For instance the same product may be sold in many countries but advertised

For instance the same product may be sold in many

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Global marketers may also adapt their communication message. For instance, the same product may be sold in many countries but advertised differently. As an example, L'Oreal, a French health and beauty products marketer, introduced its Golden Beauty brand of sun care products through its Helena Rubenstein sub sidiary in Western Europe with a communication adaptation strategy. Recogniz ing that cultural and buying motive differences related to skin care and tanning exist, Golden Beauty advertising featured dark tanning for northern Europeans, skin protection to avoid wrinkles among Latin Europeans, and beauti/iJ/ ;/dn fot Europeans living along the Mediterranean Sea, even though the products were identical. I Same communication Offering extension strategy Adapt communication Communication adaptation strategy Offering adaptation strategy Offering invention strategy Dual adaptation strategy
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624 CHAPTER 10 GLOBAL MARKETING STRATEGY AND MANAGEMENT Marketing Channel and Pricing Strategies Recall that successful global marketers standardize marketing programs when ever possible and customize them whenever necessary. Compared with offering and communication strategies, standardization presents a unique challenge for marketing channel and pricing strategies due to country trade regulations and consumer buying preferences and practices. Consider the case of Dell, Inc. when it recently decided to enter the mar ket for personal computers in Asia, notably China and India. 8 The company's vaunted online direct marketing channel that worked well in North America and Europe had to be replaced with a marketing channel featuring retail stores in China and India. Why? First-time personal computer buyers in these countries, especially, want face-to-face help from store clerks when making purchase deci sions. Dell subsequently signed distribution agreements with Chinese and Indian retail chains to sell its desktop and notebook models. Competitive, political, tax and exchange rates, and legal constraints affect the pricing latitude and strategy of global marketers. Walmart's experience in Gennany is an example. Antitrust authorities in Germany limited Walmart from selling some items below cost to lure shoppers. Without this practice, which is considered accept able in most countries, Walmart was unable to compete against German discount stores. This, along with other factors, prompted Walmart to leave Germany in 2006 following eight years without posting a profit. 9 Today, global marketers of expensive consumer goods sell their products within a narrow price range to discourage "gray markets" whereby individuals buy items in a lower-priced country from a manufac turer's authorized retailer, ship them to higher-priced countries, and then sell them below the manufacturer's suggested retail price through unauthorized retailers.
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