International marketing exercises group 1

International marketing exercises group 1 International marketing exercises group 1 International marketing exercises group 1 International marketing exercises group 1 International marketing exercises group 1 International marketing exercises group 1

INTERNATIONAL MARKETING GROUP The list of members, assigned tasks and their completion status: Name Student ID Completion Lê Trần Hoàng Trâm 2121013200 100% Lâm Ngọc Tường Vy 2121013345 100% Nguyễn Hữu Lan Anh 2121013612 100% Lê Thị Thanh Thúy 2121012798 100% Vũ Thùy Bảo Trâm 2121012406 100% EXERCISE 1: 9/6/2023 Topic: Cultural impact on International Marketing Definition of culture and material culture and International Marketing Culture is a concept that has many descriptions The word culture has over 160 definitions in the English language (Jahoda, 2012) The term“culture” can be applied to a nation, a region, a city, or a single business It influences every aspect of people’s lives, includingbusiness, marketing and consumption activities Culture includes “theideas, values, practices, and material objects that allow a group of people, even an entire society, to carry out their collective lives in relative order and harmony” (Ritzer, 2015: 71) Culture is the human-made part of the environment and includes material culture and subjective (symbolic) culture (Triandis, 2002) There is no clear line between material and nonmaterial culture as most material objects have symbolic meaning, and symbolic culture is manifest in material articles (Ritzer, 2015) Both aspects of culture have important implications for international marketing activity Material culture consists of such elements as clothing, food, houses,tools and machines, works of art, buildings Physical aspects of a culture help to define its members’ behaviors and perceptions For example, technology is a vital aspect of material culture in developed countries Students must learn to use computers to function at university and at work, in contrast to young adults in the traditional societies of Africa who must learn to build weapons and hunt The most commonly.cited barriers to communication in international marketing and promotions include: + Language and slang + + + + + + Directness of address Eye contact Ethnocentrism Stereotyping Differences in the meanings of nonverbal cues Use of symbols and cultural icons In general understanding, international marketing is the marketing activities of a company outside its home country territory Let’s try to know the specialists' views; I International marketing is the performance of business activities designed to plan, price, promote and direct the flow of a company's goods and services to consumers or users in more than one nation for a profit Here the author has given priority to the 4Ps of marketing i.e Product, price, place (Outside the home country), promotion and distribution The most significant part of this definition is more than one nation If a transaction occurs inside the territory then it is known as domestic or native marketing The last and final part is for a profit, if any transaction occurs without profit then it may be known as donation or grants But to be an international marketing transaction must have occurred for a profit II International marketing is the profitable transactions of goods & services between two or more countries The effect of cultural on International Marketing A globally integrated marketing communications program requires the strategic management of the firm’s promotions mix : Culture has a significant impact on international marketing as it affects the way in which consumers perceive and respond to marketing messages and behavior Here are some ways culture impacts international marketing: 2.1 Language: 2.1.1 Verbal Language is one of the most fundamental aspects of culture and it can greatly influence how people perceive and respond to marketing messages Marketers need to be aware of the cultural nuances of language and how certain phrases or expressions may be perceived in different ways Example: On the occasion of AFF Cup 2018, Coca Cola Vietnam launched a collection of soft drink cans version of the Vietnamese national team In the advertisement, the brand continues to put the image of "golden boys" integrated in the message "Mở lon Việt Nam" (Opening a can in Vietnam) At that time, this advertising campaign received a lot of criticism from the community for using the phrase "Mở lon Việt Nam" Because it brings sensitive meaning with the word “lon” in the slogan, it makes the customers think of another sensitive word when there is no tonality 2.1.2 Non verbal: Not only verbally but sometimes people used nonverbal body language or other means of communications like, Proxemics, Postures, Orientations, Oculesics’ Chronemics’ Haptics’ Kinesics’ Paralinguistic Appearances, Olfaction One particular body sign may carry different opposite meanings to people of different languages Example: In Korean, the sign of two fingers crossed means “good luck”, but in Vietnam it is a sensitive sign Besides, showing a thumb to somebody means he is neglecting any effect or actions of the person at home It is shown in Bangladeshi rural culture Showing a thumb is a negative sign according to Bangladeshi rural culture But in the Western society it means all right A marketer must have to know the local meaning of body language or postures and gestures that are being used by the general people of that community Otherwise serious mistakes can be made and all market promotions may be worthless 2.2 Social customs and values: Social customs and values, such as attitudes towards family, religion, and gender roles, vary widely across cultures Marketers need to understand these customs and values as they can influence consumer behavior and purchasing decisions Example 1: McDonald's - one of the largest fast food chains in the world, currently has more than 400 stores operating in India, all hanging signs that not serve beef or pork related products This is because in India, Hindus not eat beef and they consider it a serious sin, similarly, Muslims not eat pork So when designing products that involve these sensitive factors, you need to be really careful Example 2: There are some great examples of marketing that respects and works within Social customs and values Motorcycles are considered a popular vehicle, a practical option in a more collectivist, family-oriented culture such as in the Asian market (Thailand, Vietnam, ) However, for Western countries, motorbikes are not commonly used, instead, the most popular and trusted means of transportation are public transport, or private vehicles such as cars, bicycles, 2.3 Symbolism and imagery: Symbols and imagery are often deeply embedded in cultural traditions and can carry different meanings across cultures Marketers need to be aware of the symbolism and imagery used in