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50 years of research