Premium Essay

Standardization vs Adaptation

In: Business and Management

Submitted By kaley015
Words 2002
Pages 9
When an organisation decides to expand its activities into regional or international markets, it have to make a decision into which strategy to implement either in standardizing or adapting the marketing mix. According to Ang and Massingham (2007) a company’s choice to standardize or to adapt its approaches is essential, since it influences the organization's approach to business and the way in which they compete. It is also important in international business since it drives the Multinational Company’s ability to reduce cost or respond to local market demands (Bartlett and Ghoshal, 1998).

According to Walters (1986) standardization is the implementation of a similar or uniform marketing programme or process across national borders. The standardization strategy indicates the use of a unique market or the homogenization of international products. In few cases standardisation have a 100% uniformity as many organisations have different levels of standardisation and standardise segments of the marketing mix. Levitt (1983) states that the “Global competitor will seek constantly to standardize his offering everywhere… He will never assume that the customer is a king who knows his own wishes.” However, standardisation should not be looked at from only the point of the marketing mix but also the management of an organisation. Sorenson and Weichmann (1975) stated “the intellectual method for approaching a marketing problem, for analysing that problem, and for synthesizing information in order to arrive at a decision, can absolutely be standardized on an international basis." This belief have been supported by many other studies for example, regarding the promotion of multinationals Dunn (1976) suggest “"the methodology of planning is one area where standardization seems to work." Several advantages of standardisation is developed by Carpano and Chrisman (1995), Walters…...

Similar Documents

Free Essay

Cultural Adaptation

...ESSAY To what extent are you convinced by Tange’s (2005) position regarding cultural adaptation? In the new global economy, the model of cultural acculturation proposed by Hanne Tange has become a central issue that concerns international business about sojourner adaptation into foreign society. Author points out that by recalling sojourners to their own country without completing the process of acculturation into the host culture will lead to the loss of obtained intercultural experience that is significant resource for profit of international business. The process of cultural integration is divided into three stages: the arrival in a new country, the two-year crisis and the intercultural phase. The purpose of this essay is to review recent research into multicultural business communication that has been presented by Hanne Tange in 2005, assistant professor in School of business. The author’s aim is to argue Lysgaards U-curve model that has been conducted in 1995 in relevant field among Norwegian Fulbright students in the United States of America, that has been most cited in cultural adjustment researches. The research examines the process of cultural integration of sojourners into the host country, particularly among seven Scottish immigrants in Copenhagen. The approach taken by Tange provides the opportunity to examine the immigrants’ experience in the host culture in a qualitative research framework. The methodology has a number of attractive and controversial features...

Words: 1228 - Pages: 5

Premium Essay

Standardization

... Fashion Market in Russia. Content 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Background General information Segmentation Specifics of Russian consuming Production Import/export Main distributions channels Main brands Accessories Regional specifics Tendencies Conclusion Leningrad Region Chamber of Commerce Background of Fashion Market in Russia • Soviet time (till end of 80th) • “Second hand” time (end of  80th – middle of 90th) • Development time (middle  of 90th – 2008) • Crisis (2008 – ?) Leningrad Region Chamber of Commerce General information • General overview of retail market. * • Retail sales in Russia in 2008 accounted 13,850 tr. Rub (380 bln. EUR). • The forecast for 2009 is 15,235 tr.Rub – the growth is only 10%  vs 27%  growth in 2008. • The majority of Russian retail operators have changes their plans on store  openings for 2009.  • Clothing retail market overview: • Clothing, footwear and accessories remains the second‐largest retail  sector after food retailing in Russia. In 2008 it amounted to 1,452 bln RUB  (40 bln. EUR) • In 2008 clothing accounted for 61,7% of the total market,  footwear – 35,9%, accessories – 2,4% • In 2009 –estimation is about 4,9% decreasing * PMR research ”Clothing and footwear retail market in Russia 2009‐Luxury market insights and development Leningrad Region Chamber of Commerce Segmentation Price segmentation • Low - up to 35 euro • Medium ( low, medium, upper)- up to 70 euro • Premium – 70 euro and more......