their marketing communications as they can be interpreted differently by different cultures Example 1: In Zootopia (2016) they use different symbolic animals of the country to appear as the newscasters for different regions: US as moose, Japan as Tanuki, Australia as Koala, China as Panda, Brazil as Jaguar These actions can be seen as an appropriate action to suit each country’s culture Example 2: Swastika (swastika) is a symbol of divinity and spirituality in Indian religions (Asia) However, to most Europeans, the Swastika is better known as a symbol associated with the Nazi regime 2.4 Consumer behavior: Consumer behavior is heavily influenced by culture Factors such as the importance of social status, the role of family in purchasing decisions, and the level of trust in institutions can all vary widely across cultures Example: Like Bottega Veneta, not using media is a way to maintain exclusivity and have ambassadors , they wanted to improve that luxury brand can also be successful outside of social media and maintain the individuality to meet consumer needs by their own online magazine, signature material and their design From the signatures of the business, Bottega Veneta customers buy goods from the business to show off their premium and social position 2.5 Legal and regulatory frameworks: Legal and regulatory frameworks, such as advertising laws and product labeling requirements, can differ across countries and cultures Marketers need to ensure that their marketing practices comply with these regulations in order to avoid legal consequences and maintain their reputation Example: Copyright regulations In other countries like the US, copyright protection regulations are very strict but some other countries are the opposite, piracy often occurs 2.6 Color As one of the important direct eye-catching and attractive elements of design, color elements have the ability to influence the user's perception of the brand In addition, the meaning behind each color also varies from country to country, culture to culture Example: in French culture, yellow means deception, forgery, while in Japan, yellow represents courage, talent, and sophistication Therefore, it is very important to choose colors that suit the culture of the place you are going 2.7 High and Low- Context Cultures: 2.7.1 Low-context cultures are characterized by explicit verbal or written messages Low-context cultures demonstrate high values toward and positive attitudes regarding words The meaning of a message is mainly contained in the words used Much of the Western world is historically rich with rhetoric This, in turn, continues to emphasize the importance of verbal messages Germany, Switzerland, and the United States are examples of low-context cultures 2.7.2 High-context cultures rely more on symbols and language with less-explicit or spelled-out codes The meaning of the message is mainly contained in the nonverbal components of the message This includes facial expressions, body language, the person presenting the message, and the context in which the message is transmitted High-context communication moves quickly and efficiently Unfortunately, often the verbal messages are less complete, and for those not familiar with the symbols in a given area, the information becomes difficult to accurately decipher High-context societies are less accessible to outsiders 2.8 Cultural Norms: Norms are derived from values and defined as rules that dictate what is right or wrong, acceptable or unacceptable (A) Imperative: What an outsider must or must not (B) Exclusive: What locals may but an outsider cannot (C) Adiaphora: What an outsider may or may not 2.9 Cultural Variability: 2.9.1 Power Distance – Power distance means the distance between two people during mutual interaction We the Muslims and Indian sub continental people used to be closer during interaction On the other hand the western Christians used to hold a gap between two interactive people Muslim think that westerns are not friendly and they think Muslims are pushy But it is because of their culture that power distance is baring here 2.9.2 Uncertainty Avoidance – we are always trying to avoid uncertainty and happy with what can be found certainly But on the other hand, westerns are risk lovers They used to take challenges during any action 2.9.3 Masculinity versus Femininity – Culture defines the priority of decisions in the family, society and in the country In some tribal communities in the northern region of India they are the mother lead society, wealth owner and earning member is mother in the family As a result women decide what ought to be, what they have to On the other hand in male dominant society fathers are the owners of wealth and earning members of the family As a result, her father’s decision is the final one This masculinity and femininity has a great impact in case of product selection / brand choice and final purchasing decision As a marketer he must have to know what types of society he is offering products Who has to be highlighted in their promotional campaign and advertisements? 2.9.4 Individualism versus Collectivism – Maximum western countries are suffering from their individualistic mentality I have this, I have done it, I want it, etc but in our sub continental culture we think collectively We have this, we have done it and we need it This individualistic and collective thinking has a great effect on their product choice as well as purchase of product Conclusion Conclusion from this long discussion it is quite clear that culture has a direct impact on consumer behavior as well as on their choices, buying behavior and so on As it is impacting the buying process, it has a great impact on international marketing as well An international marketer must have to think first which product he is offering for whom and their cultural background Because different parts of the world possess different cultural behavior, different tests, choices, norms, values and attitudes One marketer must have to promote them according to their choice and beliefs In this case SRC & Ethnocentrism may be two major barriers So a marketer in the international market must be aware of his / her SRC & Ethnocentrism Every situation must be translated according to local culture Local culture should be given first priority in case of taking any marketing action by an international marketer References: Slogan Mở lon Việt Nam Coca Cola, https://copywrite.vn/tin-tuc/slogan-mo-lon-viet-nam-cocacola.html Accessed June 2023 “(PDF) Impact of Culture on International Marketing.” ResearchGate, 15 December 2022, https://www.researchgate.net/publication/228122580_Impact_of_Culture_on_I nternational_Marketing Accessed June 2023 Valades, Brenda “What is the Bottega Veneta marketing strategy? | BluCactus.” BluCactus digital marketing, February 2022, https://blucactus.blue/bottega-veneta-marketing-strategy/ Accessed June 2023 