lobalization is one of words used nowadays to describe the convergence of cultures. Cultures are believed to move closer together as a result of increased travel, better communication methods and enhanced transportation opportunities (Hassan,1991). Companies try to anticipate this change by offering standardized products to a global audience. Examples of global products are credit cards, mobile phones, automobiles, food and beverages. The Big Mac, for example, is a standardized products market globally that it is used by economists to measure the purchase power of different currencies, the famous Big Mac Index. Marketers face many challenges in this global village but one of the most interesting challenge is how far can standardization of marketing efforts be pursued. Cultural differences are a logical barrier to standardization of the marketing strategies on a global scale. As there are countless cultures on this planet, there are also many different needs that must be satisfied by adapted marketing mixes. Therefore, standardization ignores the cultural differences for the sake of simplicity and cost savings. The knowledge of cultures and the understanding of cultures is important to develop effective marketing strategies across cultures. Simplifying cultures is done via segmentation. Segmentation helps clustering groups of people that might respond in the same manner to specially adapted marketing strategies. Segmentation plays a vital role in the process of standardizing marketing efforts. It helps standardizing customer groups. How far can companies go in standardizing their marketing efforts? This topic is discussed by many authors as mentioned later in this article and represent a dilemma global companies face. Either they simplify their marketing strategies to save costs but ignore cultural differences or they adapt their marketing strategies to local needs and incur rather high costs and high efforts. The main problem this article investigates is how can the concept of culture be used to resolve the dilemma faced by global companies in standardizing or adapting their marketing efforts?
Inhaltsverzeichnis (Table of Contents)
- Introduction
- The concept of culture
- Segmentation - methods and bases
- Physical Attribute Bases
- Behavioral attribute segmentation
- Segmentation and Culture
- Global products and global segments
- Motorola -solving the dilemma?
- Segment 1: The technology enthusiasts
- Segment 2: Status Seekers
- Segment 3: Personnel Connectors
- Segment 4: Business people
- Conclusion
- Reference list
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This article examines the dilemma global companies face when standardizing or adapting their marketing efforts in the context of cultural diversity. The author explores the role of culture and segmentation in addressing this challenge.
- The concept of culture and its impact on marketing strategies
- Segmentation methods and their relevance to cultural differences
- The standardization versus adaptation debate in global marketing
- The application of culture and segmentation to develop effective global marketing strategies
- A practical example of Motorola's approach to global marketing
Zusammenfassung der Kapitel (Chapter Summaries)
- Introduction: The introduction defines the context of globalization and the challenges companies face in standardizing marketing strategies due to cultural differences. It highlights the importance of understanding cultures and using segmentation to adapt marketing efforts.
- The concept of culture: This chapter explores the definition and characteristics of culture as a shared system of meanings, emphasizing its relative and learned nature. Key figures like Hofstede and Trompenaars are introduced, along with their models of cultural dimensions.
- Segmentation - methods and bases: This section delves into different segmentation methods, focusing on physical and behavioral attributes. It explains how these methods can be used to identify and target specific customer groups.
- Segmentation and Culture: This chapter examines the relationship between segmentation and culture, demonstrating how understanding cultural differences is essential for successful segmentation. It highlights the role of segmentation in adapting marketing strategies to cultural needs.
- Global products and global segments: This section investigates the standardization/adaptation debate in global marketing. The author explores how companies can effectively balance standardization and adaptation by leveraging segmentation and cultural insights.
- Motorola -solving the dilemma?: This chapter presents a practical example of how Motorola applies the concept of culture and segmentation to address the standardization/adaptation dilemma. It analyzes how the company successfully targets different customer segments based on their cultural values and needs.
Schlüsselwörter (Keywords)
The central keywords and focus topics of this article include globalization, marketing strategies, cultural diversity, segmentation, standardization, adaptation, cultural dimensions, and global products. It examines how these elements interact to influence successful marketing efforts in an increasingly globalized marketplace.
- Quote paper
- Tomislaw Dalic (Author), 2001, Globalization of marketing strategies in the light of segmentation and cultural diversity, Munich, GRIN Verlag, https://www.grin.com/document/14790