Ways in Which the Culture Influences the International Business

2107 WordsMar 10, 20139 Pages
1. Introduction International marketing or business is uniquely different from the local market because the product price, place and promotion is vastly different from what is been offered to local customers (Johansson, 2000) With the emergence of the information technology, cross border marketing has never been a distant dream. However, it has never been easier even for giant multinational companies to face challenges that come in international business. The biggest challenge comes from the culture which varies from country to country. At its basic understanding, international marketing engages the firm in making one or more marketing mix decisions across national boundaries. At its complex level, it involves the firm in establishing…show more content…
Similarly, in any country whether they are Muslim or non-Muslim state, when there are Muslim in the community they have to cater with halal certified meet as well chicken. Therefore, this cultural factor has major influence on KFC, McDonalds, as well as Pizza Hut or for that matter all companies who are involved in restaurant and food sector. Hotel chains in Saudi Arabia are been influenced by the culture of the society and the country. For instance, Hilton hotel chains in Saudi Arabia and close to the Mecca and Medina serves mostly to pilgrims rather than the tourist. Hence all activities in Hilton chain needs to be catered to religious cultural activities (Fallon, 2010). 2. Adaptation and standardization It was in the Fordism era in the early 19th century where standardization was the most widely used strategy across the industrialized countries (Johansson, 2000). Henry Ford when he manufactured Ford Car, the company produced only black Ford. Standardization refers a company providing the same identical product across the globe (Keegon, 2002). Most of the time they are considered to be global brands (Johanson, 2000). Some of the example that could be considered global brands is Coca Cola, McDonalds or Amazon. However, they too have some degree of adaptation in taste or price when it comes to marketing in a different market. According to Carl Ritzer (2007) in its journal on Mcdonaldization of society, he found out that in the
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