International Marketing_Customer and Research.pptx

BMA382 International MarketingChapter 5: understanding international consumersChapter 6: International marketing researchChapter 5Learning ObjectivesUnderstand globalisationExamine the ‘standardise or adapt’ debateConsider the drivers of consumer behaviourExamine the emergence of a global consumerThe changing international marketplaceGlobalisation is a process in which consumers, firms and governments are increasingly interconnected by a variety of factors.It is the process by which firms operate on a global basis, organising their structure, capabilities, resources, and people in such a way as to address the world as one market.The changing international marketplaceCritics argue globalisation equates with ‘Americanisation’, ‘McDonaldsisation’ or ‘/flashIndex1.htmlCoca-colonisation’, and that the process is predominantly one way with the US exporting its products, ideas, and culture to the world. Others argue globalisation has been beneficial with many consumers returning to their roots, looking for goods that better fit their culture. Consumer behaviour is at the centre of all marketing efforts – both domestic and international Standardise or Adapt?StandardisationStandardisation - strategy of offering a uniform product across a region or worldwide, with minor modifications to meet local regulations or market conditions. This strategy downplays the impact of cultural differences.Levitt (1983):World should be treated as one large market, national differences are superficialConsumers now have greater information and powerNeed standardisation to remain globally competitiveStandardise or Adapt? StandardisationConvergence of consumer tastes between countriesHigh costs of adaptationEconomies of scale in manufacturingNature of the product (ie industrial/consumer)Economies in research and developmentEconomies in marketingEconomic integration between countriesCompetition (if little adapted competition, standardised OK)Standardise or Adapt? AdaptAdaptation is an approach used