International Marketing Environment

“A company’s marketing environment consists of the factors and forces outside of marketing that affect marketing management ability to build and maintain successful relationships with target customers”. – Philip Kotler

International marketing environment consists of global forces, such as economic, social, cultural, legal, and geographical and ecological forces, that affect international marketing decisions.

International marketing environment for any marketer consists of internal, domestic, and global marketing forces affecting international marketing mix.

Factors of International Marketing Environment

Factors of International Marketing Environment can be classified into three categories namely:

Global Factors (International Uncontrollable Environment), Domestic Factors (Domestic Uncontrollable Environment) and Organisational Factors (Internal Marketing Environment).

International Marketing Decisions revolve around 4P’s (Product, Price, Place and Promotion)

For Ex: A manager who deals with international marketing has to design his marketing mix and marketing mix strategies in accordance with these forces. He also has to keep in mind about the impact of such forces on his marketing decisions and also the levels of opportunities and threats needs to be taken into consideration.

People and businesses make decisions for resource allocation and prices for services and goods which are part of Microeconomics. The governmental regulations and tax policies are also taken into consideration.

Microeconomics solely focuses on  marketing environmental forces that determine the level of price, supply and demand in an economy. For e.g. microeconomic factors look into how a company would do to maximize the production and capacity in order to lower the prices of its products and to compete in the industry in better and efficient way.

Macroeconomics, on the other hand, is the study of whole economy which includes the study of complete industry, not just of a specific company. This involves the phenomenon such as Gross National Product (GDP) and how changes in the economical factors such as national income, unemployment, growth rate and level of price affects it. For instance, the impact of net- exports on nation’s capital account or effect of unemployment rate on GDP.

The macro and micro economics is considered as the study of two diverse divisions of economy. Whereas there are several issues that make them inter-dependent on each other. For instance, the price of end product would increase with the increase of inflation rate, the price of raw material will increase that will end up with increase in price of finished goods.

The microeconomics adopts the bottom-up approach whereas macroeconomics has a top-down approach.

Macroeconomic factors and microeconomic factors concurrently plays a vital role in establishing a successful business as it provides important means for professionals to operate the business in an efficient and effective way to generate sound revenue.

Coming back to the topic, Global Factors are related to the world economy. Every aspect of marketing decision is also influenced by global factors. The main global factors include Micro and Macro Environment.

Customers:
The success of marketing strategy also depends on the customers of company’s product. The nature of customer such as b2c, b2b, international or local and the reason for buying the product will play a role in establishing the marketing strategy of company and how they approach the customers and serve them.

The satisfaction of general public is a duty of organization. Company must take decisions while taking the perspective of general public into consideration and how they will get affected by their decision. The customers hold the power to make a win-win situation for a company by helping it reach the goals.

Competition:
Market competition exists when two or more firms sell same or similar products and services. The companies must take into account the way they approach the customers and sell their products to the customer, what price and product differentiation they have for their customer. These factors can be taken into account to get edge over their competitors.

Suppliers:
Business success depends on the suppliers when they enjoy an authority. The supplier of a company holds the power when they are the only one in the market or when they are the largest supplier of the goods. The buyer is not essential to the suppliers business, as the supplier’s good is the core ingredient of the finished product of buyer.

Resellers:
The success of companies marketing strategy also depends on resellers if the finished goods of a company is taken to market by market intermediaries or any other third party. These forces include wholesaler, retailers etc. For example, If the retail seller holds a reputable name in the market then their reputation can impact the marketing of company’s product.

Other Global factors include:
Global relations among nations and degree of the worldwide peace, Geographic/ecological/climate-related factors, Functioning of international organisations like UNO, World Bank, WTO, etc., Availability of marketing facilities and functioning of international agencies, etc.

Domestic Factors: These factors are related to the economy of the nation and it includes economic, social and cultural, demographic, political and legal, and other domestic aspects which constitute domestic environment for international marketing. This environment affects international marketing mix in several ways.

Main domestic factors include:

Demographic factors:
Demographic forces do impact the different market segments, which includes region, country, age, educational level, ethnicity, lifestyle, cultural norms and values.

Economic Factors:
The organization production and decision making process of customer also affected by the economic environment.

Natural Factors:
The organisation must take into account the renewal of the natural resources of the earth such as agricultural product, forest, marine resources etc. The organizations production can also be affected by the non renewable resources which includes coal, oil mineral.

