Marketing Across Cultures: A Strategic Plan for Chile (7BSP1085 HBS)

This report provides a comprehensive analysis of marketing across cultures, focusing on developing a global marketing strategy for the Chilean market. It begins with a situational analysis, examining internal and external factors such as economic, political, legal, technological, and cultural influences. A SWOT analysis identifies strengths, weaknesses, opportunities, and threats. The report outlines an international marketing plan, including entrance methods like exporting, mergers, joint ventures, and licensing. It details the marketing mix strategies (product, promotion, pricing, place, people, process, physical evidence) adopted by global corporations, emphasizing cultural differences and offering a comparative analysis between Chile and the United Kingdom across dimensions like power distance, individualism, masculinity, uncertainty avoidance, and long-term orientation. The report highlights the importance of brand marketing, customer understanding, and effective communication strategies in global markets. Desklib offers a wealth of similar solved assignments and past papers for students.

Marketing across culture
Global corporation strategically
manages its marketing operation
across global market and culture
Student name

Marketing across culture 1
Contents
Introduction....................................................................................................................3
Situational Analysis.......................................................................................................3
Internal Situation........................................................................................................3
External situation.......................................................................................................4
Economic factors........................................................................................................4
Political and legal factors...........................................................................................4
Technological factors.................................................................................................5
Cultural factors...........................................................................................................5
SWOT Analysis.............................................................................................................5
Objectives.......................................................................................................................6
Outlined International Marketing plan...........................................................................7
Entrance Method:..........................................................................................................7
Marketing plan structure:...............................................................................................7
Marketing Mix strategies adopted by global corporations:........................................8
Monitoring…..............................................................................................................9
Cultural differences....................................................................................................9
Small v/s large power distance:................................................................................10
Individualism v/s collectivism:................................................................................10
Masculinity V/S Femininity.....................................................................................10
High V/S Low Uncertainty avoidance.....................................................................11
Long V/S short- term orientation:............................................................................11
Indulgence V/S Restrain:.........................................................................................11
Conclusion....................................................................................................................11
References....................................................................................................................12
Appendix:.....................................................................................................................14

Marketing across culture 2

Marketing across culture 3
Introduction
Global marketing highlights that procedure of modifying the marketing approaches of the
particular company to familiarize to the changes of other nations. In basic terms, global
marketing refers to trading of products and services globally (Lee, and Carter, 2011). It also
gives emphasis on those small businesses, being global for them is very difficult and the
dynamic process. Attainment of a deep understanding of the target market, the opposition,
market trends and the also focuses on the necessities to successful unveiling and drive growth
for the strong foundation (Gillespie, and Riddle, 2015).
Situational Analysis
Certain strategies are to be adopted by Hertfordshire business school (HBS) to manage
marketing operations across global market of Chile and its culture likewise, cultural factors
like language, which needs close attentions while doing international marketing. Another one
is taste and the preferences of the ultimate customers, which is very problematic for the
corporations because of the countries people eating habit. Other than this, regional values,
customers taste and age/ demographics (Copper, 2010).
Internal Situation
Companies who are doing international businesses, they face certain issues and those become
hurdles in achieving international success. Likewise, many businesspersons usually
contemplate of overseas market vaguely and shift to the non-specific countries.
No focus on internal information: In order to enter the new global market, company needs
to consider the probable opportunity in the market, focus on the internal data to get more
information whether to see that is there any strong bond between the product, services or
market (De Mooij, 2018).
Lack of knowledge on global logistics: In this, the dealers have to guarantee that they could
market to those clienteles in the republics in which they are entering. They should also
consider that how to demonstrate local currency and highlights that how to support the idioms
of the customers.
Non-usage of competent employees: In this, the companies’ international marketing fails
because they fail in considering the input of solid and competent employees in the overseas