EXERCISE 2: 16/06/2023 Explain Asean free trade area, WTO, EVFTA 1.1 Asean free trade area: The ASEAN Free Trade Area (AFTA) was established in January 1992 to eliminate tariff barriers among the Southeast Asian countries with a view to integrating the ASEAN economies into a single production base and creating a regional market of 500 million people Most of the Southeast Asian region is now a free trade area, the first six signatories of the Common Effective Preferential Tariff scheme for the ASEAN Free Trade Area namely Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand (collectively referred to as ASEAN-6) Cambodia, Laos, Myanmar and Vietnam (collectively referred to as CLMV) are required to join AFTA upon being admitted to this block It is currently one of the largest free trade areas in the world The Agreement on the Common Effective Preferential Tariff (CEPT) Scheme for the ASEAN Free Trade Area requires that tariff rates levied on a wide range of products traded within the region be reduced to no more than five percent Quantitative restrictions and other non-tariff barriers are to be eliminated The elimination of tariffs and non-tariff barriers among the ASEAN members has served as a catalyst for greater efficiency in production and long-term competitiveness Moreover, the reduction of barriers to intraregional trade gives ASEAN consumers a wider choice of better quality consumer products The free trade area covers all manufactured and agricultural products However, 734 tariff lines in the General Exception List, representing about 1.09 percent of all tariff lines in ASEAN, are permanently excluded from the free trade area for reasons of national security, protection of human, animal or plant life and health, and of artistic, historic and archaeological value 1.2 WTO free trade area The World Trade Organization (WTO) is the only global international organization dealing with the rules of trade between nations — is the international organization whose primary purpose is to open trade for the benefit of all WTO is the only global international organization dealing with the rules of trade between nations At its heart are the WTO agreements, negotiated and signed by the bulk of the world’s trading nations and ratified in their parliaments The WTO (World Trade Organization) has many Free Trade Areas (FTAs) established by member countries Here are some prominent WTO FTAs: NAFTA: The North American Free Trade Agreement is an FTA between the United States, Canada and Mexico, signed in 1994 CAFTA-DR: The Central American Free Trade Agreement-Dominican Republic is an FTA between the United States and Central American countries and the Caribbean Community, signed in 2004 EU-Korea FTA: Free Trade Agreement between the European Union and Korea, signed in 2011 TPP: The Trans-Pacific Partnership is an FTA between 12 countries, including Australia, Brunei, Canada, Chile, Korea, Mexico, Japan, New Zealand, Peru, Singapore, USA and Vietnam, signed in 2016 CPTPP: The Comprehensive and Progressive Agreement for Trans-Pacific Partnership is a new version of the TPP after the US withdrew from it, still includes the remaining 11 countries and was signed ends in 2018 The WTO is run by its member governments All major decisions are made by the membership as a whole, either by ministers (who usually meet at least once every two years) or by their ambassadors or delegates (who meet regularly in Geneva) The WTO agreements are lengthy and complex because they are legal texts covering a wide range of activities But a number of simple, fundamental principles run throughout all of these documents These principles are the foundation of the multilateral trading system + Trade without discrimination + Freer trade: gradually, through negotiation + Predictability: through binding and transparency + Promoting fair competition + Encouraging development and economic reform There are a number of ways of looking at the World Trade Organization It is an organization for trade opening The goal is to help producers of goods and services, exporters, and importers conduct their business It is a forum for governments to negotiate trade agreements It is a place for them to settle trade disputes It operates a system of trade rules Essentially, the WTO is a place where member governments try to sort out the trade problems they face with each other 1.3 EVFTA free trade EU-Vietnam Free Trade Agreement (EVFTA) is a new generation FTA between Vietnam and 27 European Union member states EVFTA and Trans-Pacific Partnership (TPP) are two of the largest new generation free trade agreements that Vietnam's largest ever negotiated On December 1st, 2015, the negotiation rounds of EVFTA was officially announced to be concluded, and its official full text was published on February 1st, 2016 On June 26, 2018, EVFTA was split into two agreements, one is the Trade Agreement (EVFTA), and the other is the Investment Protection Agreement (EVIPA); at the same time officially ended the legal review process for the EVFTA Agreement In August 2018, the legal review process for EVIPA was also completed The two Agreements were signed on June 30, 2019 On January 21, 2020, the International Trade Committee of the European Parliament (INTA) approved the Agreement, the European Parliament on February 12, 2020 officially approved both agreements According to the European Commission, the agreements will provide opportunities to increase trade and support jobs and growth on both sides, through + Eliminating 99% of all tariffs + Reducing regulatory barriers and overlapping red tape + Ensuring protection of geographical indications + Opening up services and public procurement markets + Making sure the agreed rules are enforceable Key areas of commitment in EVFTA include: trade in goods, rules of origin, customs and trade facilitation, the Sanitary and Phytosanitary measures (SPS), The Technical Barriers to Trade (TBT), development would require a well-thought-out approach that considers the specific challenges and opportunities of each country or region II What type of distribution tactic, intensive, selective, or exclusive, you think should be used for the following products? ● Milk in the United Kingdom - Intensive distribution Milk is a fast-moving consumer goods (FMCG) with high demand and has a wide consumer base, an intensive distribution tactic would be appropriate Marketers prefer this approach when the company offers products that appeal to a mass market of consumers Many households need milk, it should be readily available for purchase from many outlets Intensive distribution aims to make the product available in as many retail outlets as possible, ensuring widespread accessibility to the consumers ● Luxury jewelry in France - Exclusive distribution Luxury jewelry is a high-end and exclusive product that targets a niche market of affluent consumers so that prestige products are