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Exercise 1 Multidomestic vs. Global Debriefing J.-C. Usunier – International Marketing – October 2012.

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Presentation on theme: "Exercise 1 Multidomestic vs. Global Debriefing J.-C. Usunier – International Marketing – October 2012."— Presentation transcript:

1 Exercise 1 Multidomestic vs. Global Debriefing J.-C. Usunier – International Marketing – October 2012

2 General Outcomes (Total) Portable computer industry has been rated as the most global industries (Total: 30 points) According to aggregated ratings, all industries except betting and gambling seem to be rather global (above a total of 15 points) Sheets and pillows, ski, beer and betting and bambling industries tend to be seen more multi-domestic IndustryTotal Portable Computer30 Airlines28 Air Transportation Services27 Mirco Chips26 Automatic Blood Analyzers26 Mail Services26 Washing Machines24 Sport Shoes23 Pharmaceuticals22 Meat-based Foods22 Yoghurts21 Life Insurance21 Bottled mineral water20 Cakes and Biscuits20 Automative (cars)19 Toilet Tissues18 Tobacco (package of cigarettes)18 Higher Education Service18 Mobile Communication Services18 Sheets and Pillows17 Ski Industry16 Beer16 Betting and Gambling10

3 You find it global because you oversimplify Important to look at different product types, sizes, tastes, usages, etc. Consider consumer motivation Take into account how people consume in local contexts (e.g. sharing food or not) Think about words in the local language and what they express about local ways of consumption These points have significant consequences for international marketing

4 Global consumers? Toilet tissues: “Toilet tissues are widely used all over the world but in different ways. For example, in Muslim countries people use water after toilet” Tobacco: “The consumer preferences and tastes are mainly similar, with some minor variations (strong tobacco in Japan etc.)” Meat-based food: “Differences between consumers in the following categories: Culture, Religion, Habits” Again many industries are rated quite high. Students often consider consumers to be very similar all around the world. IndustryConsumer Portable Computer10 Meat-based Foods10 Mobile Communication Services10 Airlines9 Air Transportation Services9 Mirco Chips9 Automatic Blood Analyzers8 Mail Services8 Life Insurance8 Bottled mineral water8 Washing Machines7 Sport Shoes7 Yoghurts7 Cakes and Biscuits7 Toilet Tissues7 Pharmaceuticals5 Beer5 Tobacco (package of cigarettes)4 Higher Education Service4 Sheets and Pillows4 Automative (cars)3 Ski Industry3 Betting and Gambling3

5 Global product/service? Once more, the industries are seen as very global in terms of the product/service they offer worldwide. Sheets & Pillows: “The product is mainly universal for orthopaedic and sleeping purposes (global). But not for the decorative purposes due to cultural preferences (multi- domestic).” Automatic Blood Analyzers: “Even if there are many different diseases around the world, the main function of this product is to analyze blood.” Meat-Based Foods: “The products have to fit the taste, the culture, the religion and habits of the consumers.” IndustryProd/Serv Portable Computer10 Airlines9 Air Transportation Services9 Automatic Blood Analyzers9 Mail Services9 Life Insurance9 Bottled mineral water9 Mirco Chips8 Washing Machines8 Cakes and Biscuits8 Pharmaceuticals8 Sheets and Pillows8 Ski Industry8 Sport Shoes7 Automative (cars)7 Meat-based Foods6 Toilet Tissues6 Tobacco (package of cigarettes)6 Higher Education Service6 Mobile Communication Services5 Yoghurts5 Beer3 Betting and Gambling2

6 Global industry? Industries and their competitive scenes themselves are also considered as quite global as a whole. Airlines: “The airline services are considered global. In the last few years alliances among companies have been introduced to extend their worldwide leverage and improve their worldwide service.” Tobacco: “There are 5 big global players (Philip Morris, BAT etc.) representing 60% of the market share. But it shouldn‘t be neglected that 40% are monopolistic local players” Beer: “In Germany there is a preference for the local products (…). In the USA and other countries such as Japan, Netherlands, Spain it is the opposite.” IndustryRating Portable Computer10 Airlines10 Air Transportation Services9 Automatic Blood Analyzers9 Mail Services9 Mirco Chips9 Washing Machines9 Pharmaceuticals9 Sport Shoes9 Automative (cars)9 Yoghurts9 Tobacco (package of cigarettes)8 Higher Education Service8 Beer8 Meat-based Foods6 Cakes and Biscuits5 Sheets and Pillows5 Ski Industry5 Toilet Tissues5 Betting and Gambling5 Life Insurance4 Bottled mineral water3 Mobile Communication Services3

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