Effects of Advertising in International Marketing

The effect of globalization on business worldwide cannot be overstated. The phenomenon of the world becoming a global village has led to the rise of multinational enterprises (MNEs). As Kleinert (2001) aptly states, “MNEs are the vehicles that have fostered international trade, international knowledge transfer and technological advancement.”

The very existence of a “multinational” entity implies the need for the business to span across diverse cultural beliefs, languages and norms .It is thus imperative that cultural diversity is considered closely when forging business strategies of MNEs.

Undoubtedly, various factors have contributed significantly to the ascent of MNEs. A factor such as the increased prominence of the internet has brought about easy access to information especially in business decision making and in gaining access to prospective consumers. Also, technological advancement has aided the creation of MNEs. This is because easy machines for communication, fast travel and advertisement have helped allow business owners to have good control of their business from anywhere they find themselves worldwide. Another pivotal factor said to aid MNE business success is the MNE’s ability to adopt the local language of its host country in advertisement, recruitment and sales. Meija and Palich (1997) buttress this point by stating that “The host country’s language is the most distinctive cultural feature that an MNE must leverage on when seeking business success in a foreign country.”

The effect of the differences in cultural beliefs and arrangements in various countries suggests that the factors to consider when starting and managing an existing MNE differ from place to place. In terms of the above mentioned factors, cultural ...

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...ssful business terrain upon entry.

Works Cited

Kleinert, J. (2001), “The Role of Multinational Enterprises in Globalization: An Empirical Overview,” Kiel Working Papers No. 1069(2001) 1-32. Available at: http://scholar.google.com/scholar?hl=en&q=The+Role+of+multinational+enterprises+in+globalization&as_sdt=0%2C5&as_ylo=&as_vis=0 Accessed: 3rd March, 2012.

Gomes- Meija, L. R. and Palich, L.E. (1997), “Cultural diversity and the performance of multinational firms.” Journal of International Business Studies, Vol. 28, No. 2 (2nd Qtr. 1997), pp. 309-335. Available at: http://www.jstor.org/page/info/about/policies/terms.jsp Accessed: 3rd March, 2012.

MTN Online Website (2010), “MTN Reassures Nigerians of Enhanced Customer Service.” Available at: http://www.mtnonline.com/news/general/mtn-reassures-nigerians-of-enhanced-customer-service Accessed: 3rd March, 2012.