TH6BA350 Global Marketing Report: Think Global, Act Local Strategy

This report, submitted by Thomas Eric Roshin, analyzes the 'think global, act local' strategy in global marketing, focusing on the hospitality industry. It investigates the balance between product standardisation and adaptation to meet diverse consumer needs across different cultures. The report...Read More

GLOBAL MARKETING
Name: Thomas Eric Roshin
Subject Code: TH6BA350
Student I.D: 21516060
Date of Submission: 22-03-2022
Word Count:1350

Think Global Act Local
Today, every company or hotel aspires to compete in the international market and
to be considered globally by all of its customers. To maintain the market's
dynamic variation, it has become critical to look at the various demands and needs
of the consumer. As a result, in order for a company to expand globally, it could
adapt or standardize (Fourfont,2017). In today's society, marketing is a crucial
procedure that every company relies on. Marketing is defined as an action
conducted by a company. to promote and market its merchandise itself to
consumers to effortlessly sell it. (Forsey, 2021). To comprehend the various
wants of consumers, an organisation first separates its market into distinct
segments, taking into account several criteria such as culture, sex, age and several
others, and afterwards determines which set of customers the business tends to
encourage more of. This report will concentrate mostly on "think global, act
local," and why businesses must embrace this concept. The report investigates the
standardisation vs. adaptation approach to assisting companies in managing
consumer demands and discusses the micro-and macro-environments, as well as
how the factors are understood, using examples from the hospitality industry.
Being within the global market enables the hospitality sector to enhance its norms
as well as to adapt to the various cultures practised in various nations throughout
the world, but it also brings with it a slew of new obstacles. Therefore, to solve
these concerns, the industry is implementing marketing methods such as product
standardisation and product adaptability. In today's society, marketing is a
crucial procedure that every company or organisation relies on. Marketing is
defined as an action conducted by a corporation to promote and market its product
towards its consumers to effortlessly sell it (Forsey, 2021). According to
Kerrawang et al. (2012), adaptation is defined as a business that assesses the
profitability in global marketplaces that fulfils or includes the technical and legal
criteria of the host nation. For instance, Dunkin Donuts is a coffee and doughnut
corporation based in the United States who emphasizes adapting towards the
varied cultures' likes and desires of the consumers and, as a result, innovates and
creates goods for them. It caters to spicy-loving consumers in South Korea with
spicier doughnuts such as the jalapeno sausage pie doughnut and also the kimchi-
stuffed savoury doughnut. It delivers doughnuts with saffron-flavoured icing and
pistachios to its Indian customers. Throughout Japan, however, it offers a unique
doughnut known as the Mochi Ring, which is composed of rice and comes in
flavours such as green tea, mango and many more (Day Translations, 2019). The
company attempts to learn the interests of the public in each country and develops
its menu around those preferences, which helps it please and attract more

consumers, generating more profit. According to Tan and Sousa (2013) The
manufacture of goods or services with no variations or alterations is referred to
as product standardisation. It seeks to maintain consistency by offering the same
product and service to all of its clients. One of the prime examples is McDonald's
Corporation's standardisation strategy, which advertises its services across 12,000
stores in 59 countries. Standardized criteria are maintained for the company's
equipment technology, product offerings, customer service, sanitation, value, and
infrastructure services. Though its menus differ slightly from nation to nation, its
fundamental product offering remains the same everywhere. McDonald's
worldwide marketing strategy also involves standardised positioning and
distribution techniques.
It is critical for a business to keep records of several environmental aspects, which
include the microenvironment and macroenvironment, in order to establish and
maintain a strong relationship with its consumers. The microenvironment has
been the most essential to analyse, preceded by the macroenvironment. The
microenvironment is mainly composed of elements that are confined by the
company. For instance, the company's target audience, opponents, and so on. On
the contrary, the macroenvironment incorporates all of the huge variables that
influence the activities of the microenvironment, such as political, cultural,
natural, and other factors (Surbhi, 2020) To evaluate the marketing environment,
both macro and micro, an organisation undertakes analyses such as the PESTEL
analysis (Political, Economic, Social, Technological, Environmental, and Legal).
Some organizations also intend to undertake a Porter's Five Forces study and
SWOT analysis, to determine the company's strengths, weaknesses,
opportunities, and threats. For instance, as stated by Gregory (2017The Porter’s
5 forces study, undertaken by one of the leading fast-food joints, Burger King,
reveals that extrinsic variables have a substantial impact on Burger King's
operation and therefore have influenced it exponentially throughout the years. It
states that the company's primary goal is to gain a competitive advantage by
offering its consumers significantly greater products and services. This would
also emphasize gaining more customers through greater marketing strategies to
sustain its brand image. These various evaluations aid in the development of
strategies and objectives that will benefit the attainment of the organization's
success. It also assists in the implementation of good products and services, as
well as a superior level of satisfaction.
Customer preferences and tastes evolve as a result of globalisation and
technological advancements. Consumer satisfaction is regarded as among the key
traits of the hospitality sector. Guest satisfaction is vital since it establishes a
nuanced picture of the hotel or business in the consumer's mind and contributes

