Influence The Operations Of Multinational Firms Essay

Question:

Discuss about the Influence the Operations of Multinational firms and discover how these issues are tackled.

Answer:

The marketing research demonstrates that the proposed marketing campaign for the promotion of Adidas in the UK needs to change. The marketing campaigns support the organization to promote their sale in cross-culture nation by considering many methods like sales promotion, public relation, and public selling. Through market analysis, it is found that organization should need to make their unique image by using appropriate technique. Hence, Adidas should use sales promotion rather than another method to promote their marketing campaign and enhance their sale in the UK. The sale promotion facilitates the organization to promote their product by including media and non-media marketing communication method. It is the best way to enhance the consumer demand in the least time.

Sales promotion

Adidas should use sales promotion method because it enables the organization to make an effective relationship with consumers by engagement and retention. Sales promotion could be supportive for promoting unique characteristics of product and services among the target consumers. On behalf of marketing research, it is found that 75% of people are influenced by effective promotion hence the organization should use sales promotion method and directly communicate with them towards their products and services. The following factors demonstrate advantages of sales promotion method in advertising of marketing campaign:

  • Unique image
  • Communication opportunity
  • Word of mouth
  • Identify the reason for purchasing
  • Focused marketing approach
  • Creates higher information sources

Unique Image

A company should need to differentiate their brand to survive in the marketplace, a sales promotion could be an exemplary method to create a brand stands out in the crowd. It also facilitates Adidas to make unique value to the consumer by unique experience and build a reason for buying the company product.

Communication opportunity

Communication is a way by which a company is capable to make formidable relationships with customers, which makes a unique brand image in the marketplace. Through sales promotion, an organization would be capable to converse on packaging and concentrate on the campaign. It will also help to obtain a positive outcome in the context of the brand.

Word of mouth

Word of mouth is also an essential method that would allow Adidas to obtain a positive result in the least investment. This method is a positive form of communication because it is coming from colleagues and friends as they believe in the brand. Hence, the organization should always give a positive experience to consumers because they will share their positive feeling to their friends and colleague. This method will support to make a positive impact on the profitability of the company.

Identify the reason for purchasing

The sales promotion method enables an organization to make an effective decision making to purchase a particular product. It is very complicated for the organization to sell their products and services in the marketplace if the market player offers similar product and service. Therefore, the organization should make an additional feature of the products and services as it could be effective to influence consumers.

Creates higher information sources

Sales promotion could also support Adidas to use email method and contact with consumers to understand the needs of consumers and fulfill their desire needs by offering a quality product to targeted consumers. The sales promotion also facilitates the company manage the risk of promotion and obtain higher revenue.

By refocusing on a marketing campaign by sales promotion method Adidas will be capable to enhance the sale of products and services in the targeted market. The organization should focus on the young adults as it would support the company to increase the market share through an effective marketing campaign

Justification

Specific recommendations presented in the memorandum with reference to relevant cross-cultural literature and concepts

Concept of cross culture

The cross culture is determined as organization initiatives to enhance understanding of many groups by developing effective communication method to reach out to their market. The cross-culture method enables the organization to directly interact with different background consumers to launch their product and services in the specified marketplace (Armstrong, et al., 2015).

The cross-culture could direct impact on the sale of the company (Baker, 2014). Hofstede model is used to determine the culture of UK and success of marketing campaign. Hofstede model considers certain factors like power distance, individualism, Masculinity, Uncertainty avoidance, long-term orientation, and Indulgence. The following result is obtained by Hofstede model:

(Source: Hofstead Insights, 2018)

Power Distance

The power distance determined as the degree of power between higher powerful and less powerful members of organization within the specified country (Zeritiet al., 2014). The obtained value is 35 that demonstrate less inequality in power hence Adidas would easily influence the consumers of UK by offering equal opportunity for them. In addition, it is found that Adidas could offer the equal opportunity to their consumers due to getting higher success. Adidas can make a unique image in the specified marketplace for effectively promote their campaign and obtain a positive outcome (Ashley and Tuten, 2015).

Individualism

The obtained value of individualism is 89, which demonstrates that customers are loyal towards the brands in the UK. It also indicates that consumer gives more preference to their freedom, privacy, and need (Kotler, 2015). Hence, it can be said that Adidas can use effective communication method to promote their market campaign in the UK.

Masculine

The obtained value of masculine is obtained 66 that is more than average value thus it demonstrates the company will be driven by success, competitions, and achievement (Kang, et al., 2014). It also shows that people of UK are believed in quality and performance of the company. The higher masculine demonstrates that customers of UK give the value to the feelings of pride rather than status hence Adidas should give more value to consumer needs for implementation of a marketing campaign in the UK. Moreover, Adidas can offer the positive experience to their consumers as it would facilitate the organization to effectively promote their market campaign and obtain a higher benefit.

Uncertainty avoidance

The obtained value of uncertainty avoidance demonstrates is 35, which are lower than average. It indicates that customers of UK believe in the innovative products and services (Mendez, et al., 2015). Therefore, Adidas can give the reason to consumers for purchasing their products and services by offering innovative products. Thus, it is also analyzed that lower uncertainty avoidance indicates that Adidas could be capable to launch their marketing campaign in the UK.

Long-term orientation

The obtained value of long-term orientation is 51 that indicates more than the average value that demonstrates the curious that is strongly associated with the religiosity and nationalism. The obtained value indicated that the normative nature of UK people, which means consumer concentrate on the cause of selecting particular product and services (Mesman, et al., 2016). Hence, Adidas can make a unique image in the marketplace by differentiating their products and services from the competitors, it will make a different image in the consumer’s mind. Adidas can give the value to their consumers for making a positive relationship with them. Moreover, it is also analyzed that lower long-term orientation indicates that company would be capable to implement their marketing campaign in the UK.

