Monday 4 April 2016

Advantages and Disadvantages of Global Marketing

Advantages of Global Marketing
  • Lower Marketing Costs: If you are to consider the lump-some cost, then, yes, it is high, but the same cost goes even higher if the company has to market a product differently in every country that it is selling.
  • Global Scope: Scope of this kind of marketing is so large that it becomes a unique experience.
  • Brand image Consistency: Global marketing allows you to have a consistent image in every region that you choose to market.
  • Quick and Efficient Use of Ideas: A global entity is able to use a marketing idea and mold it into a strategy to implement on a global scale.
  • Uniformity in Marketing Practices: A global entity can keep some degree of uniformity in marketing throughout the world.
Disadvantages of Global Marketing
  • Inconsistency in Consumer Needs: American consumer will be different from the South African. Global marketing should be able to address that.
  • Consumer Response Inconsistency: Consumer in one country may react differently than a consumer in another country.
  • Country Specific Brand and Product: A Japanese might like a product to have a traditional touch, whereas an American might like to add a retro modern look to it. In this case, a global strategy is difficult to devise.
  • The Laws of the Land Have to be Considered: Original company policies may be according to the laws of home countries. The overseas laws may be conflicting in these policies.
  • Infrastructural Differences: Infrastructure may be hampering the process in one country and accelerating in another. Global strategy cannot be consistent in such a scenario.

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