Global Marketing Strategy - Standardization vs. Adaptation Essay

2170 Words 9 Pages
INTRODUCTION

The debate of standardization versus adaptation has lasted for the last 52 years.(The McGraw-Hill Companies, 2003) . To standardize or adapt when going or planning to go international is the most difficult and delicate decision to make for any company. This decision may affect all the operations of businesses of the company i.e. Human Resources, Marketing, Research & development, Production and Finance. Every company has a different outlook towards foreign markets, this outlook is explained by three models which help the company analyze whether they should standardized or adapt in international markets.

THREE MODELS TOWARDS FOREIGN CULTURE

ETHNOCENTRIC MODEL

Ethnocentric is defined as evaluating others culture
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INTRODUCTION

The debate of standardization versus adaptation has lasted for the last 52 years.(The McGraw-Hill Companies, 2003) . To standardize or adapt when going or planning to go international is the most difficult and delicate decision to make for any company. This decision may affect all the operations of businesses of the company i.e. Human Resources, Marketing, Research & development, Production and Finance. Every company has a different outlook towards foreign markets, this outlook is explained by three models which help the company analyze whether they should standardized or adapt in international markets.

THREE MODELS TOWARDS FOREIGN CULTURE

ETHNOCENTRIC MODEL

Ethnocentric is defined as evaluating others culture according to the preconceptions originating in the standards and customs of one’s own culture. (Oxford Dictionary) Ethnocentrism is a social – psychological dynamic term used to describe human behavior in diverse cultures. The heart of ethnocentrism is belief system of one’s own company, culture, or country. The term ethnocentrism has a set of principles, which are used to different people between different groups or culture on basis of superior-inferior, strong-weak, or trustworthy-untrustworthy. Ethnocentrism is embedded in numerous areas of communications among diverse set of people. Ethnocentrism decides the fate of company’s behavior while conducting business globally. According to trade and marketing experts, to standardize a product can
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