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Marketing in Action
Globalization by U.S. Firms
Coca-Cola has been a leader in globalization.
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Figure 15-1
Major International Marketing
Decisions
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Let’s Talk!
What types of U.S.
companies would
like to see higher
tariffs and what
types would like to
see lower tariffs or
no tariffs?
Why is this the
case?
Copyright 2007, Prentice-Hall, Inc.
GATT promotes international trade
by reducing tariffs.
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Marketing in Action
Explore the European Union!
Regional free trade zones
such as the European
Union help to simplify the
process of going global.
Explore their Web site for
information that could be
helpful to a marketer
wishing to go global.
Map of the European Union
as of March, 2006
http://europa.eu.int/index_en.htm
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Marketing in Action
The Importance of Culture
Ignoring cultural
differences can result
in strong consumer
backlash. Nike was
forced to pull these
shoes from distribution
after learning that the
stylized shoe logo
resembled “Allah”
when written in Arabic.
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Marketing in Action
Marketing to China
Many marketers are
attracted to the
Chinese market due
to its substantial
population size and
potential for growth.
Colgate’s efforts
have expanded their
market share from
7% to 35% in less
than a decade.
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Figure 15-2
Market Entry Strategies
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Marketing in Action
Joint Ownership
KFC entered Japan through a joint ownership
agreement with Japanese conglomerate Mitsubishi.
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Marketing in Action
Marketing Mix Adaptation
In India, McDonald’s serves chicken, fish, and veggie
burgers, but no beef. Check out the Maharaja Mac!
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Figure 15-3
Global Product and Communication
Strategies
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Marketing in Action
Global Product Strategy
Coca-Cola’s
virtual
vendor
allows the
curious to
learn about
Coca-Cola’s
global
product
strategy.
http://www2.coca-cola.com/
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Marketing in Action
Promotion Adaptation
Guy Larouche uses similar ads in European and
Arabian countries, but tones down the sensuality.
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Marketing in Action
Brand Name Blunders
OOPS!!! Not all brand
names translate well
into English, or from
English into a
different language.
Other Classic Blunders
“Coke” translated into
Chinese characters was
interpreted by the
Chinese to mean “Bite
the wax tadpole.”
Copyright 2007, Prentice-Hall, Inc.
Chevy used the “Nova”
name verbatim, only to
find out that no va
means “It doesn’t go”
in Spanish.
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Marketing in Action
Economic Impact of Global Pricing
The adoption of the euro as a common currency by
several nations has created a “pricing transparency”
that is forcing companies to harmonize their prices
throughout Europe.
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Figure 15-4
Whole-Channel Concept for
International Marketing
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