UNIVERSITY OF FOREIGN TRADE UNIVERSITY

SCHOOL OF BUSINESS HO CHI MINH CITY CAMPUS

----------***---------- ----------***----------

ASSIGNMENT 1

Module: GLOBAL MARKETING

FOR EXAMINERS ONLY

Student: Hoa Ho Dong Dong Grade (in number):

………………..
Student ID: 1805025122
Grade (in words):
Cohort: K57BF-A ………………..
Semester: I Examiner 1
Academic year: 2021-2022 (Signature & Fullname)
………………..
Instructor: Ho Thi Hai Thuy
Examiner 2
Submission date: 11/19/2021 (Signature & Fullname)
Student’s signature: ………………..

Ho Chi Minh City, 2021

TABLE OF CONTENTS
Page

Table of Contents .......................................................................................... 1

I. PORTFOLIO ENTRY 1............................................................................... 2
II. PORTFOLIO ENTRY 2 ............................................................................5
III. PORTFOLIO ENTRY 3............................................................................ 7
IV. PORTFOLIO ENTRY 4........................................................................... 9
V. REFERENCES........................................................................................ 10

1
Portfolio Entry1:The‘global marketing’concept i i i i i i

Q1:
Glocalizationisatermthatcombinesthewords"globalization"and"localization,"an i i i i i i i i i i i

ditreferstoproductsorservicesthataredevelopedandsoldgloballyyet tailoredtosatisfythen
i i i i i i i i i i i i i i i i i i

eedsoflocalcustomers. Indeed,“glocalization” referstothecreationordistribution ofproduc

i i i i i i i i i i i i i

tsandservices designedforglobalorworldwidemarketsbutcustomizedforlocalcultures.Gl
i i i i i i i i i i i i i i

ocalization, whenappliedtoaspecificproductorservice,referstotheadaptationofglobalpro i i i i i i i i i i i i i i i

ductsandservices tolocalmarkets.Indeed,theconceptisthatofaworldwideproductorservic
i i i i i i i i i i i i i i i i

e,conceivedassomethingthatmayberequiredbyanyoneatanytime.[CITATION Adr17 \l 1033 ]

i i i i i i i i i i i i

Theterms"global"and"local"arealsoexplainedastwosidesofthesamecoin.Underst i i i i i i i i i i i i i i i

andingamultinationalcorporation ismadeeasier bylookingatthedual natureofitsglocalizati i i i i i i i i i i i i i i i

on.Glocalizationstartswithsimplesystemsandworksitswayuptocomplexones,whereas gl
i i i i i i i i i i i i i i i

obalization prioritizesbigsystemswhileignoring theimplicationsofsmallersystems. Asare i i i i i i i i i i i i i

sult,glocalizationissaidtoconsiderthesubsystemwhileneverforgetting itsinteractionwitht
i i i i i i i i i i i i i i

hemacro-systemand.[ i CITATION ROL12 \l 1033 ]

Furthermore, glocalizationfocuses onspecificdetailsofalarger concept.[ CITATION Sve11 \l
i ii i i i i i i i i

1033 ]

Theconceptofglocalizationiscloselylinkedtothemarketingdynamicsofmultinatio i i i i i i i i i i i i

nalcorporations,whicharesometimesaccusedofneglecting orundervaluingculturaldiffere
i i i i i i i i i i i

ncesonalocallevel.Multinationalcorporationscanfocusonthepresentationandpromotion
i i i i i i i i i i i i i i

oftheirproductsandservicesbasedonasharedcultural identitythroughglocalization.
i i i i i i i i i i i i

[ CITATION Wil16 \l 1033 ]

