Culture Influence on Entry Modes in International Marketing Strategy

This report evaluates the strength and weakness of entry modes and methodological approach in international marketing strategy.

International marketing
strategy

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Critical evaluation of the theoretical aspects of cross-cultural analysis and market entry....1
Application of theoretical understanding to the business problems.......................................3
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4
APPENDIX......................................................................................................................................5

INTRODUCTION
The international marketing is the process of adjusting various marketing
strategies of the company. That are adopted by company in other countries. Culture is
refers as the set of learned behaviour and beliefs which are characterized by society
and peoples group. The present report is based on Marks and Spencer which is British
multinational retailer company. The report will present article which is culture influence
on entry mode choice in international organisation that is Marks and Spence. The aim of
this report to evaluate strength and weakness of entry modes and methodological
approach.
MAIN BODY
Critical evaluation of the theoretical aspects of cross-cultural analysis and market entry
The article Cultural influences on entry mode choice in international business,
(2016) focus on different entry mode choices by analysing data which is joint venture.
The culture of country is highly influenced different entry in Marks and Spencer.
According to the article “Cultural influences on entry mode choice in international
business, (2016).”The entry mode will be decide by company and decision making
process Cultural influences on entry mode choice in international business, (2016). The
cultural differences are increasingly affect the business performance. As per the view of
Beugelsdijk & et.al., (2018), discuss the influence of cultural factors on the entry mode
decisions in context of entering in the other market. As per the view of Samaha, Beck &
Palmatier, (2014), international relationship is effectively increasing critical for the
business and its performance.
strength and weakness of article Cultural influences on entry mode choice in
international business, (2016)
The strength of this article is to summarized the different ways of entry modes in
other country. Other hand, this article is specifically shows the best entry modes as per
country like Japan used for entry mode which is joint venture Liu, (2017). The
advantage of joint venture which is help to business grow faster, increase productivity
and greater profits. The main weakness of different culture and management style the
result of joint venture is poor integration and co-operation D’Souza & et.al., (2019),
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In have gained knowledge about the different strategies which can be utilized by
companies for entering into international market. I came to know about the risk as well
as benefit associated with different modes or entering into new market which has
assisted management in determining whether decision taken by them is related to
selection of entry mode is right or wrong. I have analysed from the article that less risk
is involved in adopting the Joint venture strategy for entering into new market.
The methodological approaches
There are two types of methodologies which are qualitative and quantitative. In
the present article Cultural influences on entry mode choice in international business,
(2016) qualitative research has been conducted. In this article, is used by qualitative
research method is used and work done by using this methodology. This is best and
effective methodology because with the help of this method, result and finding are easily
measurable. As per the view of Ahi, Baronchelli, Kuivalainen & Piantoni, (2017) In
qualitative research, finding are measures by use of questionnaire. This includes by
structured interview and questionnaire survey. Descriptive researcher design has been
utilized for collecting m analysing and interpreting the information to be used for writing
article. The information for writing the article has been gathered from both primary and
secondary sources. Questionnaire has been used as the technique for collecting the
primary data for the article. Researcher has selected the 287 respondents from the
subsidiaries by applying the simple random sampling technique.
Is the Outcomes logical
The outcome shows that country risk as well as cultural distance have significant
effect on the entry mode choice. The findings from the article also reveals that
international acquisitions performed by culturally distant cultures not necessarily had
negative implications but they had positive results in terms of rise of knowledge transfer
Lewis, (2017).
In contradict Samiee & Chirapanda, (2019) stated, that the outcomes of articles
are not correct all the time as well as not authentic. This can indicate variable strategy
