Expanding the Heavy Duty Truck Market to Eastern Asian Countries

1597 Words7 Pages
The expansion team has done an extensive study and market research has identified that there is huge growth potential and a very lucrative business opportunity for manufacturers wanting to sell heavy-duty trucks to Eastern Asian countries. One thing to remember by choosing a new international market is that ethical situations may arise. Specific marketing strategies used elsewhere may not work in Eastern Asian market, so knowing and being able to account for cultural differences will be important.
When moving into the Japanese market, the company will have to be very aware of formalities and cultural variables. Japan has a long history of tradition that carries over even to business dealings, so the American way of marketing business
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Pricing should not be discussed upfront and introducing the subject is considered overbearing and rude. Once the Japanese company does decide the product is desirable, then pricing negotiations can begin. The customer is typically the one to bring up the issue of price. Once doing so, a sales agent will know they’ve sold the product and now the negotiation is about cost. The impact to the marketing approach is realizing that the initial meetings are just to discuss products and pricing negotiations will happen at a later date.
Even though a Japanese representative may speak English, it would be better to have one or two in the company who know how to communicate fluently in Japanese. Communication barriers can affect marketing strategies since the Japanese customer may not understand the benefit of the product or how it works; how the pricing will work; how to promote the product they’re buying; and how long the delivery of products will take.
It is not a good marketing strategy to rely on the customer to know the words used to explain how the product works or just hope they figure it out. Being clear is part of the marketing job as it’s their responsibility to know and be able to describe the product. If a marketing team member told a buyer with limited English that a product worked one way and the consumer believed it to do something else, it could potentially ruin the company’s reputation.
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