Words: 2828 - Pages: 12

Premium Essay

Standardization V Customisation

...S and Shaw, J (2007). International Marketing, Analysis and Strategy. 4th ed. New York & London: Routledge • Chung, H (2002). An Empirical Investigation of Marketing Programme and Process Elements in the Home-Host Scenario. Auckland, NZ: The Haworth Press, Inc. • Brei, A (2011). The Influence of Adaptation and Standardization of the Marketing Mix on Performance: a Meta-Analysis. Curitiba: Brazilian Administration Review • Doole, P. (1983). Understanding International Marketing. Harvard Business Review. 24 (1) • Alon, I and Jaffe, E (2013). Global Marketing: Contemporary Theory, Practice, and Cases. 4th ed. Itlay: Mcgraw-Hill. 1. • Hollensen S. (2011), Global Marketing: A decision-oriented approach: 5th Edition, Harlow: Pearson Education Ltd Bibliography: • Cloninger, P (2007). Standardization, Customization and Revenue from Foreign Markets. Vol 20: Journal of Global Marketing • Omar, M (2010). Methodological Issues in the Determination of Standardisation and Involvement Strategies in International Marketing. Napier: Napier University • Vrontis D, Thrassou A, Lamprianou I (2009). International Marketing Adaption vs Standardization of Multinational Companies. London: Emerald Group Appendix A - [Doole P, 1983:2] |12 C’s to Understand Overseas Markets |Description | |Country |General......

Words: 2250 - Pages: 9

Premium Essay

Mkt320 Paper - Product Adaptation

...economies are becoming more global; therefore, non-tariff and tariff barriers are becoming less relevant in most economies. International marketers have been attracted to the similarities and openness of global markets and are pursuing opportunities aggressively. Although distance is no longer a perceived problem, an international marketer has to consider factors such as culture and economic conditions as they play a pivotal role in the adaptation of products and their offerings. International marketers that are focused on products have to consider a great deal of things before entering or selling products abroad. For example, government regulations, customer preferences and expectations are variable and influential as products are introduced into the global marketplace. Other factors that a marketer must take into consideration are: product readiness for the international market entry; brand name, packaging, and appearance (Czinkota and Ronkainen, 2010). International marketers will have to pay close attention to these as they may call for adaptation. A firm’s successful venture of introduction a product internationally, depends on how good its product and its offerings are and how well the firm is able to differentiate the product from the offerings of other competitors (Czinkota and Ronkainen, 2010). This is what gives a company a competitive edge in the global market. How well the product is differentiated, its positioning features and the activities surrounding the......

Words: 1619 - Pages: 7

Premium Essay

Adaptation Is the Key to Success

...Adaptation is the Key to Success Adaptation is a better strategy regarding global markets. With adaptation, a global company can reach a larger target audience and dominate the market which both can lead to increased profits, the company’s overall goal. Even though initially money will be spent to customize products, the increased profits will cover the loss. Adaptation will enable a global company to reach a larger target audience. If a company chooses adaptation over standardization, it can customize products that are compatible with a wider variety of customers as opposed to making one standardized product. Adaptation allows companies not to force customers to adjust specific needs to make a particular product accommodate the customer’s needs. Each person does not have the same lifestyle and does not require the same output from a product; therefore adaptation would be wise for a global company. Once a global company adapts its product to accommodate customers, the company will be able to dominate that particular market. Competition would become very low. The company will have a competitive advantage because customers have many more options and alternatives when it comes to choosing the company’s products over the competitor’s products. If the company has so many options for the consumer to choose from, the consumer has no need to buy elsewhere, therefore knocking out any possible competition for the company. Once a global company reaches a larger target audience......