often offered only through exclusive distribution Selective distribution involves carefully choosing specific retail outlets or luxury boutiques that align with the brand's image and cater to the upscale clientele This approach helps maintain the exclusivity and premium perception of the jewelry, as it won't be available in every store but rather in carefully curated locations ● High end automobiles in Germany - Selective distribution High-end automobiles are considered premium products – very few retailers and strong relationships are developed among channel members High-end automobile manufacturers prefer to establish exclusive showrooms and dealerships that offer personalized customer experiences This distribution approach allows the brands to control the sales environment, provide excellent customer service, and maintain the luxury status of their vehicles ● Cigarettes in the Mexico - Intensive distribution Cigarettes are considered a convenience product and are widely consumed, so they need to be readily available to consumers For products like cigarettes, which are subject to various regulations and societal concerns, an intensive distribution tactic is commonly employed They are typically sold through numerous retail channels, including supermarkets, convenience stores, gas stations, and tobacco specialty shops In some regions, exclusive distribution may also be used for premium cigarette brands targeting specific market segments III The Cs of channel member selection represent key components in the strategic distribution process Apply the Cs to the following products: The Cs of channel member selection are fundamental components in the strategic distribution process that play a crucial role in determining the success of a company's distribution channels These Cs are essential criteria that businesses use to evaluate and select potential channel partners, such as distributors, wholesalers, retailers, or agents, to collaborate with in delivering their products or services to the end consumers The Cs are as follows: Coverage: Coverage refers to the channel member's ability to reach and serve the target market effectively When selecting channel partners, companies consider whether the potential partner has an established presence in the desired geographic areas or market segments A channel member with a broad and well-distributed network can ensure that the company's products reach a wider audience, increasing market penetration and potential sales Control: Control refers to the level of influence a company can have over its channel partners It involves assessing the partner's willingness to follow the company's guidelines, pricing strategies, and marketing plans Companies seek partners who are aligned with their brand values and objectives to maintain consistent messaging and a positive customer experience across all distribution channels Cost: Cost considerations are crucial in channel member selection Companies evaluate the costs associated with partnering with specific channel members These costs include distribution fees, marketing expenses, and any additional investments required to support the partner's activities Choosing channel members that offer cost-effectiveness ensures that the distribution process remains financially viable and contributes to the company's overall profitability Coordination: Company leaders play a crucial role in coordinating marketing efforts throughout an international distribution system They make decisions regarding the specific promotional and logistical activities to be undertaken by each channel member Efficient coordination of the international distribution process is essential to ensure effective marketing channel coordination Cooperation: Despite the challenges, channel leaders strive to evaluate the expected level of cooperation from potential channel members before establishing a formalized marketing channel The reputation of potential members and their past marketing successes in targeted regions or countries are of vital importance The level of trust between marketing channel members often dictates the extent of cooperation among parties in the marketing channel School supplies - Costs: the supplies that local students need would need to be in stores – they need to be widely distributed so it is easy to buy these.Channel members with competitive pricing and efficient distribution will be preferred, as school supplies are often price-sensitive products - Coordination: schools and teachers will need to communicate with schools who will need to communicate with their suppliers about what products they need in stock.Effective coordination between channel members is crucial to ensure timely delivery and availability of school supplies before the start of the school year - Coverage: there should be an intensive strategy used.The distribution network should cover schools, educational institutions, and retail stores in both urban and rural areas to reach a wide range of customers - Cooperation: trust needs to be established, if the right products are stocked consumers will buy them.Collaborative partnerships with educational institutions, teachers, and parents can enhance brand loyalty and promote the use of specific school supplies - Control: when shipping internationally producers lose some control – this can increase costs The manufacturer or distributor may need to exercise control over inventory management and product displays to maintain consistent quality and brand image Sports equipment - Costs: sports equipment is often large and heavy Costs associated with storing and delivering the goods will be incurred.Selecting channel members who can offer competitive prices and effective logistics can help attract price-conscious sports enthusiasts - Coordination: Sports equipment is often seasonal and this will need to be communicated to channel members.Close coordination is required between manufacturers, distributors, and retailers to ensure a smooth flow of sports equipment from production to end consumers - Coverage: there should be a selective strategy used.Sports equipment should be available in specialized sports stores, sporting goods retailers, and online platforms to cater to the diverse needs of athletes and sports enthusiasts - Cooperation: trust needs to be established Partnering with sports clubs, coaches, and professional athletes can create a strong association and credibility for the brand, encouraging more customers to purchase the products - Control: when shipping internationally producers lose some control – this can increase costs of shipping and keeping track of large/expensive items.Maintaining quality standards and managing product warranties are essential to ensure customer satisfaction and brand reputation Fast food - Costs: transporting, storing and preparing fast food will need to be included in the costs The food often needs to be transported