Marketing across culture 4
market, especially while establishing planned verdicts. The biggest problem arises because of
the lack of effective communication, due to this, companies lack in leading in internal terms.
Lack of adaption of sales and marketing channels: In this, counties do not adopt different
strategies while entering into the new market. They do same things and thought of generating
success. However, it is not possible as every county have their own sales and marketing
approaches, channels that are based on the different market behaviour (Aspelund, Koed
Madsen, and Moen, 2009).
External situation
Economic factors
In economic factors, while doing international business, country’s wealth is the most
important factor which determining potential target market countries and how to market
product to those particular nations. Consequently, while doing business internationally, the
other country had to focus on their per capita income.
Other than this, when an organisation markets its products or service internationally they
must consider class structure for example, united kingdom population is more of middle class
as opposed to Chine. Hence, organisation may have to check that which channel gives them
the best results through market research (Lings, and Greenley, 2009).
Political and legal factors
In political and legal factors, some countries do affect the ability to do the business
internationally. Other than this, doing business in a foreign country also requires expensive
permits or license to manufacture and sell product in international market.
Moreover, currency risks highlight that risk when doing business or marketing goods and
services in the currency of the foreign country. Lastly, tariffs and taxes, which do affect the
ability of making profits out of selling goods and services in the foreign country high taxes
rates makes harder for the business houses to stay on the right side of the fine line between
the profits and losses.
Technological factors
In technological factors, it will be benefited for only those companies, which effectively
internationally takes advantage over the huge growth potential. Hence, there are many aspects

Marketing across culture 5
that the business and publicizing team do consider before determining which country ‘or
region they are choosing for selling goods and services (Lings, and Greenley, 2009).
Cultural factors
In cultural aspect, language, taste of the ultimate customers, regional values, customers’ habit
and lastly the demographic factor in context of age highlights the cultural factor, which
affects the business sales internationally (Minkov, 2013).
If we talk about demographics, they play major role in international marketing. As the
product, formation is based on the understanding age and the other factor that might help in
selling goods and services as they both are reliable and used in making marketing decisions.
(Schwartz, 2013).
SWOT Analysis
Strength
 International delivery and
purchased tools.
 Large customer base.
 Taking advantage of
profitable market.
 Maintaining their competitive
advantage
Weaknesses
 Using third party for
international shipping and
payments.
 Sometimes not matching
major competitor.
 Financial weaknesses.
 Market intelligence.
Opportunities
 Enter new market and
segment
 Expansion to more countries.
 Support core business.
economies
 Potential to develop their
completely new products.
Threats
 Strong competition
 Major threat is cultural
differences
 Competitors’ new products
and innovations.
 International legislation and
tax increase could affect badly
(Razafintseheno, 2016).

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Objectives
 Brand marketing and cultural understanding is mandatory while doing global
marketing.
 Customers’ needs and behaviour identification.
 Branding techniques needs to be applied while doing global marketing.
 Product development in the global markets.
 Communication strategies.
Outlined International Marketing plan
Entrance Method: In this strategy, to enter the global corporations such as Chile,
organisations needs to applies exporting of products, merging and acquisitions of the
companies, using contract manufacturing, joint venturing and lastly using licencing and
franchising of their brands. All these sources works as an opportunity to these global
corporations but along with these they also highlights threats to the companies because of the
intense competition. (Acevedo, 2017).
Marketing plan structure:
Objectives and decisions to go international
Selecting the target markets
Marketing strategies
Inplementating by allocating resources
Control/ connections

Marketing across culture 7
(Source: McDonald and Wilson, 2016).
The above diagram highlights the strategic marketing plan of the international business,
which strategically manages its marketing operations across the global market (Aaker, and
McLoughlin, 2010). Business houses majorly focuses on objectives, visions and mission of
the companies. Certain strategies are also adopted for survival of the organisation are like,
entrance strategy, product, price, place and lastly promotion strategies are adopted by the
global corporations in order to manage its marketing operations (McDonald and Wilson,
2016).
Marketing Mix strategies adopted by global corporations:
Product strategy: while entrance, global companies firstly defines their target market and
determine their products that will resonate most with the customers’ and business needs. In
this, they also focus on global strategy in which they sell their products globally in the entire
world in order to improve the economies of scale in production (Global strategy, 2014).
Secondly, the adaption strategy, in this adaption of products and services are made to satisfy
the ultimate customers and different culture (Schech, 2014).
Promotional strategy: In international product decision, promotional marketing strategy
adapts promotion strategy to suit the local markets as cultural experiences and practices,
which affects what appeals to customers. Through advertising, they have to highlight the
countries language, political, climate, cultural attitude and their religious practices.

