The first force that has an influence on the global market is Sociocultural. It affects the global business because of differences in social life and culture, particularly in religion, language, people’s values, beliefs and habits, society rules and accepted behavior. It means that in different countries people consider as a norm different things, and businesses should note this important factor and make some adaptations to every region if needed.
Using the article about Indian style of eating, which describes a popular way of eating in India, and my personal knowledge about Indian food received from communicating with Indians, I would recommend to Carla following decisions.
In case of food production preferred food and eating habits can be forces that affect the business on a large scale. The business of Carla Garcia was expanded to India – the country of very strong food habits. Indians use a lot of spices (such as curry, for example) and usually eat very spicy food.
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The most important for us in case of Carla’s problems is level of income. India has pretty low income per capita (“Income in India”). Even though there are many potential consumers because of big population, not a lot of them can afford to buy all they want (12.4% of people live in poverty). India has big inequality in income – 1% of the population earn 60% of the country income (“Poverty in India”). Because potential customer for the ready-to-eat food is middle-class worker, my suggestion for Carla is to assess if the Indians are proper choice to make a business of selling the ready-to-eat food or not. Also, In the US such things as fast food or ready-to-eat food is very popular because pace of life is significantly fast, but India has a little bit slower. Necessary to remember in case of the financial forces about the cost of goods used to make ready-to-eat food and to pack it in the particular
Wild, J. J., Wild, K. L., & Han, J. C. (2008). (CH2)Cross-Cultural Business and (CH5)International Trade,. International business: the challenges of globalization (4th ed., pp. 48, 61-62, 132, 136, 147). Upper Saddle River, N.J.: Pearson Prentice Hall.
A defining trait of every country, whether it be Italy or India, is the type of cuisine that they serve. One of the best ways to gain an understanding of a country’s culture is through their food. While some people would deem other aspects of a culture as more important, it is a feature easiest to explain and relate to. A distinguishing fact is that food is both physical and mental in that its creation takes dedication and effort; food is able to create emotions given the proper setting. As cooking traditions evolved throughout the years, to fit people’s ever changing tastes, so does the culture. They are parallel to each other in that as one aspect of culture changes, so does the food and vice versa. Two of the most popular types of foods in society today are American food, and Chinese food. The typical features of how food is prepared and made, the tastes preferred, the utensils, and the beliefs about the food's properties are all reflections of the American and Chinese cultures.
The authors identify that there are three main factors that effect how people act, think, and make decisions. The first is religion, in some countries faith plays an important role in all areas of life in the culture of the country and can influence many of their customs and behavior. The second factor is that of fact. In many countries their greatest desire is to find the best deal and the best product or services. The final factor is feeling, if a culture is based on feelings the people will conduct business accordingly. For example it would be essential to make a personal connection with this type of individual.
(Keegan & Green, 2008) pointed out the importance of culture in the industry and business – “deep cultural understanding can actually be a source of competitive advantage for global companies”. Culture as defined is “ways of living, built up by a group of human beings that are transmitted from one generation to another (Keegan & Green, 2008)”. Cultural characteristics are about the aesthetical factors; an overview about the country’s pattern of life of the people there and how it will affect the business and industry in addition to the exporting. Social institution that includes education, religion, government and business institution is an example a culture act out its way of living. Having a good quality education can help the country’s industry
Besides its economic ups and downs globalization has a tremendous effect on cultural values. World has a cultural diversity in itself. Every nation every country has its own traditions values practices of cultural activities. These create a diversity which every part of the world can be pointed out by their own characteristics. By the beginning 20th century with the effects of industrialization and common usage of communication devices and transpotation becoming faster and more comfortable economy started to play the most important role in a state's political policies. Trade became one of the main incomes of the countries and trade required close interaction between countries and decisions were started to be taken to ease traders by governments.
Today, many companies enter the global market, and some companies have become extremely successful in the global marketplace and others still struggling. In Theodore Levitt’s article “The Globalization of Markets”, he states that a well managed corporation focuses on selling standardized products with high quality and low priced instead of focuses on selling on customized products with high cost. Levitt defines the differences between multinational corporation and global corporation, and adopts many specific examples to proves his view. He defines the multinational corporation who operates in many countries and adjust its product based on the taste of specific region. This will result in a high cost to produce the product because company have to input more resource into each individual product. However, global corporation sells similar product worldwide at relative low cost. According to Levitt, the cultural differences are becoming more and more “homogenized”; therefore, becoming a global corporation will lead to the successful of the company in the global market.
