International Marketing Issues - Assignment Example

International Marketing Week One Wednesday discussion International marketing involves venturing into different countries for the sale of products and services. Cultural understanding of the target market aids the multinationals to form lasting business relationships. Understanding the cultural aspect such as language, religion, education, values and attitudes, technology and education provides multinationals with an opportunity to understand the background of their target market. Nations hold different values with particular communities having individual values. International marketers need to understand the values of their target market before dispatching their products and services. Communicating in the local language helps customers to receive the products and services positively. Doing business internationally involves changing the promotional or branding materials to suit their values and attitude. Analysis of the values and attitudes secures a comfortable working environment (Cateora, Gilly and Graham 398). Employees in the United States take weekly vacations while France employees take monthly vacations. Understanding this concept of culture is vital for international marketers considering various multinationals have had problems in the past. For instance, China banned commercials by Nike televisions for animating the kung fu master since it insulted the Chinese national dignity (Cateora, Gilly and Graham 389). The technology level available in the country of business aids the international marketers in handling promotions. It involves the analysis of transport and infrastructure of the location of interest (Cateora, Gilly and Graham 390). Education varies across cultural backgrounds thus; marketing internationally requires a synopsis of the educational background of their target market. In conclusion, analyzing the background aids the multinationals to have favorable response from their target market. Response to Herbart I agree with you on the importance of culture in the marketing environment. It is important for marketers to treat their customers with dignity. Asian cultures value their cultural concepts and the example of McDonalds in Japan shows this. It is true that the general population of a country constitutes to the cultural background, but analyzing the regional cultures is also important in international marketing. The factors you mentioned such as political, economical, and technological apply in securing different countries. The value of these concepts dictates the penetration pace of multinationals. Stability in international marketing works better if the company understands the cultural aspects of the target market. Working with the local employees gives the organization an advantage of learning faster. The post answers the question by providing insight on how international marketers can work to improve their communication. Response to Atsuko Takii The post is interesting with a capture of the importance of culture to the consumers and company. It is crucial that the fact on understanding other people comes out as an importance at the beginning of the post. However, research and understanding the cultural background improves organizational success. The example provided of Subway is a good indication on the importance of culture analysis in international marketing. Companies seeking to venture into international markets have to understand their target market in terms of cultural acceptance, which will save the company costs in expenditure. You have provided a good post, which provide quality information for market researchers. Response to Sarah Gerjovich The start, with the definition of culture and its relation to international marketing helps the audience acquit to the question. It is good that you chose to use the example of Gerber’s reception into the African market. The example provides good input to the audience since it explains the challenges that can face international marketers. In such circumstances, the packaging and display of their product prevented a positive reception. Language is a cultural aspect that international marketers should research before venturing into their target market. The product name needs to lack misinterpretations. It is good that you mention religion since culture has various aspect. Religion importance varies with countries. It is true that Muslims value their religion, which should be considered by international marketers wishing to venture in a Muslim populated area. Week One Thursday Discussion Proper promotional techniques start by analyzing the business environment of the various countries. Kraft should deploy qualitative and quantitative research in the various countries to understand the choice and preferences of customers. The information gathered from the research will also aid Kraft in using the most effecting promotional campaigns for Oreos. Involving local employees will help Kraft in understanding the marketing process used in every region. Analyzing the types of markets available enables Kraft to deploy different marketing strategies for the different markets. Market rituals are behavioral patterns adopted through learning. Marketers use the rituals to analyze the consumer buying behavior in different regions. The marketing brand message of “Oreo provides moments of childlike delights for people of all ages.” The use of the words twisting, licking, and dunking ritual is an event used by promoters to show hoe the information passes down from one generation to another (Cateora, Gilly and Graham). In countries where brand heritage is not appreciated, Kraft uses the child to introduce the ritual to other parents or siblings. Response to Sarah Gerjovich Research on purchasing trends and consumptions patters generates feedback on product reception. Including focus groups and field tests makes it easier for the organizations to generate feedback. Kraft’s concept enables his relocation to the market. It is important to mention that this may be costly for the organization, but it does not prevent him from understanding the position of his goods. Information gathering enables Kraft to link his products to chocolate-oriented markets. It is true that this increases the chances of his products being purchased since they are similar. Changing the design to meet market preferences Sometimes the company has to change the design to meet the preferences of the target market. The example you provide provides insights on some of the changes applicable in making the target market comfortable. 