Recommendations

Following are some recommendations based on theory analyzes and Wal-Mart international growth experience. Common advices to Wal-Mart are submitted further:

§ Point out that cross-cultural research is necessary before the entry to a new market. It can help to avoid losses and find hidden opportunities.

§ Keep in mind A-B-C-D Paradigm and do not make such mistakes like in Germany with under-estimate of consumer habits.

§ Adapt marketing mix strategy according to cultural investigation results.

§ Recruit host marketing managers team, who knows cultural «secrets» and can help in their profitable use.

§ Mark that adaptation time in different countries varies, so different types of entrance can be used. Somewhere it is better to start with joint ventures and partnerships (Asia), in other places quick entry is proffered (Russia, Latin America).

§ Estimate a level of brand loyalty and ethnocentrism feelings.

§ Increase and develop Sam’s Club system, especially in developing countries because of their sense of collectivism.

§ Vary a policy of low-costs in countries, where consumers used to have usual discounts and sales.

§ Think more about the choice of place for stores. For example, in Russia in big towns, where the problem of traffic-jams is awful, consumers prefer the nearest supermarket instead of the cheapest one.

§ In developing countries start or continue growth in huge towns, because here consumers are much opened, not so conservative like in countryside. They change their habits much likely. Moreover, it is a big difference between the income of city-citizens and others, so more profit can be done in towns.

§ Continue a plan of growth in developing countries, where low-cost policy ought to be very popular and competition level is not high as, for example, in Europe.

Conclusion

To sum up, what works in one country will not have any success in another. Every country needs an appropriate adaptation of current marketing policy according to its consumer’s attitudes, beliefs and buying preferences. Marketing managers of such a big company as Wal-Mart should have answers to a great number of complex questions about potential customers’ habits. For example: «Where a typical Russian consumer prefer to buy foodstuffs (in a local shop or in a huge out-of-town hypermarket) & how often he / she goes shopping & how many products he/she buys, e.t.c.». This knowledge can give company new opportunities. Sometimes it helps to find out cultural needs which competitors are just ignoring. It is company’s advantage, chance to achieve the planned success and necessary market share.

Wal-Mart made a lot of cultural mistakes during its international growth, but now company has an excellent opportunity to make up leeway and make profit in developing countries. The only thing is that its managers should not ignore cultural differences and their impact on consumer behavior. In the future to gain success Wal-Mart need to work hard in the area of cross-cultural analyzes and after that change company’s strategy according to results. This work claims a lot of time, money and workforce, but it should be done to maximize profit and avoid losses. Nonetheless, with help of its policy of low-costs, now Wal-Mart has a brilliant chance for growth and development.

Literature

1. Cateora P.R./Graham J.L. (2002): International marketing, eleventh edition, New York, USA, p.97-149.

2. Chan A. (2011): Walmart in China, New York, USA, p. 13-97.

3. Keegan W.J./Green M.C. (2003): Global Marketing, third edition, New Jersey, USA, p. 132-171.

4. Kotabe M./Helsen K. (2008): Global marketing management, fourth edition, USA, p.110-148.

5. Raju P.S.(1995): Consumer behavior in Global Markets: the A-B-C-D paradigm and its application to Eastern Europe and the Third World, in: Journal of Consumer Marketing, 12(5),

p. 37-56.

Дата добавления: 2015-11-14