7BSP1271: Evaluating Cultural Impact on SME Global Marketing Strategy

This report critically analyzes the impact of culture on an SME's (CafePod Coffee Co.) marketing strategy, evaluating global marketing strategies such as market penetration, market development, product development, and diversity strategy. It examines how cultural factors influence promotion, customer preferences, target audience selection, customer demand, and marketing costs. The report further explores the marketing mix (product, price, promotion, place) and cultural theory, highlighting the importance of adapting marketing strategies to suit the cultural nuances of different regions. Issues impacting global marketing strategy, including environmental analysis, are also discussed, ultimately recommending a diversity strategy for CafePod Coffee Co. to ensure success in new markets by catering to local tastes and preferences.

Marketing Across
Culture

Contents
INTRODUCTION.......................................................................................................................................3
MAINBODY...............................................................................................................................................3
Identifying and critically analyzing the impact of culture on SME’s marketing strategy........................3
Evaluating global marketing strategy......................................................................................................5
Marketing mix and cultural theory..........................................................................................................7
Issues that impact global marketing strategy.........................................................................................10
CONCLUSION.........................................................................................................................................12
REFERENCES..........................................................................................................................................14

INTRODUCTION
Global marketing can be defined as action on process of marketing at a worldwide scale
in different countries. Global marking allows an organization to sell its products and services at
an international level. It allows a business to expand its operations in new regions. For the
following report Cafepod COFFEE Co. will be taken into consideration which is an independent
craft coffee SME which was established in the year 2011. The following report will include
effective identification and critical analysis of the impact of culture upon SME market strategy.
Moreover, it will evaluate global market strategies and theories such as market mix and cultural
theories. Furthermore, it will include issues in global market strategy along with environmental
analysis.
MAINBODY
Identifying and critically analyzing the impact of culture on SME’s marketing strategy.
The overall culture of a particular region has a major impact on an organization
marketing strategy. The culture influences those overall international operations of a business
and disrupts the business activates of an organization (Hunt and Madhavaram., 2020). In context
to CafePod Coffee Co, the marking strategy for the organization will be impacted influencing
their overall operations. There are various factors that are within culture of a region some of
these are mentioned below in context to CafePod Co:
Promotion:
The culture of a particular region or market has a great impact on the operational
promotional activities of an organization. This is due to the factor of various culture are
influenced through several channels of promotion. This makes it necessary for an organization to
evaluate culture of a region in order to develop their promotional activities. In context to
CafePod Coffe Co. the organization will have to develop a promotional activities that will be
focused on the region business wants to venture into. These factors will allow the organization to
market their products and service effectively in the market. The culture can impact the overall
behavior of their targeted customers which makes culture an influential element within marking
strategy.

Customer preferences:
The aspect of culture influences that overall preference of customer base. This has a
major impact on an organization when developing its marketing strategy. These customer
preferences are based on their overall lifestyle which varies from individual to individual
(Taherdangkoo, Ghasemi and Beikpour., 2017). In context to CafePod Coffe Co, when
developing market strategy the organization has to focusing upon effectively identifying and
understand the specific preference of their target customer base in a region. This makes it crucial
for the organization to select a suitable customer base in order to develop effective marketing
strategy which will ensure effectively attracting customers and provide assistance in growth as
well as success. Although, the process of understand customer preference can be costly as well
as time consuming to collect all the necessary data.
Target audience:
The culture of a particular market changes from region to region which has a major
impact on an organization relative to its marking strategy. There are various customers with
different preference in the market. This makes it difficult for an organization to choose a specific
target audience that will be aligned with their products and service. In context to CafePod Coffee
Co, this can make it difficult for the organization to select a suitable market in order to promote
their products. The organization will have to understand elements such s the age, preference,
lifestyle. Etc. in order to select an appropriate target audience for their products. This identifying
of the target audience can allow the organization to intern a new market in an optimal manner.
Customer demand:
The overall majority of a culture within a region impacts the customer demand as well.
The culture is an essential element that alters customers demand making it difficult to develop
marking strategy. This force an organization to pay emphasis on analyzing the demands of their
customers in order to develop a specific marking strategy that will be optimal in attracting
customers and promotion their products and services (Paley., 2021). In context to CafePod
Coffee co, the organization has to determine the overall demand of their product in the select
market in which culture plays a major role as if the market is not aligned with the produces