and stored at a certain temperature so it doesn’t spoil, this can be expensive Channel members with efficient supply chain management and cost-effective distribution will be beneficial for the fast food industry - Coordination: key among channel members so the food remains fresh and doesn’t spoil Close coordination between fast-food chains and their franchisees is essential to maintain uniformity in food quality, service, and branding - Coverage: there should be an intensive strategy used.Fast food outlets should be strategically located in busy areas, near residential areas, schools, and offices to ensure maximum customer reach - Cooperation: trust needs to be established Collaborating with delivery services and online platforms can expand the reach and accessibility of fast food products, especially in the growing trend of food delivery - Control: when shipping internationally producers lose some control Here they need to make sure food safety and quality is still taken care of Ensuring standardized recipes, customer service, and branding across all outlets is crucial for maintaining a consistent fast food experience Perfume - Costs: not only transporting the product, but packing a perfume will be a cost Selecting channel members with efficient distribution channels and competitive pricing can attract price-conscious fragrance consumers - Coordination: Channel members will need to coordinate to make sure there is an ample supply at department stores Close coordination between perfume manufacturers and retailers is essential to maintain a diverse range of fragrances and quick restocking of popular scents - Coverage: for designer perfume a selective strategy should be used Perfumes should be available in department stores, specialty perfume boutiques, and online platforms to reach a wide range of fragrance enthusiasts - Cooperation: trust needs to be established Partnering with fashion influencers, celebrities, and beauty experts can create a buzz around specific perfume brands and attract more customers - Control: when shipping internationally producers lose some control.Ensuring proper display and testing of perfume samples in retail stores is crucial to provide customers with a luxurious and immersive fragrance experience IV Table 13.4 provides a list of the functions of international marketing channel members Apply the list to the following companies, industries, or situations: Companies/ Industries/ Situations The function of International Marketing channel member Reason for choosing Automobile manufacturers Promote products to end users and channel members The end consumer is the ultimate decision maker and plays an important role in the process of paying for the product End channel members are the last contact for customers They play an important role in ensuring that the product or service is delivered and taking care of the customer efficiently Disposable pens Market information, The functions mentioned above would also apply to disposable pens and and cigarette promote products cigarette lighters Channel members in lighters this industry would gather market information, promote products through advertising, distribute goods to retailers or wholesalers, facilitate sales, provide after-sales service, explore new markets, manage risks, and maintain strong relationships within the distribution network Exclusively distributed goods Manage demand for a wide array of products by consumers with producers’ desire to manufacture a limited array For goods that are exclusively distributed, such as luxury automobiles or high-end pens, channel members' functions become even more critical They would focus on carefully selecting distribution partners, conducting extensive market research, implementing exclusive marketing strategies, providing specialized training and support, and maintaining stricter control over brand image and customer experience Selectively distributed goods Store products until they are sold, keep track of items, move products within both the manufacturing and the warehousing systems Selectively distributed goods, such as certain automotive parts or limited-edition pens, would involve channel members who target specific market segments or regions They would focus on identifying suitable distribution partners, ensuring effective product placement and availability, promoting exclusivity, and managing relationships with a select group of retailers or distributors EXERCISE 8: 04/08/2023 Make a list of the most common barriers to individual interpersonal communication Explain how these factors become more complicated in international marketing Explain how each of these variables also constitutes a barrier to communication throughout an organization Most common barriers to Individual Interpersonal Communication: Language barriers, cultural differences, nonverbal cues, lack of attention or listening skills, emotional and psychological barriers, technological barriers Factors complicating communication in International Marketing - - - - Language barriers: International marketing encompasses the task of reaching out to various markets that speFactors complicating communication in International marketing ak different languages It is vital to accurately translate marketing materials in a manner that respects cultural nuances, as this is essential for effective communication and preventing any misinterpretations Cultural differences: To effectively connect with the intended audience, it is crucial for marketing messages to reflect and respect the cultural customs and values of the local community If there is a lack of awareness about cultural subtitles, it can lead to inappropriate or offensive communication, which in turn can harm the perception of the brand Legal and regulatory barriers: in every country, there are specific laws and regulations that dictate marketing practices International marketers need to navigate through these regulations to ensure they are compliant and must also adjust their communication strategies accordingly Market research and understanding: to achieve successful international marketing, it is crucial to conduct thorough research on the market and have a deep understanding of the preference, needs and behaviors of the target audience Without accurate insights, communication strategies may be ineffective Time zones and distance: International marketing frequently requires the coordination of tasks across various time zones and physical distances The challenges of scheduling meetings, collaborating and maintaining timely communication can intensify as a result of these logistical obstacles Variables as barriers to communication within an Organization - - Hierarchical structures: communication flows from the tops to bottom, may hinder open communication between lower-level employees and higher -level management, leading to ineffective information sharing Silos and departmentalization: department operate independently and not share information effectively, can also create barriers to communication by inhibiting cross - department collaboration and coordination Lack of transparency: sharing important information with employees can be another barrier to effective communication When an organization fails to be transparent, employees may feel uninformed or disconnected, resulting in reduced morale and productivity Inadequate communication channel: within the organization, such as outdated or insufficient platforms, limited access to information, or delayed responses, can impede timely and efficient communication - Noise and distraction: can act as distraction that disrupt communication within the organization These distractions affect concentration, attention, and clarity during interpersonal interactions, further hindering effective communication - Resistance to change: within an organization can pose communication barriers when implementing new systems or processes Lack of acceptance or understanding of these changes can lead to ineffective communication and hinder overall progress Discuss how the four non-traditional marketing methods would fare in low-context cultures Explain how the methods match or not match such a culture Explain how each would be different in high-context cultures (hTram) Low-context cultures: cultures that demonstrate high values towar and positive attitudes regarding words.Low-context cultures are characterized by explicit verbal or written messages Low-context cultures demonstrate high values toward and positive attitudes regarding words High-context cultures: High-context cultures rely more on symbols and language with less-explicit or spelled-out codes The meaning of the message is mainly contained in the nonverbal components of the message This includes facial expressions, body language, the person presenting the message, and the context in which the message is transmitted.High-context communication moves quickly and efficiently How the four non-traditional marketing methods would fare in low-context cultule and the methods match to which culture *Buzz Marketing: relies on creating excitement and interest around a product or service to encourage people to talk about it and share their experiences with others In low-context cultures, where direct and explicit communication is valued, buzz marketing can be effective People in these cultures tend to respond well to clear and straightforward messages that create a buzz and generate word-of-mouth + In low-context cultures: Buzz marketing can be highly effective in low-context cultures due to the emphasis on direct and explicit communication Creating excitement and generating conversations around a product or service aligns well with the straightforward communication style of these cultures Consumers in low-context cultures are more receptive to clear and direct messaging, which makes buzz marketing a suitable method for capturing their attention and interest + In high-context cultures:where communication is more indirect and relies on nonverbal cues and shared cultural knowledge, buzz marketing might face some challenges The subtle and implicit nature of buzz marketing may not resonate as strongly with the audience, as they are more accustomed to decoding implicit messages and relying on word-of-mouth recommendations To adapt to high-context cultures, buzz marketing campaigns may need to incorporate symbolic elements or cultural references to better connect with the audience *Guerrilla Marketing: Guerrilla marketing involves unconventional and eye-catching campaigns that aim to surprise and engage the audience + In low- context cultures: Guerrilla marketing, with its unconventional and eye-catching approach, can be well-received in low-context cultures These cultures value creative and attention-grabbing advertising that stands out from traditional methods The direct and explicit messaging in guerrilla marketing campaigns aligns with the communication style in low-context cultures, making it easier for consumers to understand and appreciate the marketing message + In high - context: Guerrilla marketing can still be effective in high-context cultures, especially if the campaigns incorporate storytelling and symbolism that resonate with the audience's shared cultural knowledge However, the success of guerrilla marketing in high-context cultures may depend more on creating emotional connections and using implicit messaging Subtlety and cultural relevance play a more significant role in engaging the audience in these contexts *Product Placements and Branded Entertainment: Product placements and branded entertainment involve integrating products or brands into movies, TV shows, or other forms of media content In low-context cultures, where consumers are more receptive to overt advertising and straightforward brand integration, these methods can be effective As long as the placements feel natural and not disrupt the storytelling, they can leave a lasting impression on the audience + In low - context cultures: consumers are generally more receptive to overt advertising and clear brand integration Product placements and branded entertainment can be effective marketing methods, provided that the placements feel natural and align with the content's context The direct and explicit messaging style is well-suited to convey the marketing message effectively + In high-context cultures: subtle and integrated product placements might be more successful The audience in these cultures is skilled at decoding implicit messages and cultural references Therefore, for product placements to be well-received, they should feel organic and resonate with the content's context, making them more seamless and enhancing the overall viewing experience *Program Success: Program success refers to the creation of successful marketing programs that focus on delivering value to consumers and meeting their needs + In low-context cultures: Marketing programs that focus on delivering clear benefits and value propositions can be successful in low-context cultures These cultures appreciate direct and straightforward information, making it essential to communicate the program's advantages clearly to the audience + In high-context cultures: program success might rely more on building and maintaining relationships Trust and long-term connections are crucial, and marketing programs that prioritize community engagement and personal connections can be more effective in gaining loyalty and support from consumers Find examples of advertisements for the same brand in different countries Compare and contrast the selected advertisements and try to assess their fit to the target cultures Brand: Indomie with product: Noodles Indonesia Other countries Target Cultures In Indonesia, 90% of the population follows Islam As part of the Islamic tradition, there is the month of