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Pricing strategy: Pricing in international scale is very complex. Along with the traditional
price consideration, which includes fixed cost, variable cost along with this it also includes
more of transport cost, tariffs, and exchange rates. In addition, in today’s scenario internet has
challenge customers to view worldwide prices and procuring products from all over the
world. This has improved the level of competition among the competitors (Global strategy,
2014).
Place strategy: This strategy highlights the distribution of product or service to the client at
the accurate place with the accurate time. For this, the global companies should use
distribution strategy to operate it business. It was examined that in overseas market more
gatherings are involved because belongings needs to be moved around the overseas market
(Acevedo, 2017).
People strategy: In this strategy, HBS has to attract people of Chile because Chile
population is more towards the literacy. There primary objective is related to the higher
education where they welcome positive changes in the ever changing education system.
Process strategy: In process strategy, Chile having a proper process or their education
system in which their main motive is to build a strong and stable economy, which will
provide the plenty of a rapid development of nation by welcoming positive changes made in
the process. More of planning is to be done by HBS School to improve the quality and attract
more of students.
Physical evidence: Physical evidence highlights the features, which a company provides to
enhance the quality. Likewise, HBS in Chile has to provide different training sessions in
terms of improved quality which none of the other business schools provide their in order to
gain competitive advantage over the others.
Monitoring….
Cultural differences
PARAMETERS CHILE CULTURE UNITED KINGDOM
CULTURE
Small V/S Large Power
Distance
Chile is High on power
distance
UK is Low on power
distance
Individualism V/S Chile is High on UK is High on Individualism

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collectivism collectivism
Masculinity V/S Femininity Low on Masculinity High on Masculinity
Weak V/S strong
Uncertainty Avoidance
High on uncertainty
avoidance in Chile
Low uncertainty avoidance in
UK
Long V/S Short term
Orientation
Short – term orientation in
Chile
Long- term orientation in UK
Restrain V/S indulgence High on Indulgence than
restrain
High on Indulgence than
restrain
Graphical shown difference between United Kingdom and Chile
(Source: Mazanec, Crotts, Gursoy, and Lu, 2015)
Small v/s large power distance:
In power distance, this highlights the fact that not all personalities in society are equal. In
these organisation arrangements shows tall bars and low mark of delegations. In this, status
signs are used to underscore power differences. A categorized social structure with rigid
social lessons is present in Chile in comparative to United Kingdom.
Individualism v/s collectivism:
People in cultural aspect, they may think of themselves in terms of collected group. In United
Kingdom, they majorly focus on Individuality aspect in comparison with Chile. Because

Marketing across culture 10
individualistic culture highlight directness, frankness, confrontation and open self- disclosure
whereas collectivism culture highlight indirectness and a subtle way working through proper
communication. However, Chile is more organised and top management having a proper
decision-making power, which is to be followed by, subordinates collectively (Dartey-Baah,
2013).
Masculinity V/S Femininity
In place of more rivalry, accomplishment and achievement highlights the high score of
masculinity in the society, which creates vitality in the society. Typically, United Kingdom is
having a outlook of “live to work” so to acquire a high financial rewards and consequently
achieving higher position and more of opportunity to do things in better way. In contrast,
Chile having low Masculinity, they live a very modest standard of living (Dartey-Baah,
2013).
High V/S Low Uncertainty avoidance
Uncertainty avoidance refers to comfortably with unstructured and uncertain situations. Some
of the countries culture which, accepts ambiguity in negotiations and for the solutions, they
seek rules and regulations. Similarly, United Kingdom faces ambiguity and they tend to be
comfortable with uncertainty because they have low uncertainty avoidance and more relaxed
about negotiations. In Chile, they have high uncertainty avoidance they have proper rules and
regulations regarding negotiation, as they never ignore ambiguity.
Long V/S short- term orientation:
This dimension defines that how society has to uphold some links with its own past while
allocating with the encounters of the present and the future. In Chile context, they adopt
nominative culture. People in such societies have a resilient concern with establishments and
are nominative in their strong thoughts. They have a great respect for their tradition and
majorly focus on achieving quick results. Whereas in united Kingdom, they take approach
that is more pragmatic.
Indulgence V/S Restrain:
This dimension highlights that extent to which people try to regulate their desire and impulse.
Weak control display indulgency and strong control displays restraint. In Chile context, they
are relatively more indulgent orientation. They possess an optimistic approach and have a
tendency towards positivity. Hence, Chile has a high degree of importance on leisure time.