Technological Factors:
The organization must consider the technological factors as the knowledge and skills used in production of goods. The technology and materials used in production of goods and services helps in smoothing the process of business.

Political and Legal Factors:
The organization should take into consideration the political and legal development relating to market and organization during decision-making process.

Social and Cultural Factors:
The impact of organization’s services and products on the society must be taken into consideration. If there is any element used in production process or product that is harmful to society should be avoided since it is a social responsibility of an organization. An example is of the organizations and sectors those who have reviewed their services and products to be considered environment friendly.

Internal or Organisational Factors:
These are internal and controllable factors. They are related to internal situation of the company dealing with international trade. International marketer needs to use, adjust, and organize these factors to satisfy needs and wants of the (international) target markets.

These factors include:
Objectives of company, Managerial philosophy of company, Personal factors related to management, Managerial attitudes toward other nations, customers, social welfare, etc., Company’s policies and rules, Resource ability of company and marketing mix, Form of organisation and organisational structure, Nature and types of employees, Internal relations with other departments and Company’s relations with other stakeholders and service providers.

Trends and Predictions:

CMOS and their teams will embrace AI in 2018 – Knowingly or Unwittingly. Scott Beaumont, President Google Greater China, Google

AI will advance more sophisticated attribution modeling, better audience targeting, better messaging, better creativity and experiences, customizing them according to time, location and event. AI will assist human expertise and talent with a scientific touch. IDC predicts that global spending on cognitive systems will reach $31.3 billion by 2019: China’s marketing community will lead the way.

The Future of Marketing is About Connection and Content. Steven Chang, Corporate Vice President, Tencent

China’s internet economy has undergone a rapid expansion over the past decade. From humble beginnings as an imitator, China has taken a dramatic leap to become a trailblazer in digital marketing. In 2018, Chinese innovation and imagination in marketing will increasingly benefit from Chinas’ sophisticated digital ecosystem that combines data, technology, and content to enable better customer insight and new opportunities.

Conclusion

Strategic marketers must take into consideration the micro-economic factors and macro-economic factors during decision-making process as these forces have a major effect on the marketing campaigns success. Thus marketing environment forces can play a vital role in the success of a business, its marketing strategies, marketing campaigns and its branding.

Three-level International Marketing Environment

https://www.youtube.com/watch?v=RvOv5whZ-a0



How to Effectively Manage Your Cleaning Business

Managing a cleaning service business is a lot of work. It involves coordination, careful planning, and diligence. You should be able to effectively manage your team to offer the best service to companies and organizations.

The following are tips to guide you

  • Have your kind of clients

To maximize your profits and skills, specialize in cleaning for a particular kind of clients. Target specific audience such as commercial businesses. This creates a brand for you and people in that area know who to contact. Don’t try to be everywhere. This also allows for referrals/ recommendations.

  • Attract office clients

Print fliers and business cards to give to prospective clients. You can also create a website that lists the services you provide. Include locations you specialize in and testimonials from old clients. You can also email managers or visit firms and note areas of improvement and then offer your services.

  • Charge enough to cover expenses

When you charge your clients, calculate the amount spent on acquiring cleaning supplies and time taken to get the job done. This will give you an idea of how much it costs to clean an office or firm and determines what you charge your client.

  • Have a cleaning method

Develop a system that doesn’t waste time. You can clean one office once and then move on to the next one or you can do the basic in each room then vacuum the whole office or block.

  • Get the best price for your cleaning supplies

While you are working on getting the right products for your cleaning tools and equipment, you should also try as much as possible to save money.  You can do this by buying your supplies in bulk. Buying in bulk reduces cost and maximizes profits. You can also get concentrated cleaners and dilute them in part.

  • Offer discounts to new customers

You can offer discounts to your new customers for their first cleaning service. This will bring more clients your way. You can also allow for refunds in cases where your clients are dissatisfied with your job.

  • Hire passionate employees

Hire people who are passionate and enjoy their work. Your clients are trusting you to deliver the best and your employees should understand that too. You can use an employment agency to help you hire the best candidates. Good employees get the job done well and earn you loyal clients. Your employees are a representation of your company and determine what feedback you get. Take your time and hire the right ones. You can also use GPS tracking systems to monitor your mobile employees.

 

In all, a cleaning business can be profitable, but you can lose a lot if you don’t do your homework well. Managing your employees is a top priority as they are mobile and it can be hard to keep up with, as you are not always with them. Have clear expectations and be flexible as a cleaning business owner. State your goals and clear standards.