Q2:
"Think globallybutactlocally"isasynthesisoftheglocalconcept,whichemphasizes t i i i i i i i i i i i i i i

heinternationaldynamicsofinteractionbetweendifferent populations,cultures,andmarket
i i i i i i i i i i

s,andthelocalconcept,whichinsteadfocusesonthepeculiarities andspecificfeaturesofthec
i i i i i i i i i i i i i i i i

ontextinwhichthemultinationalcompanywishestooperate. i i i i i i i i i

Businesses lookingtoexpandinternationallycanexperienceafasterandmoreefficie i i i i i i i i i i i

ntwaytodesigneffectiveworkplacesthatreflectbothglobalbrandvaluesandlocalmarketcul
i i i i i i i i i i i i i i i

tures,whilealsoensuringconsistencyofserviceandquality onaninternationallevel,bygaini
i i i i i i i i i i i i i i

ngaccesstolocalmarket knowledgefrom expertsacross continents.

i i i i i i i i i

Q3
IwanttoseeifMcDonald’susestheGlocalizationstrategy,whichmeans"actglobally,thi
i i i i i i i i i i i i i i i

nklocally,"inthisstudy.Thisphraseperfectlyencapsulates globalization'sideologicalattitu
i i i i i i i i i i i

detolocalculture,aswellastheglobalunit'sautonomy.I'd wanttolookattheglobalizationpro
i i i i i i i i i i i i i i i i i i

cessandfocusonanewglobalmarket ideaestablishedinJapancalled"glocalization." Theglo

i i i i i i i i i i i i i i i

balization andglocalizationmarketingofMcDonald'swillbeexaminedinthiscasestudyutili i i i i i i i i i i i i i

2
zingthe4Psofmarketing mix.Product,place,pricing,promotion arethefourvariablesemplo
i i i i i i i i i i i i i i

yedinthemarketing mixofMcDonald's.
i i i i i i

1. Product
AlthoughMcDonald's isafirm believerinproductuniformitytoensurethattheirproducts i i i i i i i i i i i i i i

tastethesameanywheretheyaresold,whetherintheUnitedKingdom,Malaysia, orSouth Kor

i i i i i i i i i i i i i i i

ea,thecompanyalsoallowsforadaptionowingtoclientpreferences aswellasregulationsorc
i i i i i i i i i i i i i i i i

onventions.Thefollowing areafewexamplesofMcDonald's glocalizationtomeetthereligio i i i i i i i i i i i i i

uslawsandpracticesofitshostnation,aswellastoproducenewitemsinthemarket.
i i i i i i i i i i i i i i i i i

Furthermore,McDonald's QualityAssurance teamsensurethatallstakeholdersintheirsu i i i i i i i i i i i

pplychainareaccountableformaintainingproductquality.Continuousinspections, visits,a
i i i i i i i i i i i

ndauditsareconductedatallofthecompany'smanufacturingsites,distribution centers, ande

i i i i i i i i i i i i i i

atingplaces.Thisguaranteesthatallpartiesinvolvedadheretothefirm'sstrictspecifications a
i i i i i i i i i i i i i i

ndprocesses. i

2. Place
McDonald's usesplaceaspart ofitsmarketingmixtodescribenotjusttheactuallocationof i i i i i i i i i i i i i i i i i

itsworldwidesupplychain,butalsothemanagementofprocessesthatleadtotheendcustomer
i i i i i i i i i i i i i i i

.
McDonald's takesprideinemployinglocalsandfranchisingitsbusinesses tolocalentrepr i i i i i i i i i i i i

eneurs, asseenbyitshiring oflocals. McDonald'shas36,525franchises in119countries,provi i i i i i i i i i i i i i i i

ngthatthisstrategyworks.
i i i i

3. Price
It iswellknownthatacustomer'ssense ofvalueisthemostimportant factorindetermining t
i i i i i i i i i i i i i i i i i

hepricepaid.Accordingtotheevidence, McDonald'semploysarigorouspricingprocessthat
i i i i i i i i i i i i i i

includespriceobjectiveselection, demanddetermination, costelimination,competitor'scos i i i i i i i i i

t,pricesandoffersanalysis, pricingtechniqueselection,andfinalpriceselectioninordertogro
i i i i i i i i i i i i i i i

wmarketshare. McDonaldsusesglocalizationtoestablishitspricingsincedemandactsasaba
i i i i i i i i i i i i i i i

