international marketing exam 1

Types of Globalization

economic, cultural, political 

Drivers of Globalization

channels of communication, lower transportation costs, immigration and emigration patterns, government actions

Influences on standardization vs adaption

product, company characteristics, business environment, consumers

Brand Architecture 

corporate branding - corporate name used on all products

endorsement branding - corporate brand combined with sub-brands

product branding - each product/ service is individually branded

Definition of Global Brand

recognized across countries with similar positioning

Strategies for Devloping a Global Brand

cultivate established local brands, global concept with local adaptations, create new global brands, purchase local brands and internationalize, develop brand extensions, employ a multi local strategy

Brand Rationalization

process of taking a large portfolio of brands and reducing it to a limited number of brands

issues - leaves gaps in the market, destroys, past investments, customer and retailer confusion

Values and Value Systems

values are ordered based on their priority, priorities vary across societies

Descriptive vs. Injunctive Socal Norms

descriptive - perceptions of how most people in a society behave, describe what is done in a society

injunctive - perceptions of what behaviors are approved of by society, what people should or should not do

Culture and the Manifestations of Culture

culture - set of rules, instructions, and plans that govern behavior , lead to shared beliefs, attitudes, norms, and values among people of a particular language living in a specific region 

manifestations - symbols, heros, rituals, values

High vs Low Context Cultures

high - shared meaning behind language, lots of symbols and nonverbal communications

low - explicit verbal / written communication, everything is fully explained

Concepts of Time

orientation to past, present, or future

past - preserve history, look for inspiration

present - focused more on whats happening now

future - present actions designed with the future in mind, new is embraced, old disgaurded

Relationships with Nature

Harmony(an important part), mastery(superior to), subjugation (helpless)

SR- Benefits of standardization and adaptation

standardization - cheaper, increases efficiency, ability to focus on single approach

adaptation - more satisfied customers, increased brand image, increased sales

SR - Strategies for developing a global brand

Cutivate established local brands, Global concept with local adaptations, Create new global brands, Purchase local brands and internationalize, Develop brand extensions, Employ a multilocal strategy

SR - Culture and the manifestations of culture

These manifestations are how culture becomes observable and transmitted, shaping how a group understands and interacts with the world

Power Distance

high - social status is clear, status shown through looks, perfer to buy the number 1 brand

low - dont want to stand out from others, willing to by other brands

Individualism vs Collectivism

I - focus on “I”, brands have personalities 

C - focus on “we” salespeople build relationships and trust, focus on product features

Motivation Toward Achievement and Success

High - ambition, competitiveness, live to work

Low - cooperation, quality of life, work to live

Uncertainty Avoidance

High - need for rules and formality, belief in experts, less likley to adopt innovations, less sports, exercise, travel

Low - more likely to adopt innovations, belied in common sense

Long- term Orientation vs Short

Long - need to take care of the future, only buy what is needed, price conscious, less use of social media

Short - more religious, spend more, first to buy new technology, depend more on info from TV, family, and friends

Indulgence vs Restraint

Indulgence - leisure is important, willing to pay for extra quality or latest gadgets, people have control over their own lives

Restraint - Value work hard and thrift, buy something only if needed, greater foucs on traditional values

Hofstede’s Value Dimensions of Culture

Power distance, Individualism, Motivation toward achievement and success, Uncertainty avoidance, Long-term orientation, Indulgence