International Marketing Strategy: Cultural Influences on Entry Mode Choice

This article discusses the cultural influences on the entry mode choice in international business, with a focus on McDonald's. It evaluates the strengths and weaknesses of the article, the methodological approach used, and the market entry method employed by McDonald's. The conclusion highlights the importance of cross-cultural analysis and the effectiveness of joint ventures in expanding business globally.

International Marketing
Strategy

Table of Contents
INTRODUCTION...........................................................................................................................1
CRITICAL EVALUATION OF THEORTICAL ASPECTS OF ARTICLE..................................1
Strengths and Weaknesses of article...........................................................................................1
Methodological approach............................................................................................................2
Analysis.......................................................................................................................................2
Market entry method...................................................................................................................3
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
International marketing strategy refers to strategy that encompasses the countries from
various regions in world and its main aim is to co-ordinating marketing efforts in markets. Under
given report, chosen article is based on Cultural influences on the entry mode choice in to
international business (Bonoli, 2017). The chosen company is McDonald and this is American
fast food firm that founded in year 1940 as restaurant operated through Richard and Maurice
McDonald. In present investigation going to discuss regarding cross cultural analysis and the
market entry decisions made through an organisation.
CRITICAL EVALUATION OF THEORTICAL ASPECTS OF ARTICLE
Strengths and Weaknesses of article
From the plenty of some other article, there is a article selected on internet related to the
Cultural influences on the entry mode choice. There are some strengths and weaknesses of this
article given below:
Strengths
 The main strength of this article is that it consists detailed analysis of various factors
which are concerned to the cultural and also market entry techniques company in a better
manner (Christensen, Ball and Halskov, 2017).
 This article states the joint venture as market entry technique.
 It represents the risk related to decision making of market entry and also mainly link
among cultural backgrounds for the successful joint venture.
Weaknesses
 Weakness of this article is that it only provide joint venture as market entry strategy but
other than this, there are some other techniques such as franchise, exporting and others.
 It does not state about the cultural issues which company face in expansion of business
(Davidov and et. al., 2018).
In literature review there is a gap that mention about adopting single market entry
techniques but not mention more which can be more effective for the company to enter in to the
international market (Wales and et. al., 2019).

Methodological approach
In context of methodology, present article consists the qualitative research methods
related to international business area. For an example, Uppsala model developed in range of the
techniques consisting the qualitative methods as main party of theory generations and also
presentations related to new insights. The qualitative investigation inspires certain stigma in
context of giving serious pinion on specific area. Present article focus on techniques which
adopted through primary property and also liability to enter in to global markets. On the other
hand, methodologies consist questionnaire survey and structured interviews. As result, there
were 21 interviews obtained and survey consists the responses from 271 organisations which
operating in 47 countries and performed around 216 foreign market entries (Hagaman and
Wutich, 2017).
In given article, this has been stated that multinational organisations are select from
considerable variety of the methods and techniques in to foreign markets, mainly on outcomes of
questionnaire survey and structured interview, article mentions that interview were conducted
with 21 executives which accept to take participation in interviews. Answers of interviews were
basis for elaboration of survey questionnaire sent to around 423 firm in 63 countries. The process
came up with the 271 responses which gotten from the 47 countries (Kim and Stepchenkova,
2017).
Analysis
Culture is a necessary factor that necessary to be contain while conducting the business at
international level. Selected article emphasized requirement to valuing new business
environment and also diverse workforce in business. It concluded about the culture of
international market and also market entry mode that helps in expanding the business globally.
The outcome is logical and it can go with contradict it. The article states regarding the impact of
cultural factors on market entry decisions at global level (Stoian, Rialp and Dimitratos, 2017).
This is mainly emphasized on significance of the global strategy on way the company will make
better decisions on the operations at global level. From this article, it has been analysed that this
is possible to determine and depending on cultural distance level. This mainly impacts
relationship among countries in procedure of deciding an effective entry mode.

Market entry method
Under this, business problem is related to selecting the market entry mode which firm
should be adopt while expansion of business. In relation to this, market entry strategies are setup
directly in market by using different methods. McDonald is largest chain of the fast food
restaurants. It operates around 32000 restaurants serving more than 60 million people on daily
basis. While this company can not export its goods but this can select between various operation
modes in global market. It recognised in life that the overseas market needed more degree of the
local responsiveness and also required to manage the business spread across various regions in
an effective manner (Thomas and Peterson, 2016). In relation to this, investigation level that
McDonald commits to markets differ across various modes but thus exerts the proper control
over various outlets and growth in the each market. McDonald restaurant internalize expansion
cost to large extent that depending on governance kind in each market and also set expansion
part across the other markets. McDonald uses the franchise as the market entry method.
Franchise is cheap way to expanding the business into other countries while giving control over e
of brand as well as operations (Watson IV and et. al., 2018).
CONCLUSION
It has been concluded from above mention information that articles provides information
regarding cross cultural and market entry techniques. There has been examined the strengths and
weaknesses of articles which selected on particular area. Through using article, more information
has been collected and gain better understanding regarding the specific subject. In present report,
there has been discussed about the methodologies which used in the articles like interviews and
survey. For the market entry method, this article provides the option related of joint venture
which is effective in expanding the business at global level and also make it successful.

REFERENCES
Books & Journals
Bonoli, G. (2017). Labour market and social protection reforms in international perspective:
parallel or converging tracks?. Taylor & Francis.
Christensen, B. T., Ball, L. J., & Halskov, K. (2017). Analysing design thinking: Studies of
cross-cultural co-creation. CRC Press.
Davidov and et. al., (2018). Cross-cultural analysis: Methods and applications. Routledge.
Hagaman, A. K., & Wutich, A. (2017). How many interviews are enough to identify metathemes
in multisited and cross-cultural research? Another perspective on Guest, Bunce, and
Johnson’s (2006) landmark study. Field Methods. 29(1). 23-41.
Kim, H., & Stepchenkova, S. (2017). Understanding destination personality through visitors'
experience: A cross-cultural perspective. Journal of Destination Marketing &
Management. 6(4). 416-425.
Stoian, M. C., Rialp, J., & Dimitratos, P. (2017). SME networks and international performance:
Unveiling the significance of foreign market entry mode. Journal of Small Business
Management. 55(1). 128-148.
Thomas, D. C., & Peterson, M. F. (2016). Cross-cultural management: Essential concepts. Sage
Publications.
Wales, W. and et. al., (2019). Entrepreneurial orientation: International, global and cross-cultural
research. International Small Business Journal. 37(2). 95-104.
Watson IV, G. F. and et. al., (2018). International market entry strategies: Relational, digital,
and hybrid approaches. Journal of International Marketing. 26(1). 30-60.
Online
Piscopo., M. R., 2015. CULTURAL INFLUENCES ON ENTRY MODE CHOICE IN
INTERNATIONAL BUSINESS: AN ASSESSMENT AND REVIEW. [Online].
Available through: <https://dialnet.unirioja.es/descarga/articulo/5506360.pdf>.

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