rometer;thisexplainswhythepriceofaBigMacfluctuatessomewhatbetweennations.Asing i i i i i i i i i i i i i i i

leBigMac,forexample, costs$6.59inSwitzerland, $3.94intheUnitedKingdom,$2.82inthe

i i i i i i i i i i i i i i i i i

Philippines,and$1.99inMalaysia, accordingtowww.statisca.com. Theaforementionedpri i i i i i i i i i i

cingdisparityclearly demonstrates theindividualeconomy'spurchasingpower,whichMcD

i i i i i i i i i i

onald'seffectivelyexploited. i i

4. Promotion
Thecompanyalsousespromotional featurestoaddressdisparitiesindistinctmarketsinits i i i i i i i i i i i i i i

marketingcommunicationtactics.Consumer attitudetowarditsgoods,usehabits,ethics,reli i i i i i i i i i i i

giousandmoralconsiderations thatjustify aconsumer's purchasingpoweraresomeoftheco

i i i i i i i i i i i i i i

mponentstypicallyutilized.ThisexplainswhythecompanyusesAlanShearer,thefamedEn i i i i i i i i i i i i i

glandcaptain, tomarket theirhamburgersintheUnitedKingdom,butFabianBarthezinFranc

i i i i i i i i i i i i i i

e.In itsBeijingoutlets,McDonald's alsodrewinternationalnoticebycombining RonaldMcD

i i i i i i i i i i i i i

onaldwithAuntMcDonald, afemaleequivalent.McDonald'salsopromotesitselfasachampi
i i i i i i i i i i i i i

3
onofpublicwelfarebyestablishingRonaldMcDonald'sHouseCharitiestoadvocateonbehal
i i i i i i i i i i i i i

fofunderprivilegedchildren.Withthemissionof"Thinkingglobally,actinglocallytoofferre
i i i i i i i i i i i i i i

sourcesforchildren andtheirfamilies,"thischarityorganizationhasbeenhousingsickchildr
i i i i i i i i i i i i i

en'sfamiliesinafacility closertohospitalssince1974,allowingparentstobeneartotheirhospi
i i i i i i i i i i i i i i i i i

talizedkid.McDonald's iscertaintobeahitwithallofitscustomers,regardlessofage,gender,
i i i i i i i i i i i i i i i i i i

orevengeography,byincorporatingapersonaltouchintotheirmarketingstrategy.
i i i i i i i i i i i

4
Portfolio Entry2:Reviewofmerging BRICmarkets i i i i i i i

Q1: i

A. ChinaisanEast AsiancountryborderedbytheEastChinaSea,KoreaBay,andtheSouthC i i i i i i i i i i i i i i i i i

hinaSea.Thereare14sovereignnationsintheimmediatevicinity.China'stopographyisv
i i i i i i i i i i i i i i

aried,withmountainsdominatinginthewest,desertsintheeast, andplainsinthemiddle.T
i i i i i i i i i i i i i i i i

heYangtzeandHuangHeriversaretwomajorriversthatrunwest toeast. Thegovernmenti

i i i i i i i i i i i i i i i i i

sacommuniststate,withthepresidentastheheadofstateandthepremierastheheadofgov
i i i i i i i i i i i i i i i i i i i

ernment.Inthe1970s,Chinaswitchedfromacentrallyplannedtoamarket- i i i i i i i i i i i i

basedeconomy.TheAsia-Pacific EconomicCooperation(APEC) andtheAsia- i i i i i i i i i

PacificTradeAgreement(APTA) bothhaveChinaasamember (APTA). i i i i i i i i i i

B. AccordingGordonG.Chang, Thecontinualconflict between China's centralgovernment i i i i i i i i i i

andthecountry's provinceandlocalgovernmentsoverrelevantlegislation anditsadheren

i i i i i i i i i i i i i

ceornon- i i

observance isauniquesort ofpoliticalrisk.Thismakesitdifficultforenterprisesdoingbus i i i i i i i i i i i i i i i