influences entry modes choices. In the other Popli, Akbar, Kumar & Gaur, (2016) The
joint venture is best and effective source of entry and this help to increase productivity
and profit of company.
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Application of theoretical understanding to the business problems.
In order to understand those problems which are faced by Marks and Spencer
from culture influence on entry modes in international marketing strategy.
Problems
The marks and Spencer is faced the various problems by entry modes in culture
differences. There are various problems which are faced company. The cultural
difference is the biggest problem which is faced by company at the time of entry in new
market Hennart & Slangen, (2015). The Lewis model – Dimensions of behaviour,
business model is applies in order to understand problem which is culture difference.
By using this model management of Marks and Spencer is able to analysis a person
culture profits and deciding for choose cultural dimensions for creating understandable
assessment.
Characteristics:
 Linear active is identifies various problems which are generated by languages.
 Multi active refers the different culture as per country. These culture can be
geographically and religions Lewis, (2017). Other had the behavioural follows
emotions, talkativeness, drama, low trust and body language.
With the help of this, Marks and Spencer management is able to analysis cross
culture differences as per different actives. Other hand, Samaha, Beck, & Palmatier,
(2014), stated in the contradiction manner to use Hofstede culture model for
understand the culture of other country.
CONCLUSION
From the above study it had been concluded that the culture influence the
different entry modes in international market. It had been concluded that the qualitative
approach on the cultural aspects and entry mode choices has best for gathered data for
research. There has various entry modes but that particular article has based on the
joint venture. Joint venture has best and helped to increase profits and productivity in
international marketing aspects and the article used by qualitative researcher
methodology that helps to get correct an accurate results.
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REFERENCES
Books and journals
Ahi, A., Baronchelli, G., Kuivalainen, O., & Piantoni, M. (2017). International market
entry: How do small and medium-sized enterprises make decisions?. Journal of
International Marketing. 25(1). 1-21.
Ang, S. H., Benischke, M. H., & Doh, J. P. (2015). The interactions of institutions on
foreign market entry mode. Strategic Management Journal. 36(10). 1536-1553.
Beugelsdijk, S. & et.al., (2018). Cultural distance and firm internationalization: A meta-
analytical review and theoretical implications. Journal of Management. 44(1). 89-
130.
D’Souza, C. & et.al., (2019). Environmental management systems: an alternative
marketing strategy for sustainability. Journal of Strategic Marketing. 27(5). 417-
434.
Gollnhofer, J. F., & Turkina, E. (2015). Cultural distance and entry modes: implications
for global expansion strategy. Cross cultural management. 22(1). 21-41.
Hennart, J. F., & Slangen, A. H. (2015). Yes, we really do need more entry mode
studies! A commentary on Shaver. Journal of International Business Studies
46(1). 114-122.
Lewis, O. (2017). The culture of poverty. In Poor Jews(pp. 9-25). Routledge.
Liu, Y. (2017). Born global firms’ growth and collaborative entry mode: the role of
transnational entrepreneurs. International Marketing Review. 34(1). 46-67.
Popli, M., Akbar, M., Kumar, V., & Gaur, A. (2016). Reconceptualizing cultural distance:
The role of cultural experience reserve in cross-border acquisitions. Journal of
World Business. 51(3). 404-412.
Samiee, S., & Chirapanda, S. (2019). International Marketing Strategy in Emerging-
Market Exporting Firms. Journal of International Marketing. 27(1). 20-37.
Samaha, S. A., Beck, J. T., & Palmatier, R. W. (2014). The role of culture in
international relationship marketing. Journal of Marketing. 78(5). 78-98.
ONLINE
Cultural influences on entry mode choice in international business. 2016.
[Online]. Available through: <https://dialnet.unirioja.es/servlet/articulo?codigo=5506360>
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APPENDIX
The Aim of the article is to provide the reflection on the academic production in
the international business which has approached culture and influence the entry modes
of choices. This gives systematic interrelating literature into the horizontal and vertical
joint venture: other the interrelationship between perceived culture distance for the joint
venture. The cultural factors have influence the different entry modes choice and
literature review about the possible identity, depending level of culture distance. The
methodology is used in this article which is qualitative research method which by asking
some question with peoples. The best result and outcome from this literature is to the
joint venture has best and effective to use in the entry modes.
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