Cross-Cultural Marketing - Page 2
Marketing consists of the strategies and tactics used to identify, create and maintain satisfying relationships with customers that result in value for both the customer and the marketer
Marketing will never succeed unless it is catered for the right people, it begins with customers; those people who want or need your product and will actually buy it.
Cross-Cultural marketing is a strategic process of marketing communications to customers whose culture differs from that of the vendor's own culture at least in one of the basic cultural aspects, as language, religion, social norms and values, education, and the living style.
Since culture dictates customers’ behaviors including buying goods, it becomes crucial for today’s companies to understand the impact of cross cultural differences on business, trade and internal company organization. The success or failure of a company, venture, merger or acquisition is essentially in the hands of its people. If these people are not cross culturally aware then misunderstandings, offense and major break-down in communication can occur.
In cross cultural marketing, companies need to realize the following:
- Differences in consumer needs, responses, wants and usage of the product
- Differences in product placements, legal environment and infrastructures
- To determine the cultural viability of a certain market means that the marketers should positively identify cultural factors that can be used to facilitate the marketing program in the targeted market since most human behaviors, including market behaviors, take place within a cultural context.
It is estimated that U.S. companies lose up to $4 billion annually in failed international business, in contrast of the increased revenues if companies’ cross-cultural efforts are done properly. That is how it becomes evident why cross-cultural marketing research, education and knowledge are the back bones of any local company in the United States wanting to extend its local diverse customer base or wanting to extend globally, it also applies to foreign companies wanting to extend their market base in the United States
Next post will discuss case studies of companies that applied proper marketing in international markets and some that failed.
Diversity starts at home.