Analyzing Industry Environment to Increase Business Sustainability - Assignment Example

? Individual Report Style Individual Report Style Question As globalization trends increase in the recent past, most organizations are adapting new strategies to conform to the emergent market needs. One of these strategies pertains to the expansion of businesses to global markets. This enables them to explore the emergent niches and benefit the most from new business opportunities. This expansion has also led to a rise in various challenges that compound the market environment and to a great extent undermine the functioning of the respective organizations. For this reason, these businesses need to devise viable ways through which they can address all concerns in a sustainable manner. One of the problems that affect current international businesses includes cultural concerns. The ability of the business to survive and thrive after encountering relative challenges is dependent on the manner in which they address these challenges. In essence, successful businesses need to review their structural models and align these to the cultural expectations of the markets that they wish to explore. It is against this background that this paper analyzes cultural differences between the Swedish and UK markets. To enhance coherence, it also underscores the strategic impact that the differences have on the international marketing mix strategy of the film products. The paper begins by providing a comprehensive review of the film product and its performance in this market. As part of the entertainment industry, it is widely agreed that film actually drives this industry. In the UK market, statistical evidence indicates that film contributes a significant 100 million pounds to the gross domestic product. Although studios generate their revenue from different windows, theatrical window reportedly offers the best opportunities because it sets the pace and establishes standards for home video, television products cable provisions and pay-per-view packages. In addition, successful establishments offers substantial opportunities for merchandising, licensing as well as a host of other entertainment products like books, television shows, and theme park attractions, plays and so forth. Although the film market is relatively volatile, we wish to pursue this field because of the opportunities that it offers. Sweden is a country that offers various opportunities for exploration by the film industry. Its economy is developed and comparatively, the film industry has not been fully established. Market trends indicate that film producers in this country assume only 45% of the entertainment market dominance. Yet the industry contributes close to 100 million dollars to its gross domestic product. Market analyses according to Rodgers also indicate that the country has a broad consumer base. Consumer preferences in this regard show positive attitudes and a strong urge to adopt English mannerisms (Brooks, 2008). Therefore, its exploration would probably yield beneficial outcomes. In particular, this investment venture wishes to produce films for the teenagers who seem to be greatly influenced by the English culture. It will enter the market through theatre which has proven to be more productive from the market analyses. As indicated earlier, culture has direct impacts on the behaviours and mannerisms that the consumers adopt. Just like in the United Kingdom, culture influences consumer attitudes and preferences in Sweden too. This is exhibited through various modes that range from language and social values to attitudes and religious practices. At this point, it is worth appreciating that the preceding factors are imperatively important because of the direct influence that they have on critical marketing mix elements such as pricing, placement of the product, promotion and the quality of the products. To begin with, language is an important aspect of culture that would have direct effects on the success of this film venture. It aids in communication and is very useful in eliminating inconsistencies that can undermine the understanding of the content entailed in that particular film. In his research, Rodgers (1998) found out that besides enhancing understanding of the content contained in the UK films, language is useful in reflecting distinct cultural behaviour patterns and attitudes that are characteristic of this population faction. From a theoretical point of view, language has direct impacts on the understanding of the storylines as well as presentation of the films. Although Sweden is an English speaking country, this is not predominant like in the United Kingdom. At this point, it is worth appreciating that dubbing of films compromises their effectiveness and has a direct impact on synchronization of dialogue with actions as well as on the fluency of the respective storylines. In some cases, dubbing also establishes certain inconsistencies between the language spoken and the scenes presented therein. At the level of the internationalization of the market mix, language plays a primal role in negotiations and understanding of the terms and conditions of the businesses. It has a direct impact on the quality of the product especially because through this, the producers are able to provide an overview of the content of the film. This is imperative in marketing and influences the perceptions that the consumers adopt towards the respective film. The lifestyle of the populace of the UK and Sweden also differs considerably. In their review, Osland, Taylor and Zou (2001) indicate that in most cases, populations adopt the products that are typical of their respective lifestyles. In essence, the eating culture in the UK and especially in the film industry does not place great emphasis on fast foods and carbonated drinks. This is attributable to the changing attitudes towards these foods due to the negative effects that they have on the health of the populations. This is unlike the population in Sweden and particularly the lifestyles adopted by the youth to whom this film is directed. In this respect, the youth in Sweden fancy consumption of carbonated drinks such as soda and fast foods when watching film. In addition, their mode of dressing is typically casual and specifically jeans and t-shirt. This is unlike in the United Kingdom where official mode of dressing is at times preferable and acceptable in the entertainment industry. Understanding the culture of this population in this respect has a direct impact on the promotion of the films. The film producer would wish to use offers as a mode of promoting this product and improving relative returns. In this regard, issuance