E3 Journal of Business Management and Economics

E3 Journal of Business Management and Economics Vol. 2 (3) pp. 107-115, September 2011; © E3 Journals; ISSN 2141-7482

Comparative analysis of marketing integration strategies in three different marketing environments

Abstract

The paper presents the results of a study of comparative analysis of marketing integration strategies in three different marketing environments. It is observed that one of the fundamental challenges facing the multinational enterprise in the contemporary world is the decision to standardize marketing programs and practices or to tailor them according to the local conditions of the host country. A vigorous comparative methodology of matched samples at the level of statistical analysis was utilized for the study. Japanese, South Korean and Indian MNEs in Nigeria affiliates were matched on the basis of product mix, industry age, size, market served and other environmental variables to obtain certain conditions. The sample size consisted of 121 firms of Asian MNEs in Nigeria vis-a-vis 41 Japanese, 44 Indian and 36 South Korean affiliates in Nigeria. The sample was selected on the basis of products, market served and other environmental variables. The study therefore examines the marketing integration strategies in low risk environment of western Europe and USA, moderate risk environment such as south Korea, Japan and other emerging industrialized countries in Asia and high risk environment such as Nigeria and other developing countries in Africa and Latin America. The result of the study shows that the integration of product decision is uniform in the three market environments while that of price is less uniform and less high. The communication and distribution strategies vary from high integration USA to average integration (South Korea) and low integration (Nigeria)

Keywords: Low, medium and high risk environments, Centralization of marketing, Multinational enterprises, Adaptation of products, Marketing Decisions, Integration of marketing organizations and environment, Standardization of marketing subsidiaries