Global marketing strategy of BMW

The world has continued efforts to globalize the market. Global players, including BMW, a prominent automaker from Germany, are vigorously articulating marketing strategies to create value that better serves customer needs.

In order to create a successful marketing plan, managers must configure the varying aspects of the marketing mix and identify precise market segmentation to understand different patterns of customer purchasing behavior.

BMW implemented a different marketing mix to sell cars to different socioeconomic segments, aggressively emphasizing premium segments. BMW initiated the goal of segmenting the premium market by optimizing the fit between the purchasing behavior of consumers and the marketing mix to maximize sales to that segment. Responding sensitively to unique values and purchasing behavior enabled BMW to transcend intended performance.

To begin with, BMW vehicles sell well to consumers who have high standards for quality, luxury, and performance because BMW builds those attributes into its automobiles.
The fact that BMW concentrates on premium segments on a global scale and consistently defines high-end brand identification renders success. Attractive and trendsetting products ranging from the 3 to 7 series that deliberately focus on affluent customers demonstrate the success of the automaker’s global marketing strategy.

The firm’s global marketing strategy represents leadership through innovation. Originally an aircraft engine manufacturer, BMW incessantly sought an innovative spirit to satisfy the premium market’s demands.

Recently, requirements for clean energy and green environmental factors have rendered many companies to concur with their business strategies with the shifting paradigms of environmental demands.

BMW’s innovation initiates from the realization of such requirements for clean energy, such as hydrogen. The innovative spirit of BMW’s testing of hydrogen-fueled automobiles since 1978 and applying the technology to production demonstrates its futuristic mindset and innovative leadership.

BMW creates value, competitive advantage and ramifications of innovation through various marketing efforts heavily committed in the premium segments of significance.

Though disciplines of marketing are universal, the method of global marketing strategy that BMW addresses reflect the significance of premium relevance.

BMW does not feature minivans segmented as MPV (multi-purpose vehicles) in its product lineup.

The logic is simple. BMW is a premium brand that does not compromise and cater to any segment of the market. Its global marketing strategy underscores the selected premium target market.

In addition to premium marketing, BMW has shifted its position as “the ultimate driving machine” to “sheer driving pleasure” that refers to a gradual movement from the emphasis on automobile performance to the involvement of customers and taking emotional factors into serious consideration.

The company attempts to underpin the new theme of communication that integrates superior performance of automobiles into emotionally sensual marketing communication worldwide. The global marketing strategy underscoring activities that form an emotional foundation spotlights consumers actually enjoying driving premium and superior automobiles that BMW create.

Not to be conventional, the emotional marketing perspective that intertwines with the premium marketing in BMW’s global marketing strategy interplays synergistically to maintain its strong leadership in the automobile industry.

Advertising appeal is the communicative approach relevant to the motives of the targeted customers. Emotional appeals may evoke feelings of response that directly affect customers purchasing behaviors. BMW perspicaciously combined premium marketing and molded into emotional marketing to represent the company’s global marketing strategy.

Overall, BMW’s global marketing strategy bridging premium and emotional marketing have compensated the company with superior economic performance and a strong leadership position in the automobile industry.

BMW strides further alongside its profitability to commit in an outstanding manner to long-run corporate social responsibility (CSR) activities to create shared value. BMW vividly pays attention to CSR activities, specifically in obligations to science and engineering education and an eco-friendly environment.

Haier’s Overseas Market

 

In the late 1990s, Haier Group entered “Internationalization Strategy Stage”, in an effort to tap into overseas markets.

Unlike some Chinese enterprises pursuing short-term gains as international manufacturing factories in overseas markets, Haier, since the beginning of its international expansion, has formulated a “Brand Building” strategy with a commitment to offering the product quality, technical specification and after-sale service of the highest standards to overseas customers under its own brand. Statistics show that the export of Chinese household appliances occupies only 2.46% of the total overseas market share, 82% of which comes from Haier.

Branding relies on successful market development strategy. While formulating differentiation tactics, Haier came up with the “three-step strategy” of “going out, going in and going up”. That is, first gain ground in the traditional major household appliance markets like Europe, USA and Japan by making into the niche markets, then with the advantageous positions obtained in these major markets, rapidly expand the market presence in the developing countries. Next, take to the main channels of local markets with localized products that meet mainstream local user needs, and ultimately become the market leader of high-end and innovative products. Currently, Haier has entered the top ten chain channels in Europe and USA with its markets across over 100 countries and regions. Every minute on average 125 overseas consumers are becoming Haier customers.