Words: 337 - Pages: 2

Free Essay

Sensory Adaptation

...| Sensory Adaptation | Psychology Unit 2 IP | | Pamela Bradford 21571629 | 8/4/2013 | This paper will provide experiments to explain Sensory Adaption of the human body. | Sensory adaptation is the process by which senses become less responsive to particular stimuli. Consider the enjoyment of flowers in a garden at dusk. When the surroundings are brightly lit, the red of a rose or geranium will appear bright against the greens and blues of their leaves. As darkness falls, however, the greens and blues appear brighter, and the red of the flower becomes harder to see. Some people take advantage of this phenomenon by planting “moon gardens,” which are gardens filled with whites, greens, and blues. All of these elements reflect the capability of the visual system.(Editorial Board.2011) Experiment 1: I placed 3 bowls of water on the counter. The first one is filled with hot, not painfully hot, tap water. The second is lukewarm water (a mixture of hot and cold water). The third is filled with cold tap water. To begin I will place my left hand in the hot and the right hand in the cold for a few seconds, then emerge both hands into the lukewarm water. When I put my hand in the hot water, I sensed a tingling sensation. The hand in the cold water started to get a cool numbing sensation. When I placed them in the lukewarm water, it was like my hands felt “normal” again. The skin also has receptors that respond to tactile pressure. People can feel fine points more......

Words: 487 - Pages: 2

Premium Essay

Concept of Adaptation

...Concept of Adaptation Concept of Adaptation Kimberly Johnson Intro to Psychology When we are given the word adaptation we look at the root word which is adapt. It means to make suitable to or to fit. So the word adaptation means the act or process of adapting. I will be conducting 3 experiments in which I will test weather my response is me adapting to the change or if I will not. The three experiments that I will be conducting are first I will test the temperatures of water and see how my sense of touch adapts to the change in temperature. Next I will test my since of taste. I will be tasting sugar water and I will see how my tongue adapts to it verses plain water. Last but not least I will again test my sense of touch with sand paper. After doing each of these three experiments I will be able to clearly define weather or not my senses adapt to change or not. The first experiment is as I stated before me testing my sense of touch. I have the three bowls in front of me the left one with the hot water and the right one with the cold water. The middle bowl has the Luke warm water in it. As I submerged my hands in the right and left bowl, my mind already knows what to expect and even thought my mind knows what is coming, when my hands hit the water it still is a shock with both the hot and cold water. Chills run up both arms and I even shiver a little bit. My hands have to stay here for at least 3 minutes. During this time my left hand is adapting to the hot water but......

Words: 798 - Pages: 4

Free Essay

Standardization

...Abstract This research paper discusses the key term: “standardization” that’s chosen as a topic for this study for module four for International Business class. Recent scholarly articles and various publications were examined and reviewed covering standardization process as a measurement to manage global operation of international business. Its limitations and drawbacks are deliberated as well. Through out this research papers, the following subjects were deliberated: reasons for picking this key term as a topic, a specific explanation and definition of standardization and its role, process, a summary for the major article chosen which is titled “A Model of Advertising Standardization in Multinational Corporations” and the main points it covered, a specific discussion covering the relation of this article to key term and to manage global operations and international market, the relation of the four other scholarly articles research and their discussion to the relation to the major article and main key term. Keywords: standardization, global operation, culture, marketing mix, advertising Standardization Key Term and Why I am Interested In It The key term I decided to extend my research on for this week is “Standardization”. After reading the required material for the International Business class, I have acquired a better conceptualization for the aspects and dimensions of doing business abroad. Consequently, I have desired to further my understandings on one of...