inessinChinatounderstandtherequirements[ CITATION Cha01 \l 1033 ] i i i i i i i

C. Today,Chinahasestablisheditselfasaworld- i i i i i i i

recognizedpoliticalandeconomicforcethatplaysanimportantroleininternationalaffair i i i i i i i i i i i i

s.Althoughthequalityoflivinghassubstantiallyimprovedovertheprevioustwodecades,
i i i i i i i i i i i i i

thewealthdistribution stillfavorsthecoastalregions.Agriculturecontinuestothriveatth
i i i i i i i i i i i i i i

ecostoftheindustrial andservicesectors. Largestate-

i i i i i i i i i

ownedfirmscontinuetosufferwhilethe'non- i i i i i i i

state' sector,includingprivateentrepreneurship, prospers. i i i i i i

OnNovember11,2001,Chinabecameamember oftheWorldTradeOrganization(WTO
i i i i i i i i i i i i i

),markingoneofthemostsignificantstagesinreshaping theglobaleconomiclandscape of
i i i i i i i i i i i i i i i

the21stcentury. i i

Following China'sentrance, thecountry's servicesectorwasgreatlyliberalized, andlimit i i i i i i i i i i i

ationsonretail,wholesale, anddistribution wereeliminated. Forenterprisesinterestedin i i i i i i i i i i i i

exportingtoChina,thishasresultedinasignificantincreaseinopportunities. i i i i i i i i i i i

DespiteChina'ssubstantialpublicandexternaldebt,itslargedomesticsavingsandforeig i i i i i i i i i i i i

nexchangereservesshouldbesufficienttomeettheseobligations.Theadministrationmu
i i i i i i i i i i i i

stalsostrikeabalancebetweennecessarychanges andmaintainingpoliticalandsocialsta
i i i i i i i i i i i i i

bility.China,withitsvastassetsandthirstformodernization,isanticipatedtoovercometh i i i i i i i i i i i i i i

esechallenges andmaintainsteadydevelopment. i i i i i

D. Advantages:
 Growth
 Spreadingrisk i

 Increasingsales andprofit i i i

 Spreadingtechnicalknowledge i i

5
Disadvatages:
 Languagebarriers i

 Culturalbarriers
i

 Supply chainissues
i i

 Localtaxes
i

 Locallaws
i i

6
Portfolio Entry3:WhyInternationalise? i i i i

Proactivemotive i

Managerialurgeisamotivatorthatexpresses management's desire,motivation,andpassionf i i i i i i i i i i i i

orworldwidemarketing efforts.Managers maybeenthusiastic merely because theywanttob

i i i i i i i i i i i i i

eapartofaglobalcompany.It mightalsoserveasacompellingexcuse tovisit internationally.

i i i i i i i i i i i i i i i i i i

However, thedrivetointernationalizeisfrequentlyonlyareflectionofbroader businessambi i i i i i i i i i i i i i

tion— i

adesireforcontinualdevelopment andmarketexpansion. Managerialattitudeshaveasignifi

i i i i i i i i i i i i i

cantimpactonthefirm's exporting activity.Export choicesinSMEsmaybedecidedbyasingl

i i i i i i i i i i i i i i i i

eperson;inLSEs, theymaybemadebyagroup ofpeople.Regardless ofthenumberofindividu

i i i i i i i i i i i i i i i i i i

alsparticipatingintheexportdecision-i i i i i

makingprocess, thedecisionmaker'simpressionsofforeignmarkets,expectations forthese i i i i i i i i i i i i

markets,andthecompany'scapacitytoaccessthemallinfluencethechoiceofaforeignmarket i i i i i i i i i i i i i i i i

entrancestrategy. Theculturalsocializationofthemanagementmayalsoaidtheinternational i i i i i i i i i i i i

izationprocess.Managers whowereborn inanothercountryorwhohavelivedortraveledther i i i i i i i i i i i i i i i

emaybeconsideredtobemoreinternationalorientedthanothermanagers. Priorworkexperie
i i i i i i i i i i i i i i

nceinexporting organizations,aswell asinvolvementintradeandprofessionalassociations,

i i i i i i i i i i i i i

maystrengthenkeydecisionmakers'impressionsandassessments ofoverseas settings.

