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Aaron Chin Group B Saurabh Singh Rawat Group B Aderounmu Babafemi Group C International marketing Pizza OH!

Case Evaluate the entry mode chosen. Discuss advantages and disadvantages.

Should Pizza, Oh! Standardize or customize its products and promotions? If Pizza, Oh! Chooses standardization, in which form should their
standardized approach be? Which one of the three branding decisions should the company take?

1. Fully owned marketing and sales office vs. Independently owned franchised
outlets Advantages Fully owned marketing and sales office Represents a fixed and long term tangible asset for the company Marketing and sales campaign can be better facilitated and monitored to ensure rapid sales. Disadvantages More expensive and adds to overall cost of production and startup These marketing and sales campaigns add to the cost of promotion and overall cost of production.

Independently owned franchised outlets

Less expensive to implement and reduces overall cost of production and initial startup. Economies of marketing come into play as the outlets would handle marketing and the cost that come with

Control over the franchised outlet is limited; the vision and brand image might be lost in process. During the Marketing campaigns by the outlets, the vision and purpose of pizza oh as a brand might be lost in translation.

it.

2. Should Pizza, Oh! Standardize or customize its products and promotions? Pizza oh should standardize its products and promotion. This standpoint is supported by the following reasons.

a. Economies of scale and lower overall cost of production would be


achieved through standardization and a central supply chain. b. A global brand image would be created through standardization and in return there would be increase in customers and revenue.

c. Standardization through the global brand image it creates makes


access to financial support easier and achievable. It also distinguishes the brand in terms of price differentiation in a global competitive market.

d. Through standardization, ensuring food quality is easier and cheaper


as a central supply chain would be maintained for the pizza ingredients.

e. Economies of marketing that standardization presents would ensure


that similar advertising campaigns are used worldwide and in process cut down cost. f. Finally, standardization would create economies of marketing and in process cut down cost to be spent on marketing promotions as a unilateral campaign would be maintained worldwide.

3. If Pizza, Oh! Chooses standardization, in which form should their standardized approach be? Standardization with a neutral image would be most appropriate as opposed to the Canadian image. The reason for that is not farfetched as Canada is not particularly renowned for a food or pizza production culture. More consumers might opt for Italian pizza. Standardization with a neutral image can be achieved by effectively maintaining a general brand standard but customizing according to the needs of the immediate country. In summary, the unique features that distinguish

pizza oh would be merged with local taste and unique service delivery in every country. It should go for a neutral logo and advertising strategy, primarily focusing on the pizza and not the Canadian origins of the same. 4. Which one of the three branding decisions should the company take? The company should try as much as possible to maintain the pizza oh brand in every country except in places where the name is forbidden by law or already in use. By doing this, the global brand image and the abundant benefits (economies of marketing, ease of finance, increased customers and revenue) that come with it will be captured.

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