Strategies for international marketing — common mistakes

When evaluating joint ventures, always consider the potential for 'culture clash' between the partner organisations. A question might require you to analyse why a joint venture failed, and differences in management style, communication, and corporate objectives are common reasons.

In an exam, simply stating 'a business should use glocalisation' is not enough. You must provide specific, applied examples of how the business in the case study could adapt its product, price, promotion, or place for the target country.

This is a common misconception. While fast-food chains like McDonald's are prominent examples, franchising is a successful model across many industries. It is used by hotels (e.g., Marriott), retail stores (e.g., The Body Shop), car rental services (e.g., Hertz), and professional services. The key requirement is not the industry, but having a strong brand and a business model that can be successfully replicated by others.

No, they are fundamentally different. Hiring local managers is an operational decision within a wholly-owned subsidiary established via FDI. In this case, you retain 100% ownership and control. A joint venture is a strategic partnership where you create a new company with a local partner, sharing ownership, control, risk, and profit. The local partner is a co-owner, not an employee, and brings their own corporate resources to the venture.

Not necessarily. While exporting offers less control over the final marketing than FDI, successful exporters still conduct market research and often make adaptations. This can include modifying packaging and labelling to comply with local laws and languages, or making minor product adjustments. While this may not be full 'glocalisation', it shows an awareness of the target market. The level of adaptation often depends on the sales volume and strategic importance of that specific export market.