Words: 1616 - Pages: 7

Premium Essay

Strengths of a Standardization Strategy

...An adaptation marketing strategy suffers from several downfalls that are in fact, strengths of a standardization strategy. Likewise, standardizing a firm’s marketing strategy can limit the company in a variety of ways that prove to be benefits of an adaptation marketing strategy. This essay will explore the advantages and disadvantages of the two international marketing strategies, with integrated examples of each strategy provided. To conclude this argument, the concept of combining both standardization and adaptation strategies when operating internationally will be discussed. Standardization Advantages The standardization strategy denotes that corporations offer a uniform marketing program and/or process, (being the product, promotion, place and price) on a national, regional, or worldwide basis (Chung, 2003). Essentially, the firm uses the same advertising, product design, product packaging and the same price that is used in the home market. Companies that follow a standardization strategy are the likes of Apple and Coca-Cola, where an iPod is the same anywhere in the world, as is a can or bottle of Coke. As noted by Levitt (1983) corporations using a standardized marketing strategy benefit from enormous economies of scale in production, distribution, marketing, and management. As a result of this, such firms can destroy competitors that have not yet “geared up” to this new commercial reality, thus allowing the firm to achieve long-term success with minimal threat of......

Words: 1503 - Pages: 7

Premium Essay

Adaptation

...What are some characteristics and examples of "adaptation" and why it is of interest or concern to anthropologists? Give examples of behavior adaptation today or in the past. Adaptation chapter 18 Adaptation refers to beneficial adjustments of organisms to their environment, a process that not only leads to changes in the organisms but also impacts their environment. Food foraging is the oldest and most universal type of human adaptation and typically involves geographic mobility, Horticulture more permanent settlements , while pastoralism required mobility to seek out pasture and water cultural adaptation A complex of ideas, activities, and technologies that enable people to survive and even thrive. convergent evolution In cultural evolution, the development of similar cultural adaptations to similar environmental conditions by different peoples with different ancestral cultures.  What does race mean and how does this impact racism? Biological race concept race In biology, the taxonomic category of subspecies that is not applicable to humans because the division of humans into discrete types does not represent the true nature of human biological variation. In some societies race is an important social category. In biology, a race is defined as a subspecies, or a population of a species differing geographically, morphologically, or genetically from other populations of the same species Racism, a doctrine of superiority by which one group......

Words: 1666 - Pages: 7

Premium Essay

International Standardization

...efficiency and legal safety of certified business processes. New international customers can be added to your client base due to the enhanced image that ISO certification provides. New market segments can be reached through marketing efforts that focus on environmental responsibility, and lower prices can drive up your sales volumes. Considerations ISO certification requires a rigorous and time-intensive process of internal analysis and re-design that can be daunting for many small business owners, but there are resources available to assist you in achieving your certification goals. Many consultants specialize in helping small- and medium-sized businesses in becoming compliant with ISO standards, and the International Organization for Standardization itself can offer valuable assistance with your initiatives Disadvantages of adopting ISO standards are as follows:- * Does not guarantee better quality: ISO certification definitely does not automatically lead to better quality product. While it does encourage operations to think in terms of systems, it does not require them to be good. This is definitely a problem with newer certified companies and those with purchased quality systems. * Focus on certification: For anyone that has worked with ISO certified companies, this is definitely a truth. ISO certification becomes a target, an end point, a stop on the road to quality. In reality, continuously improving the systems would lead to better quality, but for ISO......

Words: 890 - Pages: 4

Free Essay

Sensory Adaptation

...Introduction: Adaptation in sensory evaluation of food refers to the slow drop of sensation (in constant magnitude) after the stimulus has been fully switched on (Lawless & Heyman, 1993). They also added that after a certain time this sensation can completely disappear or in some instances the taste persists that shows a degree of taste adaptation. This idea usually occurs when the perceived taste intensity of one product reduces the other different product. For example, water can taste sour or bitter after a salt adaptation. On the other hand, taste interaction masks the interaction between mixtures of different tastes (Lawless & Heyman, 1993). A solution of sucrose (sweet) and quinine (bitter) will taste less sweet than a pure sucrose solution of the same strength. According to Lawless and Heyman (1993), these sensations are distinguished by taste buds present on the tongue namely fungiform, circumvallate and foliate. They contain 30 to 50 taste receptor cells (TRCs). TRCs protrude hair-like cilia called microvillae to the surface of the taste buds that form the taste pore. This then comes into contact with the saliva. It is believed that flavoursome molecules from food bind to microvillae at the top of the taste cells. After binding, the taste-producing compounds (tastants) transfer sensations to the tongue and beyond by different pathways. For chemicals that produce sweet, umami and bitter tastes they use similar receptors called G- protein coupled receptors......

