Market Offerings
If a company launches a product in two different countries with different brand names but the same formula, is this an example of adaptation or standardization?
Adaptation—changing the brand name to fit local preferences is a form of localization.
What is the main advantage of standardizing a product globally?
Cost savings due to economies of scale
What is the role of branding in international product policy?
Branding helps differentiate a product, build customer loyalty, and create a strong global presence.
What characteristic of services makes them difficult to evaluate before purchase?
Intangibility
Why did McDonald’s introduce the McArabia in the Middle East?
To cater to local food preferences and cultural norms
Which two marketing experts introduced the term "market offerings" in their book Marketing Management?
Philip Kotler and Kevin Lane Keller
What are the five areas to consider in product standardization?
Core product,
Brand name/logo,
Brand position,
Packaging & design,
Additional services
What happened to Mars’s Dove bars in Russia?
It was the only U.S. brand that remained in the top ten.
You cannot store the product and sell it at a later date if you are not able to sell it today
Perishability
Why did Coca-Cola face backlash in Muslim-majority countries, leading to competitors like Mecca Cola?
Anti-American sentiment influenced consumer perception of Western brands.
What was the reason for Procter & Gamble modifying Tide detergent in emerging markets like India?
To remove softeners and reduce costs for affordability)
Why did the Coca-Cola company replace Diet Coke with Coca-Cola Light when it arrived in Japan?
Diet in Japan means illness
How does packaging influence branding?
It communicates quality and identity.
What factor makes a universal market strategy ineffective?
Heterogeneity
How did Nestlé modify its cornflakes in Japan to better fit the local market?
Reformulated them to match Japanese taste preferences as children ate them as snacks, not breakfast.
Name three reasons why a company may need to adapt its product when entering a new market.
Cultural differences, legal regulations, consumer preferences, climate conditions, or economic factors
If a product’s core features remain the same globally but advertising and branding strategies change per country, is this an example of adaptation or standardization?
Partial adaptation
What are the four service characteristics that make marketing services different from products?
Intangibility, Perishability, Heterogeneity, Inseparability
Can services be standardized across foreign markets?(answer is not YES or NO)
Limited, due to cultural and regulatory differences
How did Electrolux modify its marketing strategy in Europe to appeal to different regions?
Adjusted products based on northern and southern European preferences.
How does a market offering differ from a traditional product, and why is this distinction crucial in international marketing?
A market offering includes the product, services, experiences, and branding to meet diverse consumer needs and ensure long-term value.
What does the term "degrees of standardization" mean in international marketing?
Most marketing mixes are not fully standardized or adapted but exist on a spectrum.
What is the role of trade shows in international business marketing?
They are crucial for business-to-business marketing and networking
What service characteristic challenges the distinction between creation and utilization, necessitating unique marketing approaches?
Inseparability
Why did Toyota’s Lexus brand struggle in Japan despite its success in the U.S.?
Japanese consumers saw it as unnecessary since Toyota already had a luxury reputation.