands are intangible. However, companies develop logos, distinctive packaging, and other communication devices to provide visual representations of their brands. A logo can take a variety of forms, starting with the brand name itself.
This slide illustrates the information about products and brands comes from a variety of sources and cues, including advertising, publicity, sales personnel, and packaging. Perceptions of service after the sale, price, and distribution are also taken into account.
The value of global megabrands such as Coca-Cola and Marlboro runs in the tens of billions of dollars. Warren Buffett, the legendary American investor who heads Berkshire Hathaway, asserts that the global power of brands such as Coca-Cola and Gillette permits the companies that own them to set up a protective moat around their economic castles. As Buffett once explained, “The average company, by contrast, does battle daily without any such means of protection.” That protection often yields added profit, because the owners of powerful brand names can typically command higher prices for their products than can owners of lesser brands. In other words, the strongest global brands have tremendous brand equity.
Source: Kevin Keller
Products and brands can be broken down into three different categories. These are local, international and global. The next few slides illustrate the difference between the categories. In developing countries, global brands are sometimes perceived as overpowering local ones. Growing national pride can result in a social backlash that favors local products and brands. In China, a local TV set manufacturer, Changhong Electric Appliances, has built its share of the Chinese market from 6 percent to more than 22 percent by cutting prices and using patriotic advertising themes such as “Let Changhong hold the great flag of revitalizing our national industries.” Coca-Cola has developed several branded drink products for sale only in Japan, including a noncarbonated, ginseng-flavored beverage; a blended tea known as Sokenbicha; and Lactia-brand fermented milk drink. In India, Coca-Cola markets Kinely brand bottled water. The spirits industry often creates brand extensions to leverage popular brands without large marketing expenditures. For example, Diageo PLC markets Gordon’s Edge, a gin-based ready-to-drink beverage in the U.K. Allied Domecq created TG, a brand flavored with Teacher’s Scotch and guaraná, in Brazil.
International products and international brands are offered in several markets in a particular region. For example, there are a number of “Euro products” and “Euro brands” that are offered in Europe but not the rest of the world.
As this quote implies, companies such as Gillette enjoy several benefits and advantages that derive from creating global products and utilizing global branding. These include economies of scale associated with creating a single ad campaign for the world and the advantages of executing a single brand strategy. All global companies are trying to increase the visibility of their brands, especially in the key markets such as the United States and China. Examples include Philips with its "Sense and simplicity" global image advertising and Siemens' recent "Be inspired" campaign.
Worldwide, consumers, corporate buyers, governments, activists, and other groups associate global brands with three characteristics; consumers use these characteristics as a guide when making purchase decisions. • Quality signal . Global brands compete fiercely with each other to provide world-class quality. A global brand name differentiates product offerings and allows marketers to charge premium prices. • Global myth. Global brands are symbols of cultural ideals. As noted in Chapter 7, marketers can use global consumer culture positioning (GCCP) to communicate a brand’s global identity and link that identity to aspirations in any part of the world. • Social responsibility . Customers evaluate companies and brands in terms of how they address social problems and how they conduct business.
Properly implemented, co-branding can engender customer loyalty and allow companies to achieve synergy. However, co-branding can also confuse consumers and dilute brand equity. The approach works most effectively when the products involved complement each other. Credit card companies were the pioneers, and today it is possible to use cards to earn frequent flyer miles and discounts on automobiles.
The brand has been built on Richard Branson’s shrewd ability to exploit weaknesses in competitors’ customer service skills, as well as a flair for self-promotion. Branson’s business philosophy is that brands are built around reputation, quality, innovation, and price rather than image. Although Branson is intent on establishing Virgin as the British brand of the new millennium, some industry observers wonder if the brand has been spread too thin.
Table 10-2 shows global brands ranked in terms of their economic value as determined by analysts at the Interbrand consultancy and Citigroup. To be included in the rankings, the brand had to generate about one-third of sales outside the home country; brands owned by privately held companies such as Mars are not included. Not surprisingly, Coca-Cola tops the list. However, one of the telling findings of the rankings is that strong brand management is now being practiced by companies in a wide range of industries, not just by consumer packaged-goods marketers .
Aacker and Joachimsthaler’s research
Companies should place a priority on creating strong brands in all markets through global brand leadership.
Both this slide and the next offer eight suggestions for managers that are seeking to develop global brand leadership.
Coke is the world’s most valuable brand. It is positioned similarly worldwide as being part of fun, enjoyment, and good times. However, the product is changed to suit local taste. Price and distribution varies globally. In 2006, Coke adopted the global advertising theme “The Coke Side of Life.” The global campaign will be supplemented with local ads.
