International Marketing Problems

Improved Essays
Businesses that want to go overseas have many factors that they need to consider in order to be successful. They must first be able to identify the typical problems companies face while trying to go overseas. They should also learn about the cultural differences that lead to marketing problems. Finally, they should also understand the importance of marketing research when entering overseas markets. There are several types of problems a company can encounter when wanting to enter a foreign market. The first problem they may face is cultural misunderstanding. Cultural misunderstandings occur because marketing managers tend to use their own cultural values and norms as their business frame instead of learning and using a foreign country 's cultural …show more content…
The first is body language. A hand shake, the way you stand, even the way you shake your hand can mean something completely different in other countries. Physical contact can also cause problems, so one has to be careful in the way they touch others. Promptness will vary by country, so one has to be aware of when their host would be expecting them. Eating and cooking are also important, and both should be researched for the country you are within. There are other social customs that one should be aware of but, again, one should do their research before trying to socialize within any foreign …show more content…
Best Buy is a company that tried to make this transition but failed due to a lack of market research. Best Buy tried making a move over to European markets in 2011 and, unfortunately, they did not last long. Their first mistake was not changing their market strategy. They “marketed themselves as too American” which signifies the company’s first mistake was formulating a cultural misunderstanding (Groth, 2011). They ran their marketing strategy from an American perspective instead of a European perspective, so they were never able to understand their new market. Furthermore, they failed because they began promoting their store openings two years in advance which gave their competitors, Dixons and Comet, a competitive edge. Lastly, they did not do any research on the European demographics. Unlike in the US, Europeans prefer to purchase from smaller shops and only buy electronics every now and

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