of T-shirts containing the trademark of the producer can go a long way in helping the producers to meet this goal. Likewise, free issuance of fast foods and carbonated drinks can have a positive impact on the turn out of the population at the theatre. The mannerisms and mode of conduct of doing business in the two countries is also quite different. In particular, the tendencies of shaking hands and smiling for a certain period have varied implications in these two countries. In the United Kingdom, business parties consider shaking hands a formal mode of greetings and do not therefore attach emotions or great importance on this. They establish superficial relationships that seek to serve the purpose of initiating the business and maintaining an ample work environment for a specified period of time (Brooks, 2008). This is unlike populations in Sweden who tend to attach great importance on the respective practices. Comparatively, they shake hands for a longer period of time and attach very high importance on the smiling tendencies. Through these they feel appreciated and therefore more comfortable doing business with their partners. This can be attributable to the varied traditional cultural practices that the two factions value. Notably, these tendencies directly impact on the negotiation process and can influence factors such as pricing and promotion of the product. In these, it is worth noting that closer relations tend to be established as well as sustained. The forth cultural factor that has direct implications on this industry pertains to the importance that the populaces in both countries attach on religion. In this respect, the film to be produced and presented to the Swedish market will be all encompassing and cover various themes including religion. In the United Kingdom, populations hold religious values in high regard but do not place great emphasis on the relative doctrines. This is unlike in Sweden where populations value important religious values and would go a long way in safeguarding relative values and practices. This would greatly impact on the content in these particular films. In this respective, it would be imperative for the producers to reflect the religious perceptions of this foreign market. Finally, the attitudes and public perceptions towards time is an important cultural aspect that also needs to be given great consideration. In this respect, the culture of the Swedish population prohibits them from being direct and conservative. This is unlike their British counterparts who are very direct and conservative in their matters. Unlike the Swedish, they value time and therefore tend to be direct in their dealings. The Swedish on the other hand find this rude and consider it inappropriate for business. In this case, such a cultural practice and relative attitudes has direct implications on the negotiation process. Likewise, this could impact on important issues pertaining to negation of the prices. Ultimately, they influence the pricing of the products. Question 2: According to Osland et al (2001), standardization is an all inclusive concept that has direct impacts on the experience of the product in the market. In this, organizations choose to ensure uniformity of products, clients, marketing procedures, distribution, product support and distribution. This has various benefits as well as shortcomings that have huge impacts on the performance of the respective product in the market. To a great extent, this determines the success of the products in the competitive market. One of the overriding importances of the standardization practice pertains to the inherent consistency of the product across the globe. In the current globalized society, it is widely agreed that perceptions and attitudes have been unified. Consistency in this regard enables the respective organization to reap the most from relative returns. The consumers travelling in foreign markets are assured of getting the products that are available in their local markets. This practice also promotes positive consumer perceptions among the populations. This is because the consumers would hold the products in high regard and would probably promote it through word of mouth. In his research, Brook (2008) asserted that film products that sell more in foreign markets have a good reputation in the local markets. Also, standardization contributes significantly to reduction of costs that are used in producing as well as marketing the respective products. These advantages accrue from bulk manufacturing because in these, producers solely manufacture products of similar standards. Market research ascertains that this tends to reduce the cost per unit of the particular brand. There are certain disadvantages that are associated with standardization practices too. To begin with, standardization reduces diversity as the product is undifferentiated in all markets. This implies that wherever one buys it, it does not exhibit any uniqueness that can change perceptions and attitudes. This according to Brooks (2008), gives the competitors a chance to customize their products to suit the needs of the local populations. To a great extent, this undermines the ability of the respective firm to cushion itself against the competition that is likely to be presented by the local competitors. In this regard, it is worth appreciating that products that meet the local preferences, needs and tastes tend to have an upper hand in the local market. Standardization from his point of view therefore leaves the international or foreign firm vulnerable. Another disadvantage of standardization is the recognition that it is highly dependent on the economies of scale. In this respect, it is worth appreciating that global businesses support manufacturing in various countries. Some countries tend to implement and enforce trade barriers. This has direct effects on the localization and adaptation of the respective brand in the foreign country. In particular, it makes it difficult for the respective firm to trade under similar conditions in all countries across the globe. Probably, there would be increased costs that are associated with production and distribution. This can have adverse effects on the performance of the product in global markets. References Brooks, B. (2008). The natural selection of organizational safety culture within a small to medium sized enterprise. Journal of Safety Research, 39 (1), 73-85 Osland, G., Taylor, C., & Zou, C. (2001). Selecting international modes of entry and expansion. Marketing Intelligence & Planning, 19 (3), 153-161. Rodgers, I. (1998). Making cultural differences work for you. Industrial & Commercial Training, 18 (3), 15. Read More