The essence of marketing is finding needs and filling them. Maslow’s hierarchy of needs, a staple of sociology and psychology courses, provides a useful framework for understanding how and why local products and brands can be extended beyond home country borders. Maslow hypothesized that people’s desires can be arranged into a hierarchy of five needs. As an individual fulfills needs at each level, he or she progresses to higher levels. At the most basic level of human existence, physiological and safety needs must be met. People need food, clothing, and shelter, and a product that meets these basic needs has potential for globalization. Mid-level needs in the hierarchy include self-respect, self-esteem, and the esteem of others. These social needs, which can create a powerful internal motivation driving demand for status-oriented products, cut across the various stages of country development. Rolex, Louis Vuitton, and Dom Perignon are just a few of the global brands that consumers buy in an effort to satisfy esteem needs. Some consumers flaunt their wealth by buying expensive products and brands that others will notice. Such behavior is referred to as conspicuous consumption or luxury badging .
Hellmut Schütte has proposed a modified hierarchy to explain the needs and wants of Asian consumers (Figure 10-3). Although the two lower-level needs are the same as in the traditional hierarchy, the three highest levels emphasize social needs. Affiliation needs in Asia are satisfied when an individual has been accepted by a group. Conformity with group norms becomes a key force driving consumer behavior. For example, when a cool new cell phone hits the market, every teenager who wants to fit in buys one. Knowing this, managers at Japanese companies develop local products specifically designed to appeal to teens. The next level is admiration , a higher-level need that can be satisfied through acts that command respect within a group. At the top of the Asian hierarchy is status , the esteem of society as a whole. In part, attainment of high status is character driven. However, the quest for status also leads to luxury badging. Support for Schütte’s contention that status is the highest-ranking need in the Asian hierarchy can be seen in the geographic breakdown of the $35 billion global luxury goods market. Fully 20 percent of industry sales are generated in Japan alone, with another 22 percent of sales occurring in the rest of the Asia-Pacific region. Nearly half of all sales revenues of Italy’s Gucci Group are generated in Asia.
One of the facts of life in global marketing is that perceptions about and attitudes toward particular countries often extend to products and brands known to originate in those countries. Such perceptions contribute to the country-of-origin effect; they become part of a brand’s image and contribute to brand equity. This is particularly true for automobiles, electronics, fashion, beer, recorded music, and certain other product categories. Perceptions and attitudes about a product’s origins can be positive or negative. On the positive side, as one marketing expert has pointed out, “‘German’ is synonymous with quality engineering, ‘Italian’ is synonymous with style, and ‘French’ is synonymous with chic.” English tea French perfume Jamaican rum Chinese silk Italian leather Japanese electronics USA: Wal-Mart, Land’s End, Budweiser, Marlboro Korea: LG, Hyundai, Daewoo, Samsung
In many instances, packaging is an integral element of product-related decisions. Packaging is an important consideration for products that are shipped long distances to markets in all parts of the world. A critical element in the success of Corona Extra beer in export markets was management's decision to retain the traditional package design that consisted of a tall transparent bottle with "Made in Mexico" etched directly on the glass. At the time, the conventional wisdom in the brewing industry was that export beer bottles should be short, green or brown in color, with paper labels. In other words, the bottle should resemble Heineken’s! The fact that consumers could see the beer inside the Corona Extra bottle made it seem more pure and natural. Today, Corona is the top-selling imported beer brand in the United States, Australia, Belgium, the Czech Republic, and several other countries . Nestlé has packaging teams throughout the world that are required to contribute packaging improvement suggestions on a quarterly basis. Implemented changes include a new plastic lid to make ice cream containers easier to open; slightly deeper indentations in the flat end of candy wrappers in Brazil that make them easier to rip open; and deeper notches on single-serve packets of Nescafé in China. Nestlé also asked suppliers to find a type of glue to make the clicking sound louder when consumers snap open a tube of Smarties brand chocolate candies.
One hallmark of the modern global marketplace is the abundance of multi-language labeling that appears on many products. In today’s self-service retail environments, product labels may be designed to attract attention, to support a product’s positioning, and to help persuade consumers to buy. Today, virtually all food products sold in the United States must present information regarding nutrition (e.g., calories and fat content) and serving size in a standard format. The use of certain terms such as "light" and "natural" is also restricted. Other examples of labeling in global marketing include: • Since mid-2004, the European Union required labels on all food products that include ingredients derived from genetically modified crops. • Responding to pressure from consumer groups, in 2006 McDonald’s began posting nutrition information on all food packaging and wrappers in approximately 20,000 restaurants in key markets worldwide. Executives indicated that issues pertaining to language and nutritional testing would delay labeling in 10,000 additional restaurants in smaller country markets. • Nestlé recently introduced Nan, an infant-formula brand that is popular in Latin America, in the American market. Targeted at Hispanic mothers, Nestlé Nan’s instructions are printed in Spanish on the front of the can. Other brands have English-language labeling on the outside; Spanish-language instructions are printed on the reverse side.