Upon entering the “Global Brand Strategy” stage, Haier accelerated the development of overseas markets into the fast lane. During this stage, Haier has gradually built up its marketing network, R&D and manufacture bases in overseas markets totally relying on the power of its own brand. Moreover, Haier has achieved quick expansion and consolidation of overseas resources through differentiated international acquisitions. In October 2011, Haier announced the acquisition of Sanyo’s white goods business in Japan and Southeast Asia. This multinational acquisition is a milestone event for Haier. It not only intensified Haier’s presence in Southeast Asia, but more importantly, via differentiated cultural integration and mechanism innovation, instilled Haier’s doctrine of “Entrepreneurship and Innovation” to the acquired companies and employees, allowing the integration and development of Haier and Aqua brands in Japanese and Southeast Asian markets. Because the acquisition involved wide coverage, extensive content and complex process, it was chosen as one of 2011 Five Outstanding Overseas Acquisitions by “China Business Law Journal”. Just one year later, Haier acquired Fisher&Paykel, a New Zealand household appliance leader, and strengthened its competency in R&D and manufacture of high-end household appliances. On June 7th, 2016, – Qingdao Haier, Inc. (SH600690, “Qingdao Haier”), of which Haier Group (“Haier”) holds a 41% stake, along with General Electric (NYSE: GE), announced that they had signed the necessary delivery documents to fulfill Qingdao Haier’s acquisition of GE Appliances, making GE Appliances a formal member of Qingdao Haier. Currently, Haier has established 10 R&D bases, 7 industrial parks, 24 manufacturing plants and 24 trading companies  and basically created a localization mode of “three in one” – combining design, manufacture and sales – to provide ongoing support for global brand development.

As global household appliance market advances into the Internet age, customer needs are getting individualized and information fragmented. Faced with such great transformation, Haier has long been building the Internet ecosystem for user interaction in its overseas markets, leveraging Internet tools to aggregate users and fulfill great purchase experience from both online and offline. With its “networking development stragety” as the gudeline,   Haier is building the core competence of “Zero Distance to the Customer” in overseas market.

Coca Cola’s marketing strategy in China

Marketing is vital for Coke to maintain its competitiveness. Marketing and advertising are designed to make customers brand loyal while nourishes consumer awareness. This helps with maintaining the long-term growth. With regard to Coke’s localization strategy, Coke made sure that its Chinese name had an appropriate meaning along with sounding like Coca-Cola. It has created a Chinese version for its famed logo. They believed that many aspects such as music, color and Chinese people’s interests are important to bear in mind if they wanted to capture the local people’s hearts. They take on innovative approaches to advertising and promotions to strive for the difference. Whenever there was a chance Coke would sponsor football games and many other types of media and activities that the Chinese are interested in to achieve maximum exposure. These also participated in SMS campaigns and hired famous celebrities to help promote the brand. The SMS campaigns were implemented taking into account China is the largest mobile market in the world.

Coke had to constantly keep up with the changing local trends to maintain the ability to be up to date with the Chinese taste which best suited every occasion. Coke must implement an efficient distribution channel to remain competitive. The quality of their products must no doubt be kept at its best at all times, therefore bottlers only chose certain inputs that met Coke’s global standards. Coke had the intention to localize every aspect of the business from sourcing inputs, to production, sales and distribution but this had proven to be a difficult and lengthy process. The consequence from adapting this strategy is the strong market presence it has created today. With an increased sales profit since 1990, it was able to generate yearly revenue of $1.2 billion. Without Coke, the mass additional employment opportunity of over 55000 people would have been forgone and China would lose all the technological updates and training Coke had invested over the decades.

Product positioning and Market segmentation

Coke’s marketing campaigns were customized with the local areas since different geographic locations would contain diverse people of various ages who share a different mindset and taste. Doing this had helped the company establish a traditional and consistent company in China. Consumers in the rural and urban areas had a vast difference in their per capita income which affects the purchasing power in every region. There is a large consumer potential in rural areas. So imperatively China’s market should be considered to be segmented according to economic diversity. The four largest cities in China consisted of 4% of the population with only 15% of retail sales, on the other hand, the small cities constituted 80% of the population with the retail market of 50%, according to 2003 statistics. Strategic marketing mix

The Coca-cola strategy is a mixture of various factors aiming to capture the global market. The strategic binding of these factors enabled it to make its presence in the target market. The following includes two of the four marketing tactics which Coke had implemented in order to achieve its significant positioning in China.