offered by the will result in loss of customer base as well as failure in marking products and
service.
Cost of marketing:
The culture of a particular region can impact and modify the cost of marketing of an
organization. The determining cost of making is essential for a business as it pays a key rile
while developing marking budget for a strategy. In context to CaféPod Coffee co, cultures high
influence their cost of marking which will be impact their marking strategy. This can negative
impact the overall financial resource of the organization as well through high rates of marketing
channels in the region along with the overall scale of the market. This will make it essential for
the organization to effective understand culture of the market while evaluating the overall cost of
marketing. This will ensure that the organization is able to develop an optimal marking strategy
that will provide assistance while capturing a large customer base within a region.
Evaluating global marketing strategy.
There are various global marketing strategies that can be utilized by an organization in
order to market their products and service in the market in an effective manner (Palazzo, Foroudi
and Siano, eds., 2020). In context to CafePod Coffee Co, there are various marketing strategies
in order to determine a suitable strategy that will ensure that the marketing operations of the
organization. Given below are various marketing strategies in context global aspect:
Marketing penetration strategy:
This particular strategy focus on entering an existing marketing along with existing
products at least cost possible. This allows an organization to market its products and severs in
an effective manner which results in engaging positively with customers. This strategy allows the
organization to have past experience of the market which helps in developing effective marking
strategy. Although this strategy is not effective form large expansion of business marking
operations as existing market lacks high level of research into marketing factors. In addition to
this, the particular strategy cannot be effective when expanding business at the global level
which makes it unsuitable for organization developing marketing strategy for relative to the
global context.

Market Development strategy:
This strategy focuses on developing a new market and entering with existing products as
well as service. In addition to this, it allows an organization to expand market in an effective
manner through utilizing exiting products of the organization. Moreover, it allows the
organization to gain customers in an untapped market. Although this strategy can be expensive
due to the development of new market. It forces an organization to conduct extensive research
related to the new market. In addition to this, the strategy can allow on organization to enter a
untapped market and gain competitive advantage in the particular region.
Product development strategy:
This marking strategy promotes an organization to develop new products in an existing
market. It allows an organization to effective attain new customers through development of
unique and creative products. In addition to this, product development allows the business to
market its brand in a positive manner which can lead to growth and success. Although this
strategy is effective in attain large customers base through marketing (Baack, Czarnecka and
Baack., 2018). The market remains the same leading to ineffective growth in the market through
implementation of marking activities. in addition to this, the strategy allows the organization to
develop new products that are catered to the needs and prefers of the customers which makes it
effective strategy for marketing relative to global operations.
Diversity strategy:
The following strategy allows an organization to develop new products and service in a
new market. It enables a business to expand its market as well as their portfolio which will result
in effective expansion and marking of products and service. The organization will have to ensure
that all products are catered to the needs of the region. Although this strategy can be risky but
ensure effective application of marking activities. It provides high level of success when
expanding market with new products along with marketing strategy.
From the above marketing strategy it is recommend that CafePod Coffee Co should focus
on diversity strategy when expanding their business as it will allows the business to develop a
new marking strategy that will consist of valuable factors such as taste and preferences of

