Ethical Challenges In International Marketing Marketing Essay

Abstract:

Ogilvy and the Mather is one of the largest providers of marketing services in the world. It aims at delivery the platform for creating the right brand identity and accelerating the business with effective and excellent marketing communications to its multinational clients. This paper includes the Four ‘P’ i.e. are Product, Price, Promotions and Price and the strategies adopted by the company in its operations and delivering of services. The product, price, promotion and distribution strategies help in the achievement of quality and standardized services as compared to its customers. The communication strategy includes the way and the various schemes a company attempts to adopt to communicate about its products and services.

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In the later part, the ethical challenge faced by the company’s in marketing new product in a different country is discussed. Marketing ethics are rules and the regulations with the principles to be followed in the international marketing. The cultural and the legal issues to be considered in marketing new product in another country are discussed. The cultural and the legal issues must be considered so that the legal regulations and the cultural differences are not humiliated in introduction of new product in another country.

Name of the company- Ogilvy & Mather

Line of Business- Advertising, marketing communication and public relations

Countries where the company operates- United States of America, Australia Brazil and Singapore.

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Ogilvy and Mather is one of the leading advertising and marketing communications firm in the world. Ogilvy and Mather offers an Extensive range of marketing services and has established a collection of partner groups which includes line network Ogilvyone, Ogilvy Public Relations and others. They provide services to fortunes 500 companies which includes coke, American Express, Ford, Lenovo, Yahoo, Cisco, Johnson and Johnson, Kraft and Nestle.

Products – The Ogilvy and Mather is one of the largest marketing service provider in the world. The services offered by Ogilvy and Mather are as follows-

Interactive strategy – It offers services such as agency insights, interactive strategy consulting, and digital brand planning, business modelling.

Online Advertising

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Social media and marketing

Digital media and search marketing

Digital CRM

Data Analysis and Measurement

Emerging Platforms

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Brand experience

Product strategy- Ogilvy and Mather offer wide range of services to its customers. The product strategy used by Ogilvy and Mather is the creative excellence which established a value and standard of its services in the market. The strategy used for its services is to capture the area of marketing and communications by provided value added services with uniqueness to its clients. It promises to provide multidisciplinary services with the combination of creativity with effectiveness. It adopts the ‘BIG IDEA;L’ policy where it believed that ‘L’ will changes everything which means higher purposes , rallies support and provides a platform to all sort of ideas and crates demand ultimately.

(2) Price – The pricing strategy of Ogilvy and Mather is supposed to be high with best in quality and creativity. The skimming strategy is followed by Ogilvy and Mather in some few of its services where it the best player in the industry its pricing strategy , for example interactive marketing .This means they tend to change more to create a difference of their products and committing for delivery highest in quality with diversity.

The competitors of Ogilvy and Mather are Ameredia, Saatchi and Saatchi, Arnold worldwide, BBDO. The price charged by Ogilvy and Mather is less than Ameredia and Arnold who are best players in the world .The pricing strategy are based on industry positions and the long term strategy.

(3) Promotions- The services of Ogilvy and Mather are well renowned and most value in the area of marketing communications. Ogilvy and Mather initiated the concept of Evangelism which means finding the passion and the emotions of a brand , and inspiring the customers and the employers with the same. The promotional strategy adopted by Ogilvy and Mather is working in conjunction with the marketing campaign which they believe can get the product and the services into the customers notice and can new repeat customers.

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Ogilvy and Mather agency works for brand leveraging of its multinational clients by the combination of local know-how along with the worldwide network, making powerful campaigns that address local market needs and reinforcing the same for the universal brand identity. The brand building capability of the agency is the carried out by 360 Degree brand Stewardship which provides a holistic look at the communication and by using which is important from all the discipline to form a brand identity.

The communication strategy adopted by Ogilvy and Mather is to create attention and getting the message which will make a promise consistent and reliable to the brands image and the identity.

(4) Place- The agency has its marketing and communication network worldwide. The distribution strategy adopted by the company is based on the needs and the requirements in both the local and international terms.

The target market of Ogilvy and Mather is to capture the companies which have global presence. It targeted on marketing accountability providing its customers right and effective services to accelerate in their brand and business. The targeted market of Ogilvy and Mather is to capture the marketing communication of the companies and provide public relation services to its clients.

The distribution strategy pursued by Ogilvy and Mather is the creation and the platform that will drive the distribution strategy of the content. They work with the media to provide brand leverage and accelerating the brand identity of its clients. The distribution strategy includes the clients from IT sector to the Banking sector. It has the clients in various categories and industries. By delivering the quality and creative marketing and advertising solutions it helps the companies to maintain and create a brand identity in the global as well local markets.

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The two ethical challenges many companies face in the areas of ethics when marketing a product in another country-

Marketing Ethics are collections rules, principles and the moral values to be followed in the operation and the regulations of marketing activities. In the marketing of new products in another country, the companies face many challenges due to the cultural, social, and political differences in different countries. The following are the two ethical challenges faced by the companies in introducing new product in another country in the area of ethics –

Price- Price is the most important factor to be considered in marketing a new product in another country. In the marketing of new products, the product would be unknown to the country and the marketer has to create a new place for its product in a foreign country with the help of advertisement and different promotional activities. The ethical issue faced in the introduction of new product in another country is the price dumping. To attract customers and create a market for the product, low price is charged. It charges a price less than the production cost or the price charged in the home country.

Market competition- Another ethical issue faced by the marketing department in introducing new product in the foreign market is the market competition. Due to the cultural challenges the new company’s face ethical issues in marketing their products in the international market. The market is already captured the market players and the new company will face the challenges of acceptance and the competition prevailing in the foreign market. The competition in regards to taste and preferences and customers are used to few particular brands, and are not willing to shift their choice to a new product will poise a barrier to the entry of the new product.

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A legal and a cultural issue that must be considered when marketing a product in another country-

The legal issue to be considered in marketing a product in another country is the regulation of advertisements. Different countries induce different legal rules and regulation in advertising of products which must be considered in introducing new product in another country. Some products are banned from advertisements on certain media, for example, in France, large supermarket chains are allowed to be advertised T.V. In some European countries, it is illegal to discriminate price between customers and it is illegal to offer products on sale outside very narrow seasonal and percentage range. Therefore, the legal rules and regulations should be considered in advertising and selecting the media of promoting the new product in the foreign market.

The cultural issues is based on the cultural psychology of the people in a country differs from another. One of the cultural issues is vales and the attitudes of the people differ in different countries. The cultural values and the attitudes of the people must be considered in the introduction of new product in a foreign country. This also requires the national and local languages must be taken into consideration in marketing new products in the foreign country. In a country spoken language carries a great emphasis of the communication; hidden cultural meaning of the words must be needs to be considered.