International Marketing: Adaptation and Standardization in FMCG Sector

This report critically discusses the importance of adaptation versus standardization in the context of fast-moving consumer goods (FMCG). It begins by defining FMCGs and their characteristics, including their low cost and non-durable nature, and highlights the significance of international marketing research in this sector. The report then delves into the concepts of adaptation and standardization as key strategies for global marketing, exploring their advantages and disadvantages. Adaptation is presented as crucial for survival and growth, while standardization offers efficiency through universal marketing strategies. The report examines how these strategies are influenced by internal and external factors, using the Conceptual Model of International Marketing Strategy. It provides examples like Apple, Red Bull and discusses the impact of these strategies on sales, market share, and customer attitudes. The report further explores the advantages of adaptation, such as the ability to meet local needs, and standardization, which allows for economies of scale. It also covers the disadvantages of adaptation, such as higher costs and slower implementation, and the importance of considering product life cycles and media usage in different markets. The report concludes by emphasizing the importance of choosing the right strategy, either adaptation or standardization, to ensure that customer needs are met and that the company can effectively compete in the global market.

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It also has some disadvantages such as, difference in
consumer needs and wants, difference in brand and
product development, differences in the legal
environment, etc. this report will cover the significance
strategy of adaptation and standardisation.

Slide 3
FMCG are those products that can be sold be seller at
considerable low cost. Non durable goods such as
package foods, beverages, toiletries and many other
consumables. Some FMCGs such as nonveg, fruits and
vegetables, dairy products and baked food are highly
perishable (Al‐Khatib, Al‐Habib, M.I., Bogari and
Salamah, 2016).
Exploratory research deals with identifying the quality of
the problem and the related variables. It is characterised
by the high degree of flexibility, and it depends upon
the secondary data.

Slide 4
International marketing research is the accumulation,
design, recording, analysis, representation and reporting
of information

Slide 5
FMCG are those products that can be sold be seller at
considerable low cost. Non durable goods such as
package foods, beverages, toiletries and many other
consumables. Some FMCGs such as nonveg, fruits and
vegetables, dairy products and baked food are highly
perishable (Al‐Khatib, Al‐Habib, M.I., Bogari and
Salamah, 2016).
Exploratory research deals with identifying the quality of
the problem and the related variables. It is characterised
by the high degree of flexibility, and it depends upon
the secondary data.

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Adaptation is essential to survive and move ahead in the
global market. The ability to adapt to people, situations
and surroundings provides greater opportunities.
Standardisation is the process of developing technical
modular based on the agreement of different parties
such as firms, interest groups, standardized
organisation. Global standardisation can be defined as
an approach of applying universal marketing globally.
In this, marketers use same set of strategy for all the
markets in order to ensure the standardisation.

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. According to Conceptual Model of International
Marketing Strategy, the level of both the strategies i.e.
standardisation or adaptation influences by two critical
factors i.e. external and internal. According to the
Theodosiou and Leonidou, the mentioned strategy
possess direct influences on the growth of the
company.t can hamper the sales, market share, customer
attitude and profit capacity of the company. For
example, Apple company, are highly standardised and
this is affected not wholly but partially by the fact that
its products such as I Phone, I Pad and other devices do
satisfy the same types of customer’s needs. Strategy of
standardisation aids in gaining attention from word of
mouth publicity as well (Clarke, Owens and Ford,
2015).

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This tactic has proved to be very effectual while having a
motive mass consumption of any given products. It is
being used by Red Bull so that it can able to touch the
needs of customers of different market (Nainaar and
Masson, 2018).

Slide 10
Along with some advantages of adaptation strategy, there
are also some disadvantages of it. One of the major
disadvantage is high level of financial expenses. Learning
the description of local culture can prove to be an
expensive initiative. Another disadvantage is low speed of
implementation. In some cases, global businesses
following adaptation strategy may even initiate change
some market. However, this is difficult in real situation
and it depends on factors such as industry nature, life
cycle of product budget of research and development,
infrastructure level in the local market, the competition
level and others.
This set of approach supports in allowing global
marketing that aids in meeting the requirement of

regional market. These changes may be political,
economic, social or technological.