Ramadan, a special fasting month during which Muslims fast from dawn to sunset During this time, Muslims abstain from eating, drinking, and engaging in any public display of food, beverages, or festivities during daylight hours Therefore, if you want to advertise food in Indonesia during the month of Ramadan, it is essential to respect the culture and religious practices of the Muslim population You should limit food advertisements and promotions to the period from sunset to dawn, when Muslims break their fast and have their meals Advertising food during the fasting hours could be seen as disrespectful and insensitive to the religious beliefs of the people there In markets like Vietnam and other countries, there are no cultural barriers when it comes to food consumption, and instant noodles are seen as a quick, convenient, affordable, and delicious meal option Advertisement In the Indonesian market, for the first time, Indomie Indomie's advertisements focus on the cooking process, launched an advertising campaign featuring packaging images of "noodles without noodles." Following that, they aired a TV commercial at 10:30 AM (during the fasting hours) depicting activities of "cooking" and "eating" the noodles without showing the presence of actual noodles The advertisement was incredibly creative and in line with the local culture, which resonated well with the people This approach helped Indomie gain significant emotional appeal and positive reception among the audience showcasing the flavorful seasoning packets, perfect noodle texture, and excellent presentation on the plate, thus elevating the culinary value of this simple dish Additionally, in the media, instant noodles are also introduced as a source of essential vitamins and nutrients beneficial for consumers' health, besides being delicious, nutritious, and affordable Brand: Calvin Klein Target Cultures Viet Nam USA In Vietnam, as an Asian country with rich cultural traditions and customs, advertisements must undergo strict scrutiny to ensure they comply with community standards and not violate cultural norms Images presented to the public must not be provocative or offensive in any way Additionally, advertisements should adhere to appropriate dressing and behavior guidelines to maintain cultural sensitivity and respect The United States is a country known for its liberal and free-spirited nature, thus there are few standards for how people dress in a community Advertisement Calvin Klein's OOH advertisements are not placed in busy transportation hubs but are often found in shopping areas The images of models are also more discreet, yet they still manage to convey the spirit of the brand effectively Outdoor OOH (Out-of-Home) advertisements for CK often feature large images of models showcasing the brand's lingerie products This approach aims to convey a sense of freedom, elevate the brand's image, and highlight the beauty of the model's body, thereby attracting viewers' attention Prepare a report on the application and future of programmatic advertising in global advertising campaigns I Introduction Programmatic advertising has revolutionized the world of digital advertising by automating the buying and selling of ad inventory in real-time through sophisticated algorithms and data-driven decision-making It enables advertisers to reach their target audience more effectively and efficiently This report explores the application and potential future of programmatic advertising in global advertising campaigns II What is Programmatic Advertising? Programmatic advertising refers to the automated buying and selling of ad inventory in real-time through sophisticated algorithms and data analysis It utilizes various data points to identify and target specific audiences across multiple devices and channels, ensuring relevant and personalized ad experiences According to Rogers, programmatic advertising, an automated way of buying and displaying online advertisements, is also predicted to grow globally (Rogers, 2017) III Current State of Programmatic Advertising Programmatic advertising has experienced significant growth over the past decade, with a substantial portion of digital ad spending being allocated to programmatic channels Some key aspects of the current state of programmatic advertising include: Automation: Programmatic advertising streamlines the ad buying process, allowing advertisers to reach their target audience across multiple devices and platforms, reducing manual efforts significantly Data-Driven Targeting: Programmatic ads rely on data and audience insights to target specific demographics, interests, behaviors, and contexts, resulting in more relevant and personalized advertisements Real-Time Bidding (RTB): RTB is a crucial element of programmatic advertising, enabling advertisers to bid for ad impressions in real-time, optimizing ad placement and maximizing ROI Cross-Channel Campaigns: Programmatic advertising allows seamless integration across various channels, including display, video, mobile, social media, and even traditional channels like television and radio Programmatic Guaranteed: Beyond RTB, programmatic guaranteed deals are becoming more prevalent, providing advertisers with premium ad inventory and fixed pricing IV Benefits of Programmatic Advertising The application of programmatic advertising offers several benefits for global advertising campaigns: Increased Efficiency: Automation leads to reduced manual efforts and faster ad placements, optimizing campaign efficiency Precise Targeting: Programmatic platforms leverage data to target the right audience, increasing the chances of engaging potential customers Enhanced Personalization: Advertisers can tailor their messages to individual users, enhancing the overall user experience Real-Time Optimization: Real-time bidding and data analysis allow advertisers to make data-driven decisions and optimize campaigns on-the-fly Global Reach: Programmatic advertising facilitates reaching global audiences across borders, languages, and cultures V Programmatic Advertising Strategies for Global Campaigns Geotargeting and Language Localization: Advertisers can target specific countries, cities, or regions with tailored ad messages and localized content to resonate with diverse audiences Behavioral Segmentation: Segmenting audiences based on their online behavior and interests allows advertisers to create highly relevant and engaging ads Dayparting: Scheduling ads to appear during specific times of the day or days of the week can optimize ad performance based on the target audience's behavior Contextual Targeting: Placing ads on websites or content relevant to the ad's context ensures ads are seen by users with specific interests Retargeting: Re-engage with users who have previously shown interest in the product or service, providing a second chance for conversion VI Challenges and Concerns While programmatic