Different Theoretical Global Marketing Strategies

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Introduction

The Global Marketing Strategy aims at regulating certain fundamentals of the marketing mix around the world. The accurate approach in this concern is to recognize the diverse activities of value chain under the marketing function and make a decision concerning which of these can be executed on an international basis. Most of the companies often undervalue the market strength of their challengers and particularly of fresh competitors from external traditional precincts of the industry.

In addition, some companies undergo poor understanding of the diverse cultures that exist inside every country within which they perform business. Numerous companies tend to move into fresh cultures without learning about those cultures (Ronkainen & Menezes). Last but not the least, most of the companies ignores the ethical issues of doing a business and if they are ignored, the companies suffer a lot in the long run. Thus, it is necessary to incorporate ethical issues in the global marketing strategy. The foreign operations of a country consist of many different categories. They are as follows:

 First is Domestic operation in which the company operates only in one country.
 Second is a regional exporter that operates outside the national boundaries in the economically and culturally homogenous countries. This type of operation provides many opportunities for development of the business firm.
 Third is the export activity that deals with the export of finished goods in other countries with a central office in the home country.
 Fourth is the international operation in which the company exports both the finished as well as the intermediate goods from within the home country in other countries. So, here marketing, manufacturing and sales are carried out outside the home region.
 Fifth is international to global operation which has self sufficient subsidiaries in many countries of the world. In this operation, the financing and R&D functions are decentralized and the home country is still a significant base to carry out many functions.
 Sixth is the totally global operation in which the company operates in a wide range of countries. In this type of operation no specific region is the base of key functions. Each function is performed according to the suitable location in world for that function.

So, technology and globalization are significant elements that shape the world. It is so as the technology assists in specifying human preferences and globalization that assist in identifying the economic realities of the world. The successful globalization elements are low priced, standardized consumer products and technology. All these should be in line with the ethical and legal practices that help in the successful expansion of the business (Akkaya, 2008).

Global marketing strategies have become the most important element of the business world today. Proper and effective global strategies have helped in increasing the sales and development of the various companies around the world. Global marketing requires the marketing of the products and services outside the home country. The multinational corporations that establish their business in different countries had to adjust their marketing conditions, according to the needs and desires of the people in the international market.

Problem Statement: The problem statement of the research is "to analyze the importance of various ethical issues like bribery, child labor, safety and protection in the global marketing strategies".

Literature review

Numerous scholars employ the concept of global marketing. It is typically applied to symbolize the diverse meanings. For instance, Keegan statement reflects that the Global marketing is the procedure of concentrating on the assets and objectives of a corporation on global market opportunities. He has suggested 2 motives behind globalism of business actions. First is to take the benefit of opportunities for development, expansion and survival. Companies which do not succeed in pursuing the global opportunities ultimately drop their domestic markets, as they are pushed sideways by firmer competitive global competitors (Keegan and Green, 2000).

As per another scholar, Dahringer and Mühlbacher, observe global marketing as business perspective of promoting products to customers across the world and also said that global approach permits the companies in achieving focus and synchronization in the activities of the business. Lamont indicates that global marketing shows openings to discover new markets, segments or niches (Lamont, 1996). The globalism concerned with the business activities comprises of definite tasks like coordinating of worldwide efforts, investigation of domestic and foreign markets, judging new partners and supervising costs associated with the international transactions.

Considering the views of Kotabe and Helsen, it can be understood that global marketing does not essentially signify consistency of products, encouragement, pricing and worldwide distribution, but somewhat it reflects the proactive willingness of the company to accept a global standpoint in place of country by country/ region by region standpoint in formulating a marketing strategy and therefore, the requirement of adaptations towards the global marketing strategy is unavoidable (Kotabe and Helsen, 1998).

Johansson on the other hand defines the global marketing as marketing activities synchronized and incorporated around the markets multiple countries. The incorporation can engage standardized products, consistent packaging, indistinguishable brand names, coordinated product introductions or sales campaigns around the markets in numerous countries (Johansson, 2000). The argument of Keegan and Green says that the global marketing emphasizes on the resources that are derived from the opportunities and threats present in the global market (Keegan and Green, 2000). They say that one distinction between regular marketing and global marketing is the span of activities. An added difference is the global marketing which requires a perceptive of concepts and schemes that must be enforced in coincidence with widespread marketing issues so as to make certain the success of global marketing. As per Porter, a few global strategies of marketing ought to play the role of tailoring and not standardizing to sustain a complete strategic position. In few cases, standardizing marketing can direct towards the competitive advantages that maintains the entire global strategy (Porter, 1986). Champy states that companies must give due consideration towards the cultural and ethnic diversity as it forms the part of realistic requirement for any company which sells globally.

For maintaining a good global economic position, it is necessary to follow the environmental and labor standards along with avoiding the ethical issues related to bribery. According to various articles, the three ethical issues are very important for all the global expansion of the business. All the multinational companies should clearly understand the importance of child labor, bribery safety and protection in the global business, particularly in the global market strategies.

The article of Business Ethics and Social Responsibility by Ismael Tabije states that every company should comply with the environmental standards when it plans to expand its business at a global level. It states that ethical issues in various companies arise when they do not comply with the legal and cultural standards of global business. Ethical issues in multinational companies arise out of the conflicting interests of the employers, employees and the society on the whole.

The ethical standards apply to all types of business relationships. The article gives the example of United Sates for explaining the importance of ethical issues in global marketing. US prohibit the payment of bribery for carrying out business in its country, though in most parts of the world, bribery has become a habitual way of doing business. Bribery has become a common practice for multinationals to carry out their business in the international world. It has become an important part of their marketing strategies and they use it to popularize their product among the people. Bribery is also used as an important means of entering the global market. Same problems occur in relation to child ...