customers which will ensure high level of success when marketing various products and service
(Mattera and Baena., 2018). In addition to this the particular strategy will help the organization
to be effective in attracting customers towards purchasing their products and service. This will
allows the business to generate high level of profitability and growth.
Marketing mix and cultural theory.
It is crucial for an organization to effective understand the overall market of the region in
order to effective develop products and services that will fulfill the needs of customers. It is vital
for an organization to alter their marking strategies according the preference of customers in the
region who are influenced by various cultures (Calantone, Di Benedetto and Rubera., 2018). In
context to CafePod Coffee Co, it will be important for the management to develop suitable
marking strategies based on the culture of the region as various factors will ensure alteration to
suite the targeted customers base and ensure high level of marking efficiency. In order to
understand marking strategies and how culture can influence the Marking mix has been
elaborated below in context to CaféPod Coffee Co,
Marketing Mix:
Marketing mix is a tool that consists of various elements that help in the marking and
promotion of organizational products and service. In context to CafePod Coffe Co, it will allow
the organization to gain broader guidelines for offering suitable products in the right place at the
right time along with appropriate pricing. Given below is the marketing mix of CafePod Coffe
Co:
Product:
This element of the marking mix allows the organization to develop its pricing strategy
for the specific market. Culture plays crucial role when determining products as various culture
in a region will have the need and desire for various products (Park., 2020). In context to
CafePod Coffee Co, this element will force the organization to develop Coffee products that will
be suitable for the targeted customer base in the region. The organization will have to understand
their culture in order to offer specific products. Understanding of this element can help the
organization to develop a suitable product strategy.

Price:
This element plays emphasis on the overall price of the products offered by an
organization. The overall culture of the marketing can alter price acceptance of customers in the
region. This can force and organization to determine how to price their products in order to
effectively attract customers and promote products and service. In context to CafePod Coffee Co,
understanding of culture will enable the organization to develop pricing strategy for their
products which will be capable of attracting customers of the market in an optimal manner.
Promotion:
This aspect of the marking mix focuses on the overall promotional actives that an
organization will conduct in order to market their products and service in an effective manner. In
addition to this culture plays an essential role within the promotion strategy of an origination as
various cultures in a region will prefer different promotional activities (Reyes-Menendez, Saura
and Palos-Sanchez., 2020). In context to CafePod Coffee Co, the organization will have to
determine suitable promotion activities such as the use of social media or print media in order to
market their products in the global market.
Place:
This element of the marking mx pays emphasis on the overall process of the organization
in order to market their products and services. This aspect focuses on the brand image of the
organization and how it is able to attract customers. In context to CafePod Coffee Co, culture of
a market will focus the organization to open establishment where the demand is high. This will
allows the organization to expand its marking within the regain in an effective manner and
ensure high level growth as well.
Cultural theories:
It is crucial for an organization to understand the culture of the market region in global
marking to develop effective marketing strategies (Eriksson., 2019). The effective understanding
will allows to understand various factors when design their products and series. In order to
understand cultural theory Hofstede’s Culture dimension are elaborated below in context of
CafePod Coffee Co and its marking application:

Individualism – collective
This diminution refers to the culture of individualism and collective and focus on
determining the appropriate culture for the organization that will allow the organization to
market its products and service in an effective manner. In context to CafePod Coffee Co, the
organization should focus on the collective dimension as it will allows the organization to reach
a broader customer base in an effective manner.
Power distance:
This dimension refers to the overall appeal of marketing in the region. This allows the
organization to determine its overall target audience and understand how it can attract the figures
of authority (Atherton., 2019). In context to CafePod Coffee Co, the organization should focus
on targeting an audience in the market with the highest power relative to their culture in order to
develop effective marketing strategy. This will allow the organization to attain largest market
share through optimal marking activities.
Masculine – femininity:
The aspect of cultural dimension refers the masculine and feminine elements of culture.
This dimension can allow the organization to understand which products of the business are
offered in order to attract customer’s relative to cultural dimension. In context to CafePod Coffee
Co, the organization should focus on developing products that cater to both masculine and
feminine cultures. This will assist the business in developing a specific marking strategy that can
areas the needs of both culture in an effective manner for success and growth.
Uncertainty avoidance:
This element of the cultural dimensions refers to the ever changing preference and taste
of cultures. This makes it crucial for an organization to understand uncertain when developing a
marking strategy in order to make it flexible relative to its adaptability when promoting products
and service (Rugman and Verbeke., 2017). In context to CafePod Coffee Co, the organization
has to focus on develop suitable strategy that take into account the influence of external factors
on the culture of an market while developing marking strategy in order to make the business
proactive to towards any hindrance that may occur.

