Global Marketing Advantages and Disadvantages

Keywords: global food marketing analysis

As an increasing craze of globalization, which identifies a movement of individuals, goods, capital and ideas because of increasing economical integration while increasing the trade and investment at exactly the same time (Global Education, 2009), every field is trying their best for taking good thing about the rich resources and advantages from this entire market. Countries are placing their best initiatives to develop their overall economy, such as using global marketing. There are varies explanations of global marketing. From the idea of Kreuter (2007), it can be defined as based on a specific marketing beliefs that looks for to overcome the individual methods of the one country details of view. Lately, a food industry is rolling out rapidly and obtained a great achievements from global marketing, like the famous food brands McDonald's and KFC. In this article, I will discuss the advantages and cons of food global marketing, as well as some suggestions to the overcome the cons.

Besides, standardizing components of products, which is necessary by globalization of food marketing, often will save cost. From the viewpoint of Vignali (2001), the marketers will provide the same products with the same offering methods, thus reduced amount of the production, circulation, marketing and management costs will be

made. Similarly, Kreutzer (2007) highlights a standardization of global marketing mix will achieve cost lowering while increasing efficiency in the sphere of marketing. Global marketing can be defined as that it is the mixture of elements that you will use to market your product. You will discover seven elements: Product, Place, Price, Promotion, people, process, physical (McCarthy, 1975, qtd. Vignali 2001). Consquetly, the firms can offer customers with the bigger quality products and the low price. Vignali (2001) also states that "there are substantial cost benefits through standardization" which is one of the aims of McDonald's to have a standardized set of food product tasted the same atlanta divorce attorneys country (p. 97). Companies pursue the biggest earnings with the cheapest cost, consequently this may be another reason so many companies need to get in to the global market.

Another good thing about food global marketing is the fact various services markets distributed all the world may bring additional financial benefits. Quite simply, forex rates and duty rates fluctuates on a regular basis, so it is possible for global companies to get financial benefits by exchanging the various currency income in some ways. Based on the info from Cateora and Graham (2005), some companies experienced less during the period of the Asian market downturn in the overdue 1990s than the other businesses specializing in the one place, because those companies implemented global marketing operations. Therefore, many global companies would like to take good thing about this operation.

Various advantages can be brought by the global marketing approaches for food companies, and more companies tend to occupy one part of the global market in the food industry. However, there are a few disadvantages of food global marketing at the same time.

Firstly, different diversity requires the firms to modify their products to meet the different demand from the various customers on the planet. When a company explores their target markets in one specific area, they have to consider the local customs, insurance policy and culture distinctions. As Kentent cases in 2008, a polycentric internet entrepreneur knows well that requires in each country differs plus they have to treat the customers more in another way than they would in their own country. For instance, McDonald's can not provide burgers with beef in Hindus because they don't eat it, and Jains do not eat meats of any type, and also, Muslims do not have pork, as a result the restaurants in those areas provide ideal meals to

adapt the neighborhood traditions. This work must be complicated because everywhere has different traditions. It requires the marketing departments of companies to generate the appropriate items in each restaurant of 1 specific country (Vignali, 2001). Consquetly, it is not so easy as standardizing every item of food in every the marketplaces.

Secondly, standardization of global marketing can lead to homogeneity of goods. Path (1997) areas that the greater alike marketplaces are, the more homogeneous products would be. Because a company has to keep its brand and image the same globally, it must sell the same products and advertising in the complete markets, though it remains the global impact, customers will eventually lose a lot of choice in this restaurant. For instance, when customers enter into a KFC or a McDonald's restaurant, the primary dish they can pick is limited to hamburgers and fried chips. People's flavour may change all the time. So that customers will not be fixed using one specific restaurant. This is a potential risk the global marketing might take.

Lastly, in the food industry, the organic material of one specific item of food may not be possible to enter local marketplaces, thus providing the material across countries is necessary, this means some harmness to a environment will be induced by the transports of deliver them. A case in this point is the famous ice cream called "Haagen Dazs", the raw materials is so unique, predicated on the information of Haagen Dazs office web site, it claims that the fresh material of chocolates is from Belgium and palm picked vanilla beans from Madagascar. So in every shop, raw material needs to be brought in from several different original places, this action will cause emission of Carbon dioxide which leads to polluting of the environment. Therefore, the environmental factors are another disadvantage of global marketing.

In realization, global marketing in the meals industry is producing fast and lots of food companies enjoy the benefits brought by global marketing, also the craze that more companies will need part in the global marketing group. Because so many features of global marketing they may take, including the cost-saving and bigger market talk about, all those lead to more profit and additional development of company. However, the negatives of food global marketing can not be ignored. A point in this is actually the huge and complicated improve the market section to create suited items of food tastes to meet the several customs in several countries, also the risk of lacking set customers and injury to the environmental. In order to stable the global marketplaces and develop a company gradually, marketers should make

full use of global marketing-mix strategies but also international marketing strategies need to be used. Taylor (1991) shows that both internationalization and globalization elements should be utilized by companies to attain a competitive gain (qtd. Vignali, 2001). What's more, companies need to take methods to reduce the delivering of materials such as making the materials from local resources. When a good marketer calls for full advantage of global marketing and avoids the downsides as well, the business will achieve a considerable profit and development.

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