Global segment include relevant new global markets, existing market that are changing, important international political events, and critical cultural and institutional characteristic of global market. When company entering the global, it automatically can increasing number of people believe or consumer in the multiple nation and this si...
...n Europe and Asia, it tends to be forgotten that this also reflects into doing business and not just social interactions. Hofstede, Hofstede and Minkov (2010) can give a listing of the differences between cultures, globally, and how these differences can be analyzed, but this does not inform people of how to act and react in other cultures outside of social interactions. According to Pye (1983), cultures can influence the way a negotiation proceeds, Maede (1969) shows that leadership is different depending on the culture of the leader and Naor (1986) and Tse, Russel and Nan (1988) conclude that marketing is not any different.
This proposal is aimed at conducting a research on the market potential for Fast Food Restaurants Services in India. It will be mainly focusing towards understanding the importance of various factors affecting the choice and the need of fast food outlets by Indian young consumers. Also, it aims to study the consumption pattern towards fast foods particularly with respect to the frequency of visits and choice of fast food outlets. It aims to study the impact of hygiene and nutritional value of fast foods on consumer purchase decisions. These services may provide an opportunity to develop a niche market. This proposal aims to study the feasibility and practicality of implementing this idea.
Food is vital to cultural identity and is much a part of a person’s culture as their language or religion. The food that people eat communicate their beliefs and social backgrounds. This essay will explore different ways that people choose to perform their identities through the foods that they prepare and eat. With the United States exportation of SPAM to the Philippines and fast food ‘glocalization’, Matejowsky highlights the importance of food choices by showing how different people in diverse countries view the same food item.
Besides this, it improves the quality of travellers' experiences as well as increase the brand image of that destination. According to Hjalager & Richards, Good food experiences at a destination also help to create and enhance positive destination brand image thus supports to market the destination more effectively as well as, to ornament the local culture to attract more tourists (2002). Bangladesh is a land of different kinds of aesthetic foods. We have traditional, ethnic, festival and regional foods which can be a memorable experience for tourists as well as enhance our culinary tourism vicinity. Unfortunately, the culinary sector in our country is not in a position which can explore as an industry. Recently, a huge amount of well-known food court and restaurants have been established around the country, especially in big cities like Dhaka, Chittagong, Sylhet and so on, with their unique servings. This huge amount of food court and restaurants also raised the importance of control and regulation as well as food safety issue. According to Syed Rashidul Hasan (1988), there are two problems related to developing culinary tourism, 1) Quality and hygienic factors of Bangladeshi food are doubted by the customer because most of our cuisines prepare the food in a dirty environment. 2) Most the ingredient of the foods is nutritious
Today, India is the second most populous country in the world. The culture of India is also among the oldest to survive, reaching back to nearly 5,000 years. India received their inde-pendence from Britain on August 15th, 1947, thus allowing them to become the most populous democracy in the world. There are many aspects as to what makes India unique, one principle in particular is their food. Indian cooking is vivid, exquisite, and simply delicious. It depends on a wide variety of spices, herbs, and grains for its specific taste. The different types of food which India carry include basic spices, traditional foods, and tasty snacks. It is notable that India has been one of the world’s main dealer of spices for at least 3,600 years.
Hence, firms do enough preparation when doing business between countries across clusters. People and places differ, and hence in global business the managers need to be well aware of the cultural differences in the areas they are concerned with. They need to develop skills to efficiently interact with other cultures when doing business. For example, a Japanese manager needs to know how to interact with a manager in the United States, and vice versa to ensure a smooth interaction between those business divisions. Decent awareness of different cultures helps managers to interact without hurting the values, relationship of people from other cultures. They will be able to effectively judge by including their behaviors as well when interpreting communication with a manager from different culture. With decent cultural awareness managers will be able to take better decisions without biasing to a cultural side, i.e. manager will be able to take intelligent decisions by considering all the nuances of the other culture. (Rugman & Collinson,
• Prior to McDonald’s entering India there was no concept of such a food category. This meant low product awareness and absence of the infrastructure (cold chain) and supply chain needed for such a business to be successful. Indian agriculture was tuned to producing for households and not for the processed food industry.
Food has been a constant need for men since ages. Surely, without food, mankind would not have survived on earth. From caveman to modern man, food has been evolving from time to time and from generation to generation, travelling all over the world thus creating globalization in the food industry. Globalization in the food industry may be defined as the process of spreading around worldwide. In other words, how food from a particular country has been adopted by another one and has been adjusted as a type of food available such as Chinese, Mexican, Italian, Indian food and many others. In today’s time, tons of food are being processed daily on grand scale, propelling heavy mass food production