2. The analysis on the importance of rituals in Kraft’s campaign message is true as stated in your post. The teaching concepts relates well with the younger generation, especially if the advert has one of them performing the ritual of “twist, lick, and dunk”. Children create one of the best marketing platforms, especially if they are given control. Children will want to perform the ritual with the surrounding people. Response to Mteni Msimang It is good that you start by defining market research. The problems experienced by Kraft’s in the promotion of Oreos fall under marketing research. Descriptive research gives Kraft an analysis on the growth of the organization without providing numerical data. Kraft can use the method to monitor his progress hypothesis set before the ad campaign. It is good that you mentioned a personal approach on the Oreo advert. Kraft has maintained the ritual, “twist, lick, and dunk” for decades, which relates well to the organization. This approach makes it easier for the understanding of your analysis, and it gives a personal impression. Craft uses his ritual to attract people to his products by making a brand statement that consumers can relate to when making product preferences. The ritual gives Kraft feedback on the consumer response over the product preferences. Every child can respond to the ritual decades after performing the first one. Response to Clay Ratliff Hello Clay, Kraft’s success with Oreos is because to his adverse knowledge on his brand. Kraft has generated a ritual that links his target consumers to other target groups. Children get excited with the twist, lick, and dunk approach since they are able to relate it to other individuals. It is true that research conducting is limited to cultural tastes, brand recognition, and demographics. It also involves analyzing the change in economy to aid in securing communication with the new generation. Kraft’s ritual is tailored to meet the country of sale, which gives him benefits in a larger market share. Oreos is available in different variants to meet the preferences of people. Making entry into a new area includes analyzing the culture. It is important that you mention his approach of making cookies customized for the Halloween and Christmas celebrations. It shows Kraft’s perspective of marketing on a broader spectrum. Week Two Wednesday Discussion Forum McDonald extensivley collects information on consumer preferences. The management then creates products and services that meet the choice of customers. the stragey enables McDonald to focus on highly demanded products or services. Eventually, McDonald makes profits with minimal expenditure. The organisation also uses segmentation to divide their population into specific segments, which allows McDonalds to target their consumers in an efficient manner. As the segment manager, understanding the individual segments helps in creating appealing products and services. Targeting young adults includes emphasizing on the different variety of coffee drinks with a rich taste. It also includes targing a favorable price, preferable bargainable. Segments that involve moms acknowledge their busy lifestyle. Providing products at their convinience. Moms do not have the time to queue for coffee hence selling them coffee through drive-through windows is convinient for them. Senior citizens targeting works by using inexpensive price strategies to lure more into purchasing the product (Cateora, Gilly and Graham 350). Response to Faisal AL SHEIKH Hello Faisal, the approach you take in answering the question provides an understanding of the origin of McDonalds. Originating from a hamburger stand makes logical for analyzing its growth. It was important for McDonalds to address the needs of the people to gain a perspective on their preferences. Price and affordable services gives customers a reason to come back for more. McDonalds has different target markets and it is only evident that it researches on particular needs of their different customers. The use of play areas for kids attracts parents willing to go with their children to the restaurant. Children are impatient hence finding them a distraction works to ensuring growth and stability. Your response on the moms, teenagers, and seniors applies in that females are attracted to fashion, teenagers like preferences, and seniors prefer emotional attention. Response to Svannah Miller Hello Svannah, I like the approach chosen to describe McDonalds approach in gaining larger market share. Segmenting is a good approach considering it aims at targeting individuals from different age groups. Focusing on making their products more alluring makes them lose focus on the consumer preferences. It is good that you mention that instead they focus on making customers finding their products alluring. It is good that you mention the importance of understanding the food heritage. Continued growth for McDonalds lies in generating better relations with