4.3 Global Marketing

Question 1

what is glocalisation

Answer 1

“think global, act local”
when a firm adapts to meet wants and needs of local market

Question 2

what is an ethnocentric marketing approach

Answer 2

when a firm keeps their original branding with no adaptations to local tastes

Question 3

pros and cons of an ethnocentric marketing approach

Answer 3

can benefit from economies of scale as output is large
lower costs as no investment in R&D

potential loss of sales as products aren’t tailored to market
can lead to cultural insensitivity and may not relate with locals

Question 4

what is a polycentric marketing apporoach

Answer 4

when firms adapt their products to meet local customer wants and needs

Question 5

pros and cons of a polycentric marketing approach

Answer 5

likely to increase sales as products are tailored
develops brand loyalty overseas

additional costs of changing product
additional costs of R&D

Question 6

geocentric marketing approach

Answer 6

mix of ethnocentric and polycentric

Question 7

pros and cons of a geocentric marketing approach (hint. same as poly)

Answer 7

sales to increase as its tailored
develops brand loyalty

higher costs of product development

Question 8

what is a global niche market

Answer 8

small segments of the global market with specific wants and needs

Question 9

features of a global niche market

Answer 9

good customer service
innovation
quality
expertise
prioritises profit over market share

Question 10

cultural and social factors

Answer 10

cultural differences
different tastes
language
unintended meanings
inappropriate/inaccurate translations
inappropriate branding and promotion