Who is able to complete this discussion?

1-3 Compare and contrast a single-country marketing ­strategy with a global marketing strategy (GMS).

The discipline of marketing is universal. It is natural, however, that marketing practices will vary from country to country for the simple reason that the countries and peoples of the world are different. These differences mean that a marketing approach that has proved successful in one country will not necessarily succeed in another country. Customer preferences, competitors, channels of distribution, and communication media may differ. An important managerial task in global marketing is learning to recognize the extent to which it is possible to extend marketing plans and programs worldwide, as well as the extent to which adaptation is required.

The way a company addresses this task is a manifestation of its global marketing strategy (GMS). In single-country marketing, strategy development addresses two fundamental issues: choosing a target market and developing a marketing mix. The same two issues are at the heart of a firm’s GMS, although they are viewed from a somewhat different perspective (see Table 1-3). Global market participation is the extent to which a company has operations in major world markets. Standardization versus adaptation is the extent to which each marketing mix element is standardized (i.e., executed the same way) or adapted (i.e., executed in different ways) in various country markets. For example, Nike recently adopted the slogan “Here I am” for its pan-European clothing advertising targeting women. The decision to drop the famous “Just do it” tagline in the region was based on research indicating that college-age women in Europe are not as competitive about sports as men are.22

Table 1-3 Comparison of Single-Country Marketing Strategy and Global Marketing Strategy

Single-Country Marketing Strategy

Global Marketing Strategy

Target market strategy

Global market participation

Marketing mix development

Marketing mix development

Product

Product adaptation or standardization

Price

Price adaptation or standardization

Promotion

Promotion adaptation or standardization

Place

Place adaptation or standardization

Concentration of marketing activities

Coordination of marketing activities

Integration of competitive moves

GMS has three additional dimensions that pertain to marketing management. First, ­concentration of marketing activities is the extent to which activities related to the marketing mix (e.g., promotional campaigns or pricing decisions) are performed in one or a few country locations. Second, coordination of marketing activities refers to the extent to which marketing activities related to the marketing mix are planned and executed interdependently around the globe. Third, integration of competitive moves is the extent to which a firm’s competitive ­marketing tactics in different parts of the world are interdependent. The GMS should enhance the firm’s performance on a worldwide basis.23

The decision to enter one or more particular markets outside the home country depends on a company’s resources, its managerial mind-set, and the nature of opportunities and threats. Today, most observers agree that Brazil, Russia, India, China, and South Africa—five emerging markets known collectively as BRICS—represent significant growth opportunities. Mexico, Indonesia, Nigeria, and Turkey—the so-called MINTs—also hold great potential. Throughout this text, ­marketing issues in these countries are highlighted in “Emerging Markets Briefing Book” boxes.

The Cultural Context

“1-2-3-4!” 40 Years of Punk Rock, 1976–2016

Rock music has often served as a cultural manifestation of youth movements. In 1960’s “swinging London,” for example, the Beatles, the Rolling Stones, and other British Invasion bands set new trends in sound and style. On the other side of the Atlantic Ocean, American rock groups such as the Grateful Dead and the Jefferson Airplane gave voice to the era’s political and social turmoil during the “Summer of Love.”

In 1976, a new sound emerged. Punk rock was both a ­musical and a cultural movement. On the musical side, it ­represented a visceral reaction to, and repudiation of, the prevailing musical styles and tastes of the time. Giant stadium concerts by English progressive rock bands such as Genesis, Pink Floyd, and Yes had become overblown spectacles. Southern California soft-rock, a genre popularized by the Eagles, Linda Ronstadt, and singer-songwriter Jackson Browne, was equally distasteful to the punks.

Punk also offered an outlet for the voices of disenfranchised young people and an opportunity to rebel against the establishment. In the United Kingdom in the mid-1970s, the country’s economic stagnation meant there were few job opportunities for young people—as well as their elders. The government’s decision to conserve coal supplies resulted in power shortages and mandatory three-day working weeks. During the same time period, New York City was in social and economic decline. In the summer of 1976, a serial killer known as the Son of Sam was terrorizing the area. Across America, the energy crisis meant rising prices for gasoline and shortages.

It was in this musical and economic context that young people in both the United States and the United Kingdom discovered that it was relatively easy to learn to play two or three guitar chords. Even ­better, punk’s “DIY” ethos meant that musicianship was often beside the point. Who needs technique? Who cares what the notes are?

In the United States, punk scenes sprang up on both coasts. Forest Hills, New York, was the breeding ground for the Ramones. Seymour Stein, the Sire Records chief who signed the band to his label, says simply, “New York City needed an infusion.” At the legendary CBGB (“Country Bluegrass Blues”) music club in New York’s East Village, the Ramones shared the stage with the Talking Heads, Blondie, and other new bands that were part of the local art-rock scene.

Key to the Ramones’ sound was concise pop songwriting; many songs ranged in length from a mere two minutes (or less) to under three minutes. The look was important, too; the band members ­carefully cultivated an outcast image by wearing black leather biker jackets and ripped jeans. None of the four was actually named Ramone. Even so, the band was often referred to as “Da Brudders.”

On the U.S. West Coast, a punk scene took shape when bands such as X and Black Flag were formed in Los Angeles. As John Doe, bassist and vocalist for X, recalls, “Rock and roll needed to be hit upside the head!” Despite being dismissed by the mainstream rock world, punk flourished in L.A. as a minority movement in clubs such as the Mask.

In the United Kingdom, the Sex Pistols burst onto the scene in 1976. The Clash, X-Ray Spex and a host of others followed and quickly gained fame and notoriety (see Exhibit 1-4). In July 1976, the Ramones played a landmark show at the Roundhouse in London that some observers credit with sparking the U.K. punk movement. In November 1976, the Sex Pistols released their debut single, “Anarchy in the UK,” on the EMI label.

Exhibit 1-4

Among punk’s positive social effects was the empowerment of women. For example, Exene Cervenka fronted L.A. punk band X, and Poly Styrene (shown here) was the singer for London’s X-Ray Spex.

Source: Pictorial Press Ltd/Alamy Stock Photo.