Long –term orientation:
This aspect refers to the overall dimension of stabling long term relations with customers
on the bases of their culture. The understanding of this dimension allows the organization to
establish loyal customer base that will allows for effective growth and marking of products.
CafePod Coffee Co, the organization can develop positive relation with their customers through
their marking strategy by providing various offers such as discounts in order to attract customers.
This will help the business to market its products in an optimal manner.
Issues that impact global marketing strategy.
There are various issues that impact the overall global marketing strategy of an
organization `as there are various factors that can influence their overall marketing functions. In
context to CafePod Coffee Co, there can be various elements within the global market which can
influence their overall strategy can ensure that the organization is able attain high level of
growth. In order to understand issues that impact global marking strategy through the utilization
of PESTLE analysis:
PESTLE analysis:
Political:
This factor consists of various rules and regulation established by the government of a
region. This factor plays an essential role when organizations are developing their marking
strategy. CafePod Coffee Co, it will have to evaluate the political environment in the market in
order to develop suitable marking strategy. The negative political environment can force the
organization to alter their marking activities for growth and success.
Economical:
The economic factors refer to various elements such as unemployment and the rate of
inflation. These elements have a major impact on the marketing strategy of the organization as
the business has to consider the overall demand of the market (Yadav., 2017). CafePod Coffee

Co, has to focus on economic factors in order to develop marking products that will be effective
through attractive product design and promote cost effective prices.
Social:
The social aspect of the analysis consists of elements such as behavior and preference of
customers. This makes it vital for an organization to understand the social aspects of their
customer base in order to develop optimal marking strategy. In CafePod Coffee Co, the
organizations has to understand the overall culture and preference of their customers. It will
allows the business to effective attract customers. This can also raise the issues of collecting
valuable data in order to understand social elements.
Technological:
The technological aspect of the analysis refers to the utilization of technological element
in the marketing process of an organization. CafePod Coffee Co, it can face the challenge of
ineffective marketing strategy due to the use of technology. The organization will have to
understand how their customer base interacts with technological advertising elements. This can
be a complex as well as a costly aspect relative to the development of marking strategy.
Legal:
The legal aspect of the analysis consist of laws and regulation established by the
government of the region. In CafePod Coffee Co, their organization will have to understand the
legal requirement of the market in order to develop marketing strategies that are aligned with the
laws of the particular maker. This will ensure that the organizations is able to negate legal
hindrance and keep its marking operation effective.
Environment:
This factor of the external market influence global marketing strategy of an organization
as it consists the impact of organizational activates on the environment. In CafePod Coffee Co,
the organization can face criticism if it practices unethical and environmental damaging
marketing activates as it can lead to reduced brand image along with developing negative

relation with their target customers. In addition to this, it will allow the organization to develop
sustainable marketing practices that will make their marketing strategy optimal.
Issues that impact global marketing strategy:
Given below are various factors that influence global marking strategy of an
organization. Some of these issues are mentioned below:
Communication channels:
The preference of communication channels that are utilized in the market can be
challenging as various customer base are attracted by various communication channels. This
issue can negatively impact CafePod Coffee Co. when developing a communication channel
within their marketing strategy (Hu., 2020)
Barriers:
There can be various barriers to entry that CaféPod Coffee Co can encounter when
developing global marketing strategy. This can have negative impact on their overall strategies
of price, place, promotions well as product of the organization. In addition to this, these barriers
can raise the cost over overall marketing activities of the organization which can have negative
impact on the financial resources of the business.
Dynamic trends:
The changing terns of the market play a crucial role influencing the global market
strategy of an organization. This will force CafePod Coffee Co to evaluate trends in the market
when developing marking strategies. This process can be complex as well as costly and requires
the organization to effectively analysis and understand customer base when developing marking
activities and strategies (Chernev., 2019).
CONCLUSION
From the above report it can be concluded that, there are various aspect that can impact
marketing strategy of an organization. These factors can have a negative impact when
developing marketing strategy. In addition to this, culture has a massive influence over the

marketing mix of the organization and needs to be consider when marking products and services.
Furthermore, there are various cultural theories that also influence the marking strategy of the
organization. The organization also has to consider various factors when developing marking
strategy as they can cause issues in the effectiveness of the strategy.

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