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International marketing - Essay Example

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In adaptation, however, there is less risk of consumers rejecting a product or service because research will have been done to identify their preferences before products and services can be created for them. In many cases, multinational corporations such as McDonald’s owe their success to adapting their marketing mix strategies to suit the local preferences. While effectiveness and greater profits tend to be the result if standardization, customer orientation also brings acceptance to companies that use to expand to international markets. Both standardization and adaptation have their uses within the international business arena. The Marketing Strategy of Cell Phone Carriers in Africa. There are different environmental factors that cell phone carriers in African nations take into consideration when establishing new branches. Some of these include: Strategic Risk: The cell phone firms have to take into account the competitors in the mobile industry, as well as the purchasing power of their targeted consumers. Sometimes they may encounter intense competition from other previously established distributors that have government backing. Such business rivals can adversely affect a new company that is seeking to establish itself. Operational Risk: This has to do with faulty infrastructure or imperfect logistics. In many African nations, there may not be enough roads or transport facilities to ensure that raw materials are accessed and products created on time. This is something that ends up adversely affecting productivity. Political Risk: Political instability is something that has plagued many African nations in the past. This means that companies have to either ensure that they have government backing, in order to discourage would be attackers, or...
Operational Risk: This has to do with faulty infrastructure or imperfect logistics. In many African nations, there may not be enough roads or transport facilities to ensure that raw materials are accessed and products created on time. This is something that ends up adversely affecting productivity.
Political Risk: Political instability is something that has plagued many African nations in the past. This means that companies have to either ensure that they have government backing, in order to discourage would be attackers, or are located in a secure environment. On the other hand, they could simply purchase their own security teams. This, however, ends up being an additional cost.
Country/Culture Risk: When a country has been plagued in political strife for a long time, its citizens usually begin to view violence as being a normal part of life. This means that recklessness, the lack of law and order, and crimes such as stealing are seen as being normal. Theft of company resources, in such cases, can cause a company to use more capital than was originally planned, just to buy more assets and get adequate security. ...Show more
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The Marketing Strategy of Cell Phone Carriers in Africa. There are different environmental factors that cell phone carriers in African nations take into consideration when establishing new branches…
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