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M&M’s Blog goes behind the headlines to offer a running commentary on the business dynamics within the international media and marketing industry. The M&M editorial team joins forces with industry experts and local market heroes to balance a bird’s eye view of global trends with the importance of local insight.

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Globalisation

  • Making the leap to the international stage

    12 February 2013

    In the current economic climate many British businesses may be keen to explore opportunities outside the flat eurozone in order to grow and ensure they stay on track. Successive UK governments have sought to encourage more businesses to do business overseas. Despite this, only around one in five SMEs in the UK trade overseas compared to one in four in the rest of Europe.

    Making the decision to break into new international markets can be daunting for small or medium size enterprises. Researching and getting beyond the cultural veneer of a new market from afar can test a smaller business’s resources – larger corporates (the competition) could have phalanx of internal specialists and consultants carrying out these costly tasks with any red tape involved. There are also many practical issues to confront, such as due diligence on potential partners and galvanising effective on the ground sales and marketing teams.

    Having said all this, the core principles of successfully doing business and why people buy and sell do not fundamentally change and our new e-commerce world just made it a whole lot easier to reach all these people with scale. Just look at companies like Apple, Mercedes, Tesco, Accenture and the like – they are trusted brands with great ‘offers’ that have an edge in all markets and people the whole world over want them.

    Of course it is important to understand the dynamic differences in cultures across the globe to appeal to new consumers who have varying customs and ways of life, but successful global brands tap into universal consumer truths which exist across borders and successfully apply them – albeit with the relevant nuance – to the local market.

    Also we should celebrate and exploit our ‘Great’ British heritage in business success. Indeed the UK has been exporting successful locally grown assets for centuries, from soccer or golf, to Burberry and renewable energy, as was shown at the recent government series of Olympic Global Business Summits. The UK is recognised positively by many the world over for applying professionalism, innovation and drive in many areas of commerce.

    In order to drive UK business expansion overseas maybe us British need to be a little less reserved and less backward in coming forward in exploiting our strengths. There are as many opportunities out there for SMEs as there are for larger corporates in markets as yet untapped. And while the potential pitfalls are very real and need to be considered before action is taken, in many ways the principles for reaching out to regions across the globe are just the same as they are for those on home turf.

    By Stephen Maher, chief executive, MBA

    Comments (0) | Permalink

    Posted by: Bloggers' Gallery

    Tags: Globalisation

  • What brands can learn from the Ghana Think Tank

    31 August 2011

    Cross-cultural marketing is one of the most challenging disciplines in business today. Marketing to people in different socio-economic groups is difficult, but once you layer on cultural biases, the challenge increases exponentially.

    An example of how something can work well in one country, but not for another, can be taken from a visit I made to the Vava’u Island Group in Tonga. As we stepped off the plane we found a brand new control tower and baggage center, the building of which had been funded by the European Union.

    However, we did not go inside. Instead, luggage was delivered by hand at the wooden hut on the other side of the airfield, just as it had been for many years. I am sure the control tower seemed a great investment in Europe, but with only two scheduled flights a day and no one trained to use the equipment, it was completely redundant in Tonga.

    A couple of months ago, I came across a collaborative project that seeks to highlight the friction created by cultural differences, and while its focus is on community and foreign aid, I think it holds a lesson for marketers as well.

    The Ghana Think Tank seeks to solve local problems in the “developed” world using a network of think tanks in the “developing” world. These think tanks analyze the problems and propose solutions, which are put into action back in the community where the problems originated (irrespective of how practical the ideas might be).

    Part public art and community action project, the Ghana Think Tank is the brainchild of Christopher Robbins, whose experience as a Peace Corps Volunteer taught him that developed world advice can often be nonsensical in the context of the developing world. 

    As an example, when the Ghana Think Tank visited Westport, Connecticut (one of the wealthiest towns in the U.S.), problems stated by residents included pesticide use, barking dogs, lack of diversity, and speeding traffic. The think tank proposed that Westport could solve its problems of lack of diversity, inter-generational mixing, and sense of isolation by having weekly walks to the neighbors. Christopher Robbins reports on the success of this solution as follows:

    The Armstrongs volunteered first. They stopped off at a bunch of neighbors they didn’t know, crashed a birthday party, even got brought through one neighbor’s backyard to the river and  offered use of their canoes. The youngest son absolutely loved it. He kept saying “this is working! This is really working! We should do this every week.”