Product

By recognizing consumers’ wants and needs Coca-cola was able to produce diverse products which include carbonated drinks like Coke classics, Sprite, Fanta; Beers like Barq’s Root Beer and Dr. Pepper. It also supports the local brand names Qoo, Sensation, Tianyudi, and SMART which are ready to drink (RTD) tea drinks and juice drinks to suit local preferences. The growing demand of healthy beverages had influenced it to get diversified in soft drinks sectors. Meeting the diverse demand and taste had resulted in the packaging in different sizes and shapes of glass bottles, plastic containers, and cans. A key to Coke’s success is the differentiation in products; this makes the customers coming back for more.

Price

The pricing strategy of Coke is influenced by the strategies of its competitors. In China the biggest competitor of Coke is Pepsi and its price fluctuates according to Pepsi’s pricing. However, coke has always held a better position in the market due to a head start of several years which had lead Pepsi to suffer some downfalls. Still, the price of Coca-cola is the benchmark in the market with it costing 15 to 20 cents higher than Pepsi. This high price is supported by the brand equity of its various products in the market. The competition has lead to better improvements in products and more attractive promotions which are favourable to customers. Without a strong brand image consumers would choose a product with the most competitive price.

How to Effectively Market Your Commercial Office Space

Marketing commercial office space can be a very challenging task. It is even more difficult than marketing a residential space. Prospective tenants of a commercial office space look out for different things. They see the office space as a place to generate income. Other than working on logistics like pricing, renovations and offering quality services, there is still the factor of getting businesses and organizations to sign leases and fill up space.

Below are tips to consider when marketing your office space

  • Publicity

Prospective tenants cannot lease your property if they are not aware of its availability. Publicity is, therefore, an integral part of getting tenants. As a landlord, make good use of the internet. Google is a great search engine used by businesses and organizations when searching for space. You can send email marketing messages to everyone you know. Provide a link to your website for additional information. You can also place a sign on the property you want to lease out. The point is to get the word out there. You can also make use of online newspaper ads.

  • Update your website

Put up photos of all the areas of your space. List the amenities you have to offer; unit sizes, parking space and available utilities. You can also list things they can easily access, like transportation, nearby shopping areas etc. Help them see what is so great about your property. Add your phone number and email to make it easy for prospects to contact you.

  • Promote other businesses

As a landlord, when advertising your space, you can also market the products of other small businesses that have rented your space or are occupying it presently. This will help potential tenants see your interest in not just their money but their business as well. They see you as someone interested in the welfare of others and are willing to trade with you.

  • Get social

There are social avenues that can be used to market your commercial space. Facebook, YouTube, Twitter and LinkedIn are examples of such medium. By adding your property to LinkedIn or Facebook and connecting with professionals in your area, you are increasing the exposure of your assets.

  • Stay in touch

Every potential tenant usually takes time to make inquiries before making a decision. A potential tenant that contacts you today may not have plans of moving into the new office space till after a year. Don’t lose contact with them. Post reminders online and stay connected. Answer as many questions as you can.

  • Offer incentives

You can also offer finder’s fee to people who help you find tenants. This will serve as a means of encouraging referrals.

It is pertinent to state that there is a lot to consider when it comes to leasing commercial office space. It is therefore important when you are leasing a commercial space to go as public as you can but don’t be in so much hurry that you end up getting the wrong tenants.

What future challenges does YUM face in China?

Yum, which known as the parent company of restaurant chains, such as KFC, Pizza Hut, and Taco Bell. Since they opened the first KFC restaurant in Beijing in 1987, nowadays they become one of the most successful Western restaurant groups in China. However, Yum still faces some challenges. Many analysts believe that they have to solve problems including market burden, rising competition, food safety issues and slowing economic growth.

Market burden

In the United States, fast food restaurants, such as McDonald’s, KFC and Burger King, people consider them as junk food. With the lower price compare to other restaurants, people who go to these fast food restaurant most likely to be lower middle class. Thus, they struggled with targeting the middle class because of the increased wealth gap. To be more concise, consumers would not go to KFC because they are wealthy enough to other places, having decent food. On the contrary, with limit income, people who come to KFC or McDonald’s usually would satisfy with a fast food combo. In China, it has been developed so rapidly that wealth gap also growing between the middle class and upper class. It is a vicious circle that people go to KFC, spending 5 to 10 bucks, eating junk food. That is why obesity problem becomes more and more serious in China. Nowadays, customers are well educated than before. They started to realize that they should avoid having fast food. Thus, Yum has to understand and learn what people like to eat and consider to develop and adjust menu.