i i i i i i i i i i

Internaltrigger i

Managers thatareonthelookoutfornewprospectsinforeign marketshaveaheadstart.Theym i i i i i i i i i i i i i i i i i

akeitapointtolearneverything theycanabouttheseareasandtohaveanopenmindregarding
i i i i i i i i i i i i i i i i i i i

whereandwhentheirbusinesses shouldgrowinternationally.Manycosmopolitansmakeupt i i i i i i i i i i i i

heranksofperceptivemanagers.Frequentinternationaltravel isatriggerfactor,sinceitallow
i i i i i i i i i i i i i i

sforthediscovery ofnewbusinessprospectsorthereceiptofinformationthatleadsmanagem
i i i i i i i i i i i i i i i

enttoassumethatsuchopportunitiesexist.Managers whohavelivedabroad,acquiredaforeig
i i i i i i i i i i i i i i

nlanguage, orhaveastronginterestinotherculturesaremorelikelytoevaluateifglobalmarke
i i i i i i i i i i i i i i i i i

tingoptionsaresuitablefortheircompanysoonerratherthanlater.Managersfrequentlyjoina
i i i i i i i i i i i i i i i

companywithpriorglobalmarketingexpertiseandattempttoapplythatknowledgetotheirne i i i i i i i i i i i i i i

wcompany'soperations. Managerstypicallyexamineacompletelynewrangeofpossibilities
i i i i i i i i i i i i

whencreatingtheirgoalsintheirnewwork,oneofwhichmight beworldwidemarketingeffort i i i i i i i i i i i i i i i

s.

Nikeisanexampleofafirmthatadoptedaproactiveapproachinresponse toaccusations regar

i i i i i i i i i i i i i i i i

dingthecompany'ssupplierchainlaborconditions[ CITATION Tob12 \l 1033 ].

i i i i i i

Nike'stopexecutivesunderstoodtheywereinthemidstofasupplychainmeltdown.Theyreq
i i i i i i i i i i i i i i i i

uiredafreshapproachtocounterthemountingcriticismandenhancetheperformanceofitssu i i i i i i i i i i i i i i i

ppliers.Nikeimplementedanumberofadjustments, beginning withthedevelopmentofane i i i i i i i i i i i i i

wlaborpracticesdepartment, tobetter managesourcesofrisklinkedwithsuppliers'laborprac

i i i i i i i i i i i i i i

7
tices.Amongthemodificationswerecreateasectionforcorporateresponsibility andcomplia
i i i i i i i i i i i i

nce,assignfieldsupervisors, createaglobaldatabase, begintheprocessofenlistingthehelpof

i i i i i i i i i i i i i i i i

anoutsidespecialist.
i i i

Internally,thesemonitoringandenforcementproceduresinstilledtrust,whichwasimportant
i i i i i i i i i i i

beforethelistwasmadepublicin2005.Niketransformed theirextraordinary reactiontoitssu

i i i i i i i i i i i i i i i

pplychainissueintoalucrativemarketing opportunity,outweighing thedangersoffactoryex

i i i i i i i i i i i i i

posure.It touteditsgreateropennessasproofofitsnewcommitment tofairlaborstandards. Inf

i i i i i i i i i i i i i i i i i

act,thecorporationhasmadeitscompletetransparencyabadgeofhonorinthegarment sector.
i i i i i i i i i i i i i i i

8
Portfolio Entry4:MarketExpansion Strategies i i i i i

Thewaterfallstrategy:Thistechniqueallowsbusinesses tograduallybenefitfrom market o

i i i i i i i i i i i i i

pportunities;itisparticularly usefulforsmallbusinesses thatlackthecapacity tocovermanya i i i i i i i i i i i i i i i

reasatonce.Thenewproductisoftenintroducedfirst inthecompany'shomemarket,theninot
i i i i i i i i i i i i i i i i i

hersophisticatedareas, andultimatelyinlessadvancedmarkets,according toawaterfallappr