advertising has many advantages, it also faces several challenges and concerns: Ad Fraud: The automated nature of programmatic advertising can be exploited by fraudulent actors, leading to wasted ad spend and deceptive reporting Brand Safety: Ads may appear on inappropriate or harmful content, potentially damaging a brand's reputation Ad Blocking: Some users actively block ads, reducing the effectiveness of programmatic campaigns Privacy Concerns: The use of data for targeting raises privacy concerns and compliance challenges, especially with evolving data protection regulations Lack of Transparency: The complexity of programmatic advertising can make it challenging for advertisers to fully understand the ad placement process VII Future of Programmatic Advertising The future of programmatic advertising is promising and is expected to evolve in the following ways: AI and Machine Learning Integration: Advanced AI and machine learning algorithms will enhance audience targeting and campaign optimization Addressable TV Advertising: Programmatic will extend to traditional TV advertising, enabling more precise targeting on television Voice and Audio Ads: Programmatic will enter the realm of voice and audio advertising, leveraging smart speakers and voice assistants Augmented Reality (AR) and Virtual Reality (VR) Advertising: Programmatic will adapt to new technologies like AR and VR, providing engaging and immersive ad experiences Data Privacy and Transparency: There will be a stronger emphasis on data privacy compliance and increased transparency in ad placements Integration with Internet of Things (IoT): Programmatic will leverage IoT devices and data to deliver hyper-targeted ads Omnichannel Programmatic Campaigns: More advertisers will adopt omnichannel programmatic strategies to create a seamless user experience across various touchpoints Blockchain Solutions: Blockchain technology may be used to enhance transparency, reduce ad fraud, and improve data security VIII Conclusion Programmatic advertising has already become a fundamental part of global advertising campaigns, offering efficiency, precise targeting, and enhanced personalization Despite facing challenges, its future looks bright with the integration of AI, expansion to new advertising mediums, and a heightened focus on privacy and transparency Advertisers who embrace programmatic advertising strategically will gain a competitive advantage in the ever-evolving global advertising landscape CASE 15 Smartphone Apps: MyBabyBio and MyLifeBio—Born Global Firms in a Crowded App Market Conduct an analysis of competitors and assess the international market feasibility of the two apps mentioned in this story MyBabyBio doesn’t face any direct competitors offering identical services Nevertheless, MyBabyBio and its sister product MyLifeBio have many similarities with the well-established social media platform, Facebook To achieve success, MyBaByBio would need to attract users on a global scale By initially launching in English-speaking countries exclusively, the company may have a smaller share of the market Nonetheless, I believe it is a prudent decision to begin where they are familiar and comfortable rather than entering a market and culture that is unfamiliar to them Prepare a marketing communications brief for a global marketing communications agency detailing the problem, aims and objectives, and prepare a budget for a promotional campaign for one or more target countries MyBabyBio aims to solve the problem of parents and families lacking a secure and private platform to share photos and videos of their young children on social media The objective is to create a protected environment for this purpose, in contrast to Facebook, which has shown unreliability and insecurity in safeguarding user data and privacy The primary target audience for MyBabyBio is parents with young children To kickstart a promotional campaign, it would be advisable to start with a limited budget Currently, MyBabyBio has a small user base of around 300 users It is recommended to continue advertising on Facebook and local parenting magazines, as these methods are cost-effective and can reach a wide audience quickly In the initial phase, the focus should be on launching the app in the British market before expanding globally Given the limited user base, efforts should prioritize local expansion rather than allocating additional resources to adapt the product for other languages or markets Furthermore, the expectation is that adults using MyBabyBio will also download the "adult" version of the app, called MyLifeBio, and use it as well Prepare a globally integrated marketing communications plan to promote the two apps Which countries would you target? As previously mentioned, I believe that focusing on expanding the app within its home country of Britain is the optimal strategy However, if the situation calls for exploring opportunities in other countries, I still maintain that prioritizing English-speaking nations would be highly advantageous It would be wise to target larger countries such as the United States and Australia How would you use traditional advertising with nontraditional marketing? Which nontraditional marketing communications program would you employ? While traditional advertising continues to hold importance, certain sectors within it are witnessing a decline Therefore, it would be prudent for MyBabyBio to consider engaging in magazine and television advertising through relevant channels However, it is crucial to embrace non-traditional approaches, especially in larger markets Public restrooms offer an intriguing opportunity for effective placement of MyBabyBio advertisements, such as positioning posters directly in front of baby changing stations or inside stalls Furthermore, mall signs can prove to be an effective means of reaching parents if strategically placed outside relevant stores Propose a set of advertising appeals that you would use in a standardized advertising campaign for the MyBabyBio app Here are some advertising strategies that I believe are well-suited for promoting MyBabyApp: ● Addressing a societal need: Our approach emphasizes the current lack of a secure platform for parents to share information about their children By highlighting this issue, we aim to demonstrate to individuals the importance of having a reliable platform like MyBabyApp ● Creating a sense of community: We want users to know that they are not alone in their desire for a safe space to share information This strategy strives to foster a feeling of belonging and create a supportive "family" atmosphere within the MyBabyApp community ● Appealing to both reason and emotion: By combining rationality and emotional appeals, we aim to help our target audience recognize the value of MyBabyApp By evoking an emotional response, we hope to encourage users to see the practical benefits of using our app