Rising competition

As information and sources become more accessible and convenient, more and more small restaurants start to appear. Other restaurants chain also saw the success of what Yum did and began to expand their restaurant to China. In my opinion, if Yum will not make any change in the future, they may fail and lose their competitiveness. Thus, Yum had a very aggressive program for product development. Generally, Chinese customers expect more variety than customers in the United States. According to the Yum, they introduce more than 85 new products within a year. In addition, they develop the different product for different regions because people live in different places have different dietary habits. From my perspective, Yum did a very great job on product development, yet still, they need to focus on what are people’s needs. I would say that design a signature meal rather than changing items frequently.

Food safety

The constant problem which China always has is food safety issue. This problem in China, where overall system sales fell, and store declined because of the food safety scandal. I still remember that KFC and McDonald’s meat supplier was shown in a TV news report reusing meat and the story was shocked that they use meat which falls to the factory floor and mixing fresh meat with expired meat. Even if they announced that they had already switched the meat suppliers. This negative story caused a huge impact on brand image. Driving Chinese consumers away from KFC restaurants. Yum had a numerous loss because they relied on KFC as a high revenue percentage. Unlike the United States, always pay a lot of attention to food safety issue. Customers trust the quality provided by restaurants. In China, Yum mush establishes their own supply chain and stick to rules of quality control. Instead of losing consumers and market share, they should truly face the food safety issue. Although it may take a lot of effort and internal cost, brand image, and reputation are more important than other factors in the long run.

 

 

What is the Secret to McDonald’s Global Branding Success?

With a product that’s served in over 117 countries, feeding millions of customers every day, McDonald’s branding success is undeniable. The key to McDonald’s branding and marketing success is segmentation and experimentation.

Segmentation

McDonald’s main focus is the US, where they spend most of their budget and trial more new products and innovations. The American audience is their largest – Americans spend more money at McDonald’s than any other fast food restaurant in the country. In the US, advertising normally targets children. In Japan, the advertising campaigns are more varied when approaching the demographics, sometimes they focus on children but they also target adults. One advertisement used McDonald´s as a fetish object with sexy girls promoting the burgers, something you would never see in the US. Although a multinational giant, McDonald’s adapts its business and menu to the different countries they operate in. They respect cultural differences and every country has its own policy of developing menu items.

Testing

Experimentation is vital, and it is often carried out by adding or deleting the food from menus according to latest consumer trends and local popularity. In Japan, apart from the traditional menu, you can find seasonal and limited-time items such as “The Teri Tama Burger”, served during spring or “The Tsukimi Burger”, served during Tsukimi season (in the autumn). In the US there is the popular “McRibs”, just available for a short time each year. This is a good example of adapting to customers’ tastes, vital when talking about marketing. Experimentation is vital, and it is often carried out by adding or deleting the food from menus according to latest consumer trends and local popularity.

The Secret Sauce

It is true that the marketing and branding strategy of McDonald’s is based on uniformity, no matter where in the world, you will always be able to order the most iconic menu items such as the Big Mac. The same kind of atmosphere and experience mean that your expectations will be fulfilled because you know what you can expect from the restaurant. Despite its geographic variety, the brand is actually very consistent, with a lot of attention to detail to ensure the values are applied globally.

Global Product Marketing

When we look at the strategic differences between US McDonald’s and the Japanese version, we can appreciate the localized marketing strategies. For example, the name of the restaurant is adjusted for the katakana, the appropriate Japanese script for foreign words. In Japan, they call it ‘Makudonarudo’, (マクドナルド), a more appropriate and attractive sound in Japanese. Drink sizes and fries are much smaller than the ones in the US, and burgers are a bit smaller too, to suit eating habits. McDonald’s ensures the correct sizes before exporting for international target markets. Although McDonald’s offers its products everywhere in the world, being the most popular restaurant on the planet, the brand keeps recognizable with its original meaning and identity whilst catering to local tastes.

Innovation and Collaboration

For McDonald’s, globalization has meant embracing and engaging different cultures while at the same time retaining a strong enough brand to be immediately identifiable. But how can you ensure your brand transcends cultures and regional approaches to marketing? This is where online innovations really come into their own by bridging the cultural and physical gaps that can inhibit connection with a global audience.