i i i i i i i i i i i i i

oach.Following theinitialphase, thecorporationmustexaminethenewmarketsitwillusetos

i i i i i i i i i i i i i i i i

ellitsproducts;eachmarket willbeintroducedgradually,keepinginmindthatitmustbesimila
i i i i i i i i i i i i i i i i

rtothemarketplace wheretheproductisnowsituated.
i i i i i i i i i

 Advantages:
 Allowsbusinesses withlimitedresourcestobegintheirinternationalization pr i i i i i i i i i

ocessinstagesandfindthebeststrategytoenternewmarketsbasedonprevious i i i i i i i i i i i i i i i

experience.
 WhyTheriskisdecreasedsincethefirm willapproacheachmarketinstages an i i i i i i i i i i i i i i

dmayelecttoexitifthereisanyrejectionoftheproductmarket. i i i i i i i i i i i i i

 Theprogressive introduction ofproductmarkets lengthens theproductlifecyc i i i i i i i i i i

le:[ CITATION UKE18 \l 1033 ]Productsthatarenearingtheendoftheirlifec i i i i i i i i i i

ycleinthehomemarket maybesoldinothermarkets, resulting inhigherturnov i i i i i i i i i i i i i i

erandavoiding productstorage. i i i i

 Disadvantages:
 Difficultiesintheinitialstages ifthesuccess rateislow. i i i i i i i i i i

 Early copying ofanewproduct'sinvention(s) i i i i i i i

Theshowerstrategy:Thisstrategytakesintoconsiderationthefactthatthetimespentreachi
i i i i i i i i i i i i i i

ngdifferent marketsislimited,anditsearches forthebenefitssuppliedbyeachnationatthesa

i i i i i i i i i i i i i i i i i

metime.Regardless, certaincountrygroupingsmaybeadmittedaheadofothers.
i i i i i i i i i i i

It iscomplicatedbecause thisstrategyisdifficulttoalignbranchesinothercountriesinorderto
i i i i i i i i i i i i i i i i i

generateasuccessfulproductentry inashortperiodoftime;additionally,theshortproductcyc
i i i i i i i i i i i i i i i

lenecessitates moreR&Dinvestment,resulting inthecompanyhavinglesstimetoamortizeth

i i i i i i i i i i i i i i

eseoutlays. i

 Advantages:
 Possibilityofcreatingmarketobstacles forrivals i i i i i i

 Successfulentryintomarkets i i i

 Disadvantages:
 Agrowing requirement forcoordination i i i i

 Apressingneedtobuildcoordination instrumentsquickly i i i i i i i

9
 References
Adriana Grigorescu, Alexandra Zaif. (2017). The concept of glocalization and its
incorporation in global brands’ marketing strategies. Retrieved from International
Journal of Business and Management Invention:
https://www.ijbmi.org/papers/Vol(6)1/Version-3/K0601037074.pdf
Chang, G. G. (2001). The Coming Collapse of China.
Hollensen, S. (2011). Global Marketing: a decision-oriented approach. Retrieved from
Financial Times Prentice Hall:
https://www.academia.edu/36528871/Global_Marketing_Svend_Hollensen
Robertson, R. (2012). Globalisation or Glocalization? Retrieved from Journal of Media &
Cultural Studies:
https://www.tandfonline.com/doi/abs/10.1080/13216597.1994.9751780
Tobah, B. (2012). Network for Business Susatainability. Retrieved from Nike Supply Chain
Issues - How They Turned a Crisis into Opportunity: https://www.nbs.net/articles/just-
do-it-how-nike-turned-a-supply-chain-crisis-into-opportunity
UKEssays. (2018, November). Retrieved from Motives, Triggers And Barriers To
Internationalization: https://www.ukessays.com/essays/marketing/motives-triggers-
and-barriers-to-internationalization-marketing-essay.php?vref=1
William, A. K. (2016). Globalization and Glocalization Marketing of McDonald’s. Retrieved
from international Journal of Business and Management Invention, Vol. 5 Issue 11:
https://www.ijbmi.org/papers/Vol(5)11/version-4/G051104042044.pdf

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