Aesthetic elements that are deemed appropriate, attractive, and appealing in one’s home country may be perceived differently elsewhere. In some cases, a standardized color can be used in all countries; examples include the distinctive yellow color on Caterpillar’s earth-moving equipment and its licensed outdoor gear and the red Marlboro chevron. In other instances, color choices should be changed in response to local perceptions. Red: South Africa = mourning; India = purity; China = celebration, good luck; Russia = Bolsheviks, communism; Western = excitement Yellow: China = nourishing; Egypt = mourning; India = merchants; Western = hazard, warning, hope Green: China = exorcism; India = Islam; Ireland = the country; Western = Spring, rebirth, go, ecology Blue: Iran = heaven and spirituality; Western = depression, sadness, “something blue” bridal tradition, conservative Purple: Thailand = mourning; Western = royalty White: Japan white carnation = death; Eastern = funerals; Western = brides, angels, good guys, hospitals, doctors, peace
In the late 1990s, Hyundai Motor America chief executive Finbarr O'Neill realized that many American car buyers perceived Korean cars as "cheap" and were skeptical about the Hyundai nameplate's reliability. In fact, the company had made significant improvements in the quality and reliability of its vehicles, but consumer perceptions of the brand had not kept pace with the changes. O'Neill instituted a 10-year, 100,000-mile warranty program that represents the most comprehensive coverage in the auto industry. Concurrently, Hyundai launched several new vehicles and increased expenditures for advertising. The results are impressive: Hyundai's U.S. sales jumped from about 90,000 vehicles in 1998 to nearly 400,000 vehicles in 2003.
Laws and regulations in different countries frequently lead to obligatory product design adaptations. This may be seen most clearly in Europe, where one impetus for the creation of the single market was the desire to dismantle regulatory and legal barriers that prevented pan-European sales of standardized products. These were particularly prevalent in the areas of technical standards and health and safety standards. In the food industry, for example, there were 200 legal and regulatory barriers to cross-border trade within the EU in 10 food categories.
Extension strategies are employed by companies in the international, global, and transnational stages of development. The critical difference is one of execution and mind-set. In an international company, for example, the extension strategy reflects an ethnocentric orientation and the assumption that all markets are alike. A global company such as Gillette does not fall victim to such assumptions; the company's geocentric orientation allows it to thoroughly understand its markets and consciously take advantage of similarities in world markets. Likewise, a multinational company utilizes the adaptation strategy because of its polycentric orientation and the assumption that all markets are different. By contrast, the geocentric orientation of managers and executives in a global company has sensitized them to actual, rather than assumed, differences between markets. Strategy 1: Common for B2B Strategy 2: Low-cost because the product is unchanged, communication is adapted Strategy 3: Cadillac wants to sell 20,000 autos outside the U.S. by 2010; will adapt to local market requirements Strategy 4: Combines local market conditions recognized in Strategies 2 and 3
This slide sums up the section regarding choosing a product-communication strategy. It is important to note that only after analysis of the product-market fit and of company capabilities and costs can executives choose the most profitable strategy.
The starting point for an effective worldwide new-product program is an information system that seeks new-product ideas from all potentially useful sources and channels these ideas to relevant screening and decision centers within the organization. Ideas can come from many sources, including customers, suppliers, competitors, company salespeople, distributors and agents, subsidiary executives, headquarters executives, documentary sources (e.g., information service reports and publications), and, finally, actual firsthand observation of the market environment. The diagram on this slide illustrates the continuum that new products will fall into and the amount of learning that consumers will have to go through in order to use the product. Continuous innovations = “new and improved;” less R&D needed; a faster computer Dynamically continuous innovations = require less learning and is less disruptive; Gillette Sensor, Sensor Excel, and MACH3 brings news technology for an unchanged category, wet shaving Discontinuous innovations = represent a break with the past; VCRs
A high volume of information flow is required to scan adequately for new-product opportunities, and considerable effort is subsequently required to screen these opportunities to identify candidates for product development. The best organizational design for addressing these requirements is a new product department. Managers in such a department engage in several activities. First, they ensure that all relevant information sources are continuously tapped for new-product ideas. Second, they screen these ideas to identify candidates for investigation. Third, they investigate and analyze selected new-product ideas. Finally, they ensure that the organization commits resources to the most likely new-product candidates and is continuously involved in an orderly program of new-product introduction and development on a worldwide basis.