Download International Perspective - Consumer Behaviour - Lecture Slides and more Slides Consumer Behaviour in PDF only on Docsity! International Perspective • Mobility of capital, technology and people impinge trade • Competitive positions of domestic companies and industries are affected • Factor mobility imbalances result in strategies of cross- national integration • Political and economic agreements among countries give preference to member countries in the agreement International Perspective • Regional Trade Agreements or RTA’s are rising because of factors like distance, similar consumer and industrial trends, common history and economic interests • They start as FTA’s and develop into Custom Union and than a Common Market regime • The EU is an example with a common currency and central bank • This results in trade creation, trade diversion, economies of scale and increased competition • NAFTA (Canada, Mexico and US) is another example of a powerful Regional Trading group Important Cultural Differences • Language • Traditions – Symbols • Demographics • Norms • Non-Verbal communications Cross-Cultural Consumer Analysis • Similarities and Differences among People – This understanding is essential to devise appropriate marketing strategies in specific foreign markets. If there is a similarity than a similar marketing strategy can be developed. Individualised marketing strategies may have to be developed if there are marked differences Cross-Cultural Consumer Analysis • Growing Global Middle Class – The growing global middle class in developing countries is attractive to global marketers who have to identify new customers. Although the income levels may not be high as per developed world standards it represents an impressive amount of buying power Cross-Cultural Consumer Analysis • World Brand – Firms have created world brand products that are manufactured, packed and positioned in the same manner regardless of the market e.g. upscale brand of wrist watches. Certain marketers use world branding strategies e.g. Proctor & Gamble have global brands like Pringle and Pantene. Market research in key markets is important and to bring together the important marketing personnel in the various markets which are targeted Adaptive Global Marketing • Some firms like McDonalds adapt their advertising messages to the specific value of particular cultures. Others like Levi's follow multilocal strategies that calculate cultural differences in creating brand images for their products. • Companies like Unilever augment their global strategies with local executions Multinational strategies • Challenge is to create multinational strategies – marketing and advertising programs to handle diverse markets • Global strategies – standardising both product and communication program • Local strategies- Customising product and communication program • Mixed Strategies – They also represent growth opportunities