    In this case, the suggested solution seemed to work, but many do not, instead highlighting the vast cultural differences that still divide us.

    In the world of marketing it is often assumed that what worked for a brand in its home country is bound to work elsewhere in the world. Even when a brand is adapted to meet local functional and economic needs, it is tough for people responsible for the brand at the center to suspend their mindset regarding what the brand should stand for, and how best to execute its positioning.

    The tension between global and local teams was a theme that ran through all the interviews I conducted for The Global Brand. Two solutions proffered by my interviewees were developing a sense of humility at the center and the use of common metrics. The former allows the center to quickly recognize the power of locally-originated ideas, and the latter allows the center to demonstrate the success of those ideas and encourage others to learn from them.

    Do you know of any companies that actively use cross-cultural think tanks to promote best practices? Do you have any examples you can share? Please let me know.

    Comments (0) | Permalink

    Posted by: Nigel Hollis

    Tags: Globalisation

  • Digital media facilitates localisation as well as globalisation

    25 July 2011

    In my book, The Global Brand, I highlighted contrasting trends towards globalization and localization and last year, I reported on one localization trend that is still going strong: the rise in the number of farmer’s markets.

    At the time I could not substantiate the other localization trends, but news that teenagers are reviving local languages via social media suggests that this trend is also alive and well.

    While some people are deliberately trying to use crowd sourcing to revive dying languages, others are using these languages to be cool. Bizarre though it might sound, teens in southern Chile are producing hip-hop videos and posting them on YouTube using Huilliche, a language on the brink of extinction.

    This came to my attention via Mobiledia, which also reported that Samuel Herrera, who runs the linguistics laboratory at the Institute of Anthropological Research in Mexico City, discovered teens in the Philippines and Mexico who think it's cool to send text messages in regional endangered languages like Kapampangan and Huave.

    The post posits that the attraction of these languages is that they offer exclusivity now that texting abbreviations have become commonplace. While this sounds a perfectly reasonable explanation, I believe that the use of languages like these is simply part of a larger need to affirm local cultural identity in the face of increased globalization.

    Another data set that points to the same conclusion is one far more relevant to marketers: local pages for global brands in social media. Millward Brown's Dave Barrowcliff sent me this link to socialbakers.com that demonstrates that country specific fan pages tend to be more engaging than their global equivalent.

    Indeed I reported in The Global Brand that YouTube found dwell time was far higher on its country specific sites than on the global one. The reason is simple. On a country specific site, people tend to share the same cultural frame of reference, sense of humor and language. It is easier and more enjoyable to express your ideas and share them with other people when they are quick to “get it.”

    Findings like these should give pause to the people who assume that because the Internet is global, they must present a unified global face to their brand online. Some consistency may be required but how it is expressed may well need to differ locally.

    Does anyone have any other examples of increasing localization to share? Do you think these trends are likely to last?

    Comments (0) | Permalink

    Posted by: Nigel Hollis

    Tags: Globalisation

  • On the hunt for challenger brands

    13 July 2011

    M&M is on the hunt for biggest and best Global Challenger Brands to feature in the next issue of M&M.

    We are looking for brands that might not yet have a global reach but are dominant enough in their home market to have the big global players paying attention – or they soon will be! 

    For example, in China think of Li Ning, possibly the biggest sports brand you have not heard of, or the sweets manufacturer Hsu Fu Chi which was recently acquired by Nestle.

    M&M’s ‘Next 100’ will feature in the Q4 issue. To make sure that your favourite brand is included email jenni@csquared.cc with the name of the brand and the country where it is based.

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: Globalisation, Emerging Brands

  • Digital + emerging markets = too much chatter

    10 May 2011

    PHD’s Mike Cooper drew a parallel between the industry focus on digital and that on emerging markets. “Just as you spend a disproportionate time talking about emerging markets because they are the future, so you spend a disproportionate amount of time talking about digital because it is the future,” he said.

    While digital represents the future, it’s also helping traditional channels.

    “Digital and all the forms of digital are at the top of the list but I’m beginning to see a tipping point toward the innovation across traditional,” said Laura Desmond, referring to an increasing emphasis on address-ability, digital out of home, and publications on tablet devices.