to the growth of brand loyalty. To have loyal customers, a business must provide
consumers with services and goods that they want to acquire (kimanuka,2014).
This implies that an organisation must strive to establish deep relationships with
its customers in order to understand their various requirements and aspirations
(Emerald Publishing, 2011). Marriott's initiative to address consumers' growing
anxiety regarding global warming is a prime illustration of this. As a result, the
company gained control of this chance to surpass its customers' expectations and,
as a result, started working with the Global Green Council in 2007, with the
primary goal of developing long-term environmental and hospitality
sustainability policies. It indeed created a hotel prototype branded as LEED
(Leadership in Energy and Environmental Design). Guests were also kept in the
loop about energy and carbon data via the Green Hotel Global dashboard.
Another important factor that influences product adaption and standardisation is
culture. Culture has a strong influence on a company's decision to adjust a product
or a service in response to consumer requirements and expectations
(Ansah,2016). Taco Bell, an American-based fast-food establishment that serves
beef-based fast food, has recently transitioned to Indian culture. It has removed
beef from its menu and intends to make sales that are acceptable for Indian
cultures, such as chicken, cheese, paneer, and potato toppings. After studying the
culture and Lifestyle of India they modified their menu and now are optimistic in
growing their operations from 9 branches in 2010 into 100 by the end of 2021.
(Anthony, 2017). As a result, it's indeed critical to analyse and assess a
consumer's numerous needs and desires, as well as their ethnic heritage, as well
as provide goods and services that meet these wants and needs.
Taking every one of these things into account, we can conclude that globalisation,
or adaptation and standardisation, plays a pivotal role in the success of a
company. This should be derived from the fact that hotel standardisation is
becoming a significant aspect of day-to-day operations. Every one of the various
strategies established must be intelligently developed to ensure maximum
customer satisfaction and attainment of the company's established objectives.The
idea of standardisation and adaptation marketing is heavily influenced by
community and consumer behaviour, and the understanding of these elements
demonstrates that it is critical to be able to effectively implement firms when
launching a product that does not suffice for mainstream companies. To minimise
loss and client attrition, all aspects that can provide revenue, as well as hazards
to the organisation, should be investigated. Extensive research regarding
customer behaviour and aspirations should be carried out regularly to keep the
firm up to date and ensure the company's long-term stability.

Reference List
nsaA h, MO. (2016) Cultural eterogeneitH y to ardsw tandardi ationS z and
da tation of Mar eting Mi stud on Multinational Co anies in anaA p k x: A y mp Gh .
nternational ournal of usiness and o ial ien e online ailableI J B S c Sc c . [ ] 7(3),18. Av
at:https://www.ijbssnet.com/journals/Vol-_7_No_3_March_2016/3.pdf
[Accessed 17th March 2022].
Anthony, K.S. (2017) HOW TACO BELL WON OVER THE WORLD’S
MOST VEGETARIAN COUNTRY. [Online] Available at:
http://insights.getglobal.co/yum-brands-taco-bell-global [Accessed 18th March
2022]
DAY TRANSLATION (2019) How Dunkin’ Donuts Adapts to Different
Markets: [Online] Available at: : https://www-daytranslations-
com.cdn.ampproject.org/v/s/www.daytranslations.com/blog/dunkin-donuts-
globalmarketing/amp/?amp_js_v=a6&amp_gsa=1&usqp=mq331AQHKAFQAr
ABIA%3D%3D#aoh=16159833175053&referrer=https%3A%2F%2Fwww.goo
gle.com&amp_tf=From%20%251%24s&ampshare=https%3A%2F%2Fwww.da
ytranslations.com%2Fblog%2Fdunkin-donuts-global-marketing%2F [Accessed
18th March 2022]
Emerald Publishing (2011) The Crucial role of the customer in new product
development. [Online] Available at:
https://www.emeraldgrouppublishing.com/archived/learning/management_think
ing/articles/npd.htm#:~:text=External%20communication%20with%20key%20
customers,quality%20of%20the%20development%20process [Accessed 17th
March 2022]
FourFront (2017) Think Global, Act Local- The Importance of Localisation To
International Expansion. [Online] Available at:
https://www.theunitedworkplace.com/insights/think-global-act-local-the-
importance-of-localisation-to-international-expa [Accessed 18th March 2022]
Gregory, L. (2017) Burger King’s Five Forces Analysis (porter’s Model).
[Online] Available at: http://panmore.com/burger-king-five-forces-analysis-
porters-model [Accessed 19th March2022]
Hotelie. (2016) Marriott’s Take on Climate Change- Technology and
Operations Management. [Online] Available at: https://digital.hbs.edu/platform-
rctom/submission/marriotts-take-on-climate-change [Accessed 18th March
2022]

Kimanuka, O. (2014) Why Customer Service in hospitality industry is
everything. [Online] Available at:
https://www.newtimes.co.rw/section/read/183956 [Accessed 19th March 2022]
M. and Anthony, Camilleri. (2018) Travel, Tourism and Aviation Products
marketing, Springer international Publishing: Switzerland
MBN. (n.d) What is global Marketing? Definition, meaning and examples.
[Online] Available at: https://marketbusinessnews.com/financial-
glossary/global-marketing/amp [Accessed 13th March 2022]
Patabendige, P. (2019) Product Standardization V.S Product Adaptation.
[Online] Available at: https://www-nerdynaut-
com.cdn.ampproject.org/v/s/www.nerdynaut.com/product-standardization-vs-
product-
adaptation?amp_js_v=a6&amp_gsa=1&amp&usqp=mq331AQHKAFQArABI
A%3D%3D#aoh=16158930176165&referrer=https%3A%2F%2Fwww.google.
com&amp_tf=From%20%251%24s&ampshare=https%3A%2F%2Fwww.nerdy
naut.com%2Fproduct-standardization-vs-product-adaptation [Accessed 17th
March 2022]
Surbhi, S. (2020) Differences Between Micro and Macro Environment [Online]
Available at: https://keydifferences.com/difference-between-micro-internal-and-
macro-external-environment.html [Accessed 19th March 2022]