L7 - Glocalisation (Jebel Ali) Flashcards
What is Glocalisation
It is the adaptation of global products for a local market place to better suit local tastes and customs
What are the main reasons why TNCs bother to glocalise their products
To build a strong brand image; gain market share by appealing to the varying wants and tastes of its target market as well as observing local customs, and to maximise profits by reducing costs (tariffs) for example, through using materials sourced with that country or its trade block.
Give examples of local customs and tastes that a TNC might have to have to observe in a GCC country such as the UAE
Dietary requirements: It is a sin for a Muslim to consume pork and all foods must be Halal
Local festivals such as Ramadan
Women are expected to dress conservatively
How has McDonald’s for example glocalised in a GCC country
Pork has been removed from menus; all meat products are Halal; during local festivals such as Ramadan, McDonald’s offer If tar buffets at the breaking of fast and all staff wear uniform that observe local customs about dress.
Some brands give their glocalised products a local name. Give an example
Wall’s Ice cream’s Dung dung
In what way can glocalisation be good for the environment
Sourcing materials locally reduces the distance covered between where the materials are produced and where they are used. This lowers greenhouse gas emissions and will help to reduce the enhanced greenhouse effect.
What other benefits can glocalisation have
It helps the local economy as raw materials are locally sourced and are bought from local traders. They will have more disposable income and will in turn spend more in other local businesses. It also helps to minimise cultural dilution, an issue associated with globalisation
What two words are amalgamated to form ‘Glocalisation’
Globalisation and localisation
A method of glocalisation for a TNC operating in Jebel Ali could be to source materials from with within the GCC. What does the GCC stand for
Gulf Cooperation Council
What six countries belong to the GCC
Kuwait, Bahrain, Oman, Qatar, Saudi Arabia and the UAE