    Comments (0) | Permalink

    Posted by: Josh Colley

    Tags: Mobile, Social Media, Online, Globalisation, Festival of Media Global

  • Clients demand digital accountability

    10 May 2011

    Digital is suffering thanks to its status as a fledging media was the verdict in a Q+A with agency senior execs from across the industry.

     “The focus on what digital will deliver to me is much more intense, perhaps unfairly,” said ZenithOptimedia’s, John Taylor. “TV has been around for a long time you, even if there’s only 10% of digital they want to know exactly what it will deliver. Let me learn for the future and how this is going to grow.”

    Comments (0) | Permalink

    Posted by: Josh Colley

    Tags: Mobile, Social Media, Online, Globalisation, Festival of Media Global

  • Has your travel budget been reinstated?

    03 March 2011

    M&M is looking to update its Media Traveller columns for 2011.

    Do you know the best hotel in Paris or best restaurant in New York? Why not share your expertise with your peers and give a fellow traveller a hand?

    Your top tips will feature online in our Media Passport section and possibly in the magazine as well!

    We are currently looking for tips on travelling to major cities in Argentina, Australia, Belgium, Brazil, China, Denmark, Finland, France, Germany, India, Italy, Japan, Mexico, Netherlands, Norway, Poland, Russia, Singapore, South Africa, Spain, Sweden, Turkey, UAE, UK, US

    Email martina@csquared.cc for more details

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: Globalisation

  • A match not made in sustainable heaven

    20 January 2011

    Just when you think that there is a Starbucks on every corner of the world it turns out that there is not one in India!

    Well not for much longer. According to reports in the Financial Times, Starbucks will be setting up shop within a number of weeks and R K Krishnakumar, chairman of Tata Coffee which is partnering with Starbucks for the launch, is very excited!

    “Within six months you should be able to have a Starbucks coffee in Mumbai that will be exactly like the one you would have in New York or Paris,” he is quoted as saying.

    I know I have been called cynical on a few occasions and hands in the air I love Starbucks in a crazy way but I find this pairing odd.

    While India is a booming economy it still has its issues, one example being making a lack of access to clean drinking water for everyone.

    Starbucks also has its woes and coincidentally they are also waters ones. They have been accused countless times of wasting millions of gallons of water a day with its ‘running water policy’.

    The coffee chain leaves its taps running in stores all day to ensure clean utensils, makes me wonder how they are going to continue defending this  policy in a country where not all have access to the same commodity that – sorry for the pun – it just throws down the drain.

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: Sustainability, Globalisation

  • Calling all Media Travellers!

    10 January 2011

     World Travel

    M&M is looking to update its Media Traveller columns for 2011.

    Do you know the best hotel in Paris or best restaurant in New York? Why not share your expertise with your peers and give a fellow traveller a hand?

    Your top tips will feature online in our Media Passport section and possibly in the magazine as well!

    We are currently looking for tips on travelling to major cities in Argentina, Australia, Belgium, Brazil, China, Denmark, Finland, France, Germany, India, Italy, Japan, Mexico, Netherlands, Norway, Poland, Russia, Singapore, South Africa, Spain, Sweden, Turkey, UAE, UK, US

    Email martina@csquared.cc for more details

    Comments (0) | Permalink

    Posted by: Martina Lacey

    Tags: Globalisation

  • M&M goes Miami Vice

    21 October 2010

    Like everyone iMiami Vicen the industry, M&M enjoys travel. So, the prospect of hitching a flight out to Miami to take in the sights and sounds of the the Festival of Media caused much excitement and hurried suitcase packing.

    Speedos? Check. SPF50 Sun Lotion (We are coming from the UK)? Check. Super-sized tub of extra strong hair gel? Check. Novelty Brightly Coloured Extra Large Plastic Sunglasses? Double Check.

     

    Of course, there is a jam-packed agenda with speakers from Twitter, AB InBev and the former president of Mexico to take in the insights on the Latin American media landscape on a local and global scale.

    If you want to get the latest info and insight on what's happening at the festival then be sure to check the M&M blog regularly and you can follow us on Twitter (@mandmglobal) for the very latest happenings.

    Comments (0) | Permalink

    Posted by: Josh Colley

    Tags: Globalisation

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