Indulgence

Indulgence demonstrates how much people enjoy their life and having fun. The obtained value of indulgence is 69 that is high, which means people believe in living their life with fun. Adidas can use higher information sources and directly communicate with the consumers (Montano and Kasprzyk, 2015). Hence, it can be said that marketing campaign could be successful in the UK because people believe in enjoying their life.

Justification of specific recommendations presented in the memorandum

Adidas can use a marketing campaign to promote their product and services by considering sales promotion method. Following are many causes of using sales promotion techniques for promoting marketing campaign in the UK:

Increase Brand Awareness

Adidas can promote their product and services by involving many online methods like radio, magazine advertising, and television that could support to gain the awareness of the brand (Thanh, 2014). It is also found that customers tend to learn more towards particular organization if they frequently hear about them. Through sales promotion, Adidas would be capable to improve increase the awareness of product and services in the least time and cost. The brand awareness level is measured by specified competitors.

Provide Information

Adidas could use the sales promotion technique to offer the adequate information about their products and services by their campaign. Adidas could imply both online and offline method to promote their products and services in the marketplace by considering the marketing campaign. Promotion is the best way to identify each stage of buying process as it would support to enhance the possibilities of successful implementation of the campaign. Adidas could use promotional method for enhancing awareness about price, cost and product features to the consumers (Wang, et al., 2014).

Increase Customer Traffic

Adidas can use the promotional technique for increasing consumer traffic. The organization could imply morganatic card for tracking each purchase of consumers. The frequencies of card advertising are designed for attracting the consumers and retain them for the long term. New consumers could be influenced by promotion if they are aware of product and services of the company (Almond and Verba, 2015).

Build Sales and Profits

The main goal of using promotional methods is to gain the sales and profits of the company in the least time and cost. There are certain methods that could be considered by the organization to promote their goods and services like public relation, advertising, and sales promotion. Adidas can use sales promotion method to effectively promote their campaign and obtain a positive outcome (Goldstein, 2015). The promotion method also enables the company to target people to try a product of the company. If company invest a high amount of capital in the promotion then company expect to obtain higher profit. Thus, it can be said that effective strategy could enhance the success of marketing campaign in the marketplace.

Encourage Repeat Purchases

The sales promotion method support organization for enhancing repeat purchase. Adidas could make an emotional link with people to positively encourage them for enhancing their consumers. For example, airlines and hotels sectors use reward structure to encourage their consumers and make a long-term relationship with Hence, it can be said that Adidas can also imply reward structure and encourage their specified consumers to repeat the purchasing and obtain a reliable result. Adidas can also use the discount card and reward card to facilitate consumers as it would facilitate them to easily increase the possibility of purchasing in the UK (Greenfield and Cocking, 2014). Hence, it can be said that sales promotion could support to promote their campaign in the marketplace.

Attracting New Consumers with Price

Adidas can offer th4e reliable price to their specified consumers as it would lure consumers away from competitors that could support to make loyal consumer. Adidas can also offer many discounts on their products and services to obtain a reliable result. It could also support to enhance the possibility of success. Beside this, it can also be said that Adidas can also create an attractive name for their campaign due to influencing consumers and promoting their products and services (Greenfield and Cocking, 2014).

References

Almond, G. A., and Verba, S. (2015) The civic culture: Political attitudes and democracy in five nations. USA: Princeton University Press.

Armstrong, G., Kotler, P., Harker, M., and Brennan, R. (2015) Marketing: an introduction. USA: Pearson Education.

Ashley, C., and Tuten, T. (2015) Creative strategies in social media marketing: An exploratory study of branded social content and consumer engagement. Psychology and Marketing, 32(1), pp.15-27.

Baker, M. J. (2014) Marketing strategy and management. UK: Palgrave Macmillan.

Goldstein, S. (2015) Cross-cultural explorations: Activities in culture and psychology. UK: Routledge.

Greenfield, P. M., and Cocking, R. R. (Eds.). (2014) Cross-cultural roots of minority child development. USA: Psychology Press.

Hofstead Insights (2018) Country comparison. [Online]. Available at: ( (Accessed: 11 April 2018).

Kang, J., Tang, L., and Fiore, A. M. (2014) Enhancing consumer–brand relationships on restaurant Facebook fan pages: Maximizing consumer benefits and increasing active participation. International Journal of Hospitality Management, 36, 145-155.

Kotler, P. (2015) Framework for marketing management. USA: Pearson Education India.

Mendez, M., Bendixen, M., Abratt, R., Yurova, Y., and O’Leary, B. (2015) Sales promotion and brand loyalty: Some new insights. International Journal of Education and Social Science, 2(1), pp.103-117.

Mesman, J., van IJzendoorn, M. H., and Sagi-Schwartz, A. (2016) Cross-cultural patterns of attachment. In Handbook of attachment: Theory, research, and clinical applications (pp. 852-877). USA: Guilford New York, NY.

Montano, D. E., and Kasprzyk, D. (2015) Theory of reasoned action, the theory of planned behavior, and the integrated behavioral model. Health behavior: Theory, research and practice, pp. 95-124.

Strauss, J. (2016) E-marketing. UK: Routledge.

Thanh, P. T. H. (2014) Implementing Cross-Culture Pedagogies. Singapore: Springer.

Wang, J., Solan, D., and Xu, B. (2014) Cross-culture integration and global new product development. USA: Sage.

Zeriti, A., Robson, M. J., Spyropoulou, S., and Leonidou, C. N. (2014) Sustainable export marketing strategy fit and performance. Journal of International Marketing, 22(4), pp. 44-66.

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