Words: 1440 - Pages: 6

Premium Essay

Critical Review: Standardisation vs Adaptation

...A critical review of Viswanathan, N. & Dickson, P. 2007, ‘The fundamentals of standardizing global marketing strategy’, International Marketing Review, vol. 24, no. 1, pp. 46-63. Introductory Academic Program – Academic English The issue of standardisation versus adaptation, which affects all international business organizations, continues to evolve as markets and technologies develop further. In the article ‘The fundamentals of standardizing global marketing strategy’ (2007), Viswanathan and Dickson contribute to the discussion by examining the considerations related to the standardisation of a multinational company’s marketing practices. The authors subsequently propose a new theoretical framework that identifies three complex drivers to be considered in evaluating the degree of marketing standardisation possible: the similarity of consumer response to the marketing mix, the transmissibility of competitive advantage, and similarities in the amount of economic freedom in different markets. The article imparts perceptive insights on the latter two drivers, which, according to the literature review, have been relatively ignored by researchers in comparison to the role of consumers. This critical review assesses the structure and practicality of the proposed conceptual framework, as well as the comprehensiveness of the authors’ exploration of the issue. The proposed theoretical model, intended for the use of marketing practitioners as an instrument in......

Words: 981 - Pages: 4

Premium Essay

Standardization

... A hospitality service is an intangible factor in the hospitality industry. It is what the host given to the guest for their needs. It is the important part in hospitality industry. “Standardization refers to the situation where uniformity is achieved either in outputs (products or services) and / or in the processes that produce such outputs.” (Taylor, 2000, p. 51) It is using the same ingredients, recipes, prices, and etc. In the setting of customer service, standardization is the processes making the organizations to focus their attention in provide a great customer service. It is satisfying the customer expectations and needs. The motivation for standardization comes from a number of sources. “These include the aspiration for reducing costs and improving reliability of systems. By promising that reliable and interoperable standard exists, it is possible to dodge being locked into specific vendor’s products and ensure healthy race to improve quality, reduce costs, and guarantee reliability of supply.” (Ratha and Govindaraju, 2008, p. 473) I am agree with the statement that standardization of hospitality services provides customers with consistent quality and ensure that staffs are able to deliver it. It is a great way to give excellent services to customer. Nowadays, standardization of hospitality services can be seeing everywhere, even all over the world. This is done to promise that the finished product made has consistent quality, and that any decisions made......

Words: 2575 - Pages: 11

Premium Essay

Standardization

...FEATURE The Value of Standardization By Randy W. Clark, President and Chief Executive Officer, Energistics RANDY W. CLARK is President and Chief Executive Officer of Energistics. He has more than 25 years of experience in the oil and gas industry in a variety of different roles and positions with industry companies, including 10 years with Baker Hughes in Houston. Before joining Energistics, Clark was Senior Vice President of cc-hubwoo/Trade-Ranger, the world’s largest electronic marketplace for indirect goods, whose members include many major oil and gas operating companies such as Shell, Total, Statoil, and ConocoPhillips. Additionally, Clark has been active in many global ebusiness standards development efforts and is immediate past-chair of the Petroleum Industry Data eXchange, the e-commerce subcommittee of the American Petroleum Institute. Clark’s experience has included oil and gas production-facility design and project management, purchasing management, business process re-engineering, new product development, data and information standards development, and e-business strategy and development. He earned BS and MBA degrees from Texas universities and he holds professional certification in new product development from the Product Development and Management Association. Talent & Technology » 15 S tandardization of data and information exchange is one of the most problematic, yet potentially highest value, issues facing the upstream oil......

Words: 1929 - Pages: 8