International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 7, Issue 2, pp: (1114-1116), Month: October 2019 - March 2020, Available at: www.researchpublish.com
The Incorporation of Glocalization in Global Brands’ Marketing Strategies 1
1,2
Sandesh.N, 2Venkata Sai Sekhar
Christ College Bannerghatta Campus, Bangalore, India
Abstract: Over the years, many corporate companies’ marketing strategies have been oriented towards brand globalization, which included strategies like promoting, integrating and selling their standardized, uniform products and services across the global markets. However, in recent days, international brands are fronting new challenges, one of them being to adapt to the conditions like socio-cultural factors and consumers needs within a specific market, to conduct marketing activities based on product particularisation in order to create a connection between the brand and consumers from different cultures and socio-economic backgrounds, thus changing their perspective from, global to local (leading to the―glocal approach). In this paper, the author tries to conceptualise Glocalization of global brands using some of the marketing strategies that some of the global brands have adopted. Thus, the researcher tries to show how adopting a glocal strategy can lead to brand equity increase, as well as sales growth. Keywords: Globalisation, localisation, global, KFC, McDonalds, Socio-culture factors.
I. INTRODUCTION The “Glocalization” term is believed to firstly appear in the late 1980s, in a Harvard Business Review article conducted by Japanese scholars, deriving from the Japanese word “dochakuka” and, according to Matusitz, refers to the interface of the global and the local. Globalization can also be defined as the conflation of both universalizing and particularizing tendencies, the dynamics between cultural homogenization and heterogenization and a co-optation of the global and the local. Glocalization emphasizes on particularities and details of a global idea, whereas globalization is based on the omnipresence of corporate processes and worldwide standardization (Zaif, The concept of glocalization and its incorporation in global, 2017). This process eliminates the ethical issues of the country. It is similar to internationalisation. This was the strategy first applied by the Japanese companies in order to expand their companies Overseas that think globally and act as locally (caves, 2004). This concept is applied for the companies with decentralised power so that they can adopt and change their products according to the taste and preferences of that locality (Hofstede, 1994). This concept is first used in agriculture but its uses was not only confined to agriculture and this was spread to other fields as well like politics, teaching, culture, spirituality, religion, organization, morality etc.
II. LITERATURE REVIEW The article “The glocal strategy of global brands” by Luigi & Simona explains how “Glocalization” encourages companies to “think global, act local”, and they could do so by using the global brand, while localizing certain elements of that brand in order to suit a particular country. It also states that a few years ago, globalization was the new paradigm in international business, however from a branding perspective it has lost its initial efficiency giving the fact that consumers do not seem to feel a connection anymore with the standardized products of global corporations, catered to them in mass marketing communication programs. With their centralized decision making, most companies simply stopped having a connection with the new global marketplace and neglected its emergence. Hence, the influence of local characteristics arose, and with that a new term that encapsulates the global and the local – glocal (Dumitrescu, 2010).
Page | 1114 Research Publish Journals