When managers attempt to standardize their international marketing program, they can expect

journal article

The Perennial Issue of Adaptation or Standardization of International Marketing Communication: Organizational Contingencies and Performance

Journal of International Marketing

Vol. 10, No. 3 (2002)

, pp. 1-21 (21 pages)

Published By: Sage Publications, Inc.

https://www.jstor.org/stable/25048897

Abstract

The author investigates the standardization/adaptation issue in international advertising from an organizational perspective, introducing two variables: knowledge of local market conditions at the center (exporter/headquarters level) and headquarters' influence on local marketing decisions. The author interviewed 150 Norwegian exporters by mail on their experience in this respect. The results reveal that the two dimensions indeed have some impact on how firms develop their international marketing strategies. Knowledge of local market conditions seems to play an overriding role, leading to a more standardized approach by firms. Not surprisingly, centralized decision power seems to lead to more negative reactions at the intermediary level. In contrast, firms that have a more relaxed stance on the standardization issue and leave the marketing decisions to the local representatives seem to have better relations with these representatives than do other firms. The author discusses implications for global brand management and research.

Journal Information

Journal of International Marketing is an international, peer-reviewed journal that is dedicated to advancing international marketing practice, research, and theory. Contributions addressing any aspect of international marketing are welcome. The journal presents scholarly and managerially relevant articles on international marketing. Aimed at both international marketing/business scholars and practitioners at senior- and mid-level international marketing positions, the journal's prime objective is to bridge the gap between theory and practice in international marketing.

Publisher Information

Sara Miller McCune founded SAGE Publishing in 1965 to support the dissemination of usable knowledge and educate a global community. SAGE is a leading international provider of innovative, high-quality content publishing more than 900 journals and over 800 new books each year, spanning a wide range of subject areas. A growing selection of library products includes archives, data, case studies and video. SAGE remains majority owned by our founder and after her lifetime will become owned by a charitable trust that secures the company’s continued independence. Principal offices are located in Los Angeles, London, New Delhi, Singapore, Washington DC and Melbourne. www.sagepublishing.com

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Abstract

The topic of standardization of international marketing programs represents an important issue faced by managers of global firms and has significant research attention. Although previous research has established that standardization enhances performance outcomes, more recent theorizing suggests that this may not always be the case. However, empiri-cal investigators have paid little systematic attention to moderating conditions. The major purpose of this article is to investigate the organizational factors that moderate the standardization–performance relationship and, thus, to explore the types of firm for which standardization is particularly beneficial. The authors examine survey data from 489 firms, and their results indicate that the standardization–performance link is significantly stronger for large firms with a homogeneous product offering, high levels of global market penetration, a cost leadership strategy, and strong coordination capabilities. The authors conclude that managers evaluating the adequacy of a standardization strategy should consider the list of contingencies advanced in this research.

Journal Information

Journal of International Marketing is an international, peer-reviewed journal that is dedicated to advancing international marketing practice, research, and theory. Contributions addressing any aspect of international marketing are welcome. The journal presents scholarly and managerially relevant articles on international marketing. Aimed at both international marketing/business scholars and practitioners at senior- and mid-level international marketing positions, the journal's prime objective is to bridge the gap between theory and practice in international marketing.

Publisher Information

Sara Miller McCune founded SAGE Publishing in 1965 to support the dissemination of usable knowledge and educate a global community. SAGE is a leading international provider of innovative, high-quality content publishing more than 900 journals and over 800 new books each year, spanning a wide range of subject areas. A growing selection of library products includes archives, data, case studies and video. SAGE remains majority owned by our founder and after her lifetime will become owned by a charitable trust that secures the company’s continued independence. Principal offices are located in Los Angeles, London, New Delhi, Singapore, Washington DC and Melbourne. www.sagepublishing.com

Rights & Usage

This item is part of a JSTOR Collection.
For terms and use, please refer to our Terms and Conditions
Journal of International Marketing
Request Permissions