Marketing across culture 11
Similarly, United Kingdom is also high on Indulgent power as similar to Chile (Dartey-Baah,
2013).
Conclusion
From the above report, it conclude that Global marketing is not selling the products in
different countries but it includes the global market strategies adopted according to the
cultural differences of different countries. Not only this, global corporation also needs to take
care of the global marketing issues and face them in order to generate success. The above
report also highlights the external as well as internal analysis of global corporation is done,
which include economic factors, technological factors, and cultural factors and legal and
political factors that majorly affect the global corporation in strategically managing its
operations across the global market.
From the above discussion, it is concluded that prior to entrance into Chile the company must
conduct the extensive research of the potential market so that the hurdles, which acts as
roadblocks in the success can be avoided. In Chile, there is a mass opportunity to develop the
potential market and capture the higher market share. The company must focus on analysing
the internal and the external forces that drive the success of the company. It must strive to
make continuous innovations in the product to provide higher customer satisfaction to its
present and the potential customers.
References
Aaker, D.A. and McLoughlin, D., (2010) Strategic market management: global perspectives.
John Wiley & Sons.
Acevedo, L. (2017) 5 strategies for multinational marketing [Online] Available from:
https://bizfluent.com/info-8187481-five-strategies-multinational-marketing.html [Accessed
29/12/2018]

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Aspelund, A., Koed Madsen, T. and Moen, (2009) A review of the foundation, international
marketing strategies, and performance of international new ventures. European Journal of
Marketing, 41(11/12), pp.1423-1448.
Copper, L. (2010) 5 strategies for a successful global market [Online] Available from:
https://www.marketingweek.com/2010/07/01/five-strategies-for-a-successful-global-brand/
[Accessed 29/12/2018]
Dartey-Baah, K., (2013) the cultural approach to the management of the international human
resource: An analysis of Hofstede’s cultural dimensions. International Journal of Business
Administration, 4(2), p.39.
De Mooij, M., (2018) Global marketing and advertising: Understanding cultural paradoxes.
Melbourne: SAGE Publications Limited.
Gillespie, K. and Riddle, L., (2015) Global marketing. New York: Routledge.
Global strategy.(2014) what is global strategy ? and why it is important? [Online] Available
from: http://www.global-strategy.net/what-is-global-strategy/ [Accessed 29/12/2018]
Lee, K. and Carter, S., (2011) Global marketing management. Strategic Direction, 27(1).
Lings, I.N. and Greenley, G.E., (2009) The impact of internal and external market
orientations on firm performance. Journal of Strategic Marketing, 17(1), pp.41-53.
Mazanec, J.A., Crotts, J.C., Gursoy, D. and Lu, L., (2015) Homogeneity versus heterogeneity
of cultural values: An item-response theoretical approach applying Hofstede's cultural
dimensions in a single nation. Tourism Management, 48(1), pp.299-304.
McDonald, M. and Wilson, H., (2016) Marketing Plans: How to prepare them, how to profit
from them. Hoboken: John Wiley & Sons.
Minkov, M., (2013) Cross-cultural analysis: the science and art of comparing the world's
modern societies and their cultures. Melbourne: Sage.
Razafintseheno, M. (2016) SWOT analysis, Master international business management
[Online] Available from: https://prezi.com/n_npnrtecyum/swot-analysis-accenture-master-
international-business-management-year-1/ [Accessed 29/12/2018]

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Schech, S. (2014) 9 Culture and development. In The Companion to Development Studies,
Third Edition. New York: Routledge.
Schwartz, S.H., (2013) Culture matters: National value cultures, sources, and consequences.
In Understanding Culture. Psychology Press.
Appendix:
In Strength, It highlights that by doing an international or global marketing it helps in
improving the large customer base. Over above it helps in taking advantage of the profitable
market. It also helps those companies who are interested in maintaining their competitive
advantage. Nevertheless, if the companies are having strength they must be having
weaknesses like, they have to use the third party for the international shipping process and
making payments. Some of the companies may be in starting can have financial weakness.
Companies also face competitors’ issues while doing global market.
Other than this, the global companies do have opportunities likewise, entering into the new
market and segment will give them more opportunities to earn profits and build a strong
version of them in front of the others companies. They will face expansions into the new
country. However, if the companies are having opportunities, they do have to face threat
prevailed in the market. Likewise, they strong competition, competitors with their new
segmented and innovate products can majorly affects the other companies’ profits and
reputation. Lastly, the major threat to the companies is of environmental effects that could
favour the competitors at large and can affect the goals and the missions of the organisations.