their customers. The approach you provide in handling the three segments is interesting, especially the one of creating a commercial to attract the young adults. Young adults are demanding hence require adverts that appeal to them. For the senior citizens, it is also necessary to give them something to relate to before making a purchase. Response to Whitman Wheeler The interesting factor about your post is that you give the important concepts that McDonalds applied in marketing their products. It is evident that reinforcing the products gives the customers a negative approach. It is true that McDonalds used an easier approach in understanding the needs of its customers. You relate your post to the personal experience of a friend, which makes it easier to relate to the solutions in marketing. The approach you take to analyze the segments of moms, adults, and senior citizens analyses well, as it relates to other companies that apply the same principal. Week Three Wednesday Discussion The international legal environment provides multinationals with a multitude of problems. The legal processing system is demanding considering each country works with a unique jurisdiction. The rising number of companies increases the chance of having contradiscting trademarks (Cateora, Gilly and Graham 350). The trademark dispute of Apple and China posses a challenge for Apple’s market in China, considering the iPad trademark is registered by Proview. Apple bought the rights from Proview considering Proview was making losses (Cateora, Gilly and Graham 350). Proview however argued that the rights were for use in Taiwan and not China. In my opinion, Proview started the trademark dispute to disrupt the sales of Apple in China (Cateora, Gilly and Graham 350). Even if they did not have the trademarke view, it was business driven for Proview, as the company was making losses. The solution for the Apple is to purchase full Ipad rights from Proview. An example of another trademark dispute is Twitter vs. Twittad. As twitter’s popularity grew in 2009, it tried to register the name “Tweet” as a trademark . Twittad had a problem with this registration since it owned the rights to the phrase, “ Let Your Ads Meet Tweets” (Cateora, Gilly and Graham 380). Twitter was turned down on the registration on terms that they were contradicting. Twitter however, felt that Twittad was using the public acception of Twitter to frustrate their registration process (Cateora, Gilly and Graham 387). Week Three Thursday Discussion Forum The country of origin (COO) effect influences the consumer perception of a product or service influences consumer perception. The effect involves analysis of product quality in the graded category. Consumers in France over rate the negative and positive concepts of a product based on its production country. The cost of origin affects products from France considering the market has already established markets. Consumers strongly associate products with countries of origin, India with spices, Italy with fashion, and Germany with cars (Cateora, Gilly and Graham 57). It is difficult for France to sell their cars considering they lack the global appreciation of their products in comparison to Germany. Marketing a brand with COO involves working removing stereotypes by strategic packaging. Branding works with policies that regulate products to disguise the COO. Pricing helps in marketing the product or service depending on the target market (Cateora, Gilly and Graham 300). If the multinational is handling quality products, it can start with high prices to show quality. Low pricing strategies help when the domestic companies provide competitive products at low prices. Using respected distribution companies helps the organization gain the confidence of consumers. Communication with customers is vital in getting feedback from their choice and preferences. The COO effect affects positioning of products by having difficult operations in acquiring brand attributes. It is difficult for the organization to deliver product features that benefit the customers. Companies affected by the COO find it difficult to meet consumer expectations. Price positioning is difficult for the quality set by the organization (Cateora, Gilly and Graham). Week Four Wednesday Discussion Forum Engaging in international marketing involves making an analysis of various factors concerning the new business environment. Considering the available distribution channels for the product in distinct geographical markets provides multinationals with a supply channels for their products. It is important to analyze the local distributors available for distribution. The use of local distributor’s aids in reaching customers directly. Secondly, Apple should consider researching on individual, competitor markets. Analyzing the competitors involves researching on their market share, positioning of products and their pricing strategies. The company should also research on the government participation in domestic competitors. Thirdly, international marketers should analyze the market outlook for their products in different companies. For instance, Coca-Cola is a successful multinational because of analyzing the different countries. It involves analyzing the growth rate of imported products in comparison to domestic ones (Cateora, Gilly and Graham 347). Fourthly, understanding and following the market regulation for their business facilitates a smooth entry. Multinationals should analyze the packaging requirements for their products. If they are dealing with services, the company needs to acquire a professional, operating license. Works Cited Cateora, Philip R., Mary C. Gilly and John L. Graham. International Marketing . Martinsvillle, Ohio: McGraw Hill Irwin, 2012. Print. Read More