As pointed out, adaptation involves modifying a product so as to meet the local requirements and customs. With standardization , however, the products are neither modified nor are the marketing approach changed. A company assumes “one size fits all” strategy and tries to infiltrate foreign markets .
The most important thing to consider is the company’s ability to adapt to the differences in international markets . Adaptation allows a company to individualize its marketing strategies and optimize itself for success in international markets .
Adapting the product has advantages and disadvantages : Advantages : Respect local specifications and expectations, excellent local image and customers keep their landmarks and feel noticed. Disadvantages : Higher cost, time consuming, poor speed of execution and difficulty to know customers’ expectations.
What are the various factors that influence product adaptation in new markets? Customer characteristics . Per capita income and living standards. Climate and geography. Quality and safety standards. Commercial infrastructure. Product usage conditions. Product positioning. Cultural considerations.
An example of standardization would be the generally accepted accounting principles (GAAP) to which all companies listed on U.S. stock exchanges must adhere. Standardization ensures that certain goods or performances are produced in the same way via set guidelines.
Product adaptation means that the firm adapts the product to the local markets. It is the process of modifying products for different countries and regions or designing new products for foreign markets. Product standardisation means that the firm sells and advertises a standardized product in the international context.
What is an Adaptation Strategy ? An Adaptation Strategy aims to increase society’s resilience to climate change. It is a framework for managing future climate risk, prioritising and coordinating action. It offers the potential of reducing future economic, environmental and social costs.
The economic benefits of adaptation are many: sustained or increased agricultural production, higher household incomes, enhanced environmental services, protection of the asset base, and less vulnerability to extreme weather events.
What is Global Standardization ? The general definition of global standardization is the ability to use standard marketing internationally. In other words, it’s the ability for a company or business to use the same marketing strategy from one country to the next, and across various cultures.
Global Marketing Strategies Red Bull . Airbnb . Dunkin Donuts . Domino’s. Rezdy . World Wildlife Foundation. Pearse Trust. Nike .
Product standardization across national and international markets ensures that the same product , consistent in all its aspects, is available to consumers, with no need to consider their actual location. By producing uniform, identical goods regardless of the market the industry or organization save money.
The word ‘ International Marketing ‘ is defined as the exchange of goods and services across national borders to meet the requirements of the customers. It includes customer analysis in foreign countries and identifying the target market . The major participants in international marketing are as follows −
Moreover, cultivated land area, seed, fertilizer, pesticide, water, age, educational level, experience, income, land size, and training were the factors found to significantly affect farmers’ decision to apply adaptation practices.
Product Adaptation strategy . adapting a product to meet local conditions or wants in foreign markets. Communication Adaptation strategy . a global communication strategy of fully adapting advertising messages to local markets.
The important factors that influence the exporting firm decision in favor of product standardization and adaptations : Customer Orientation. Stage of Market Development. Legal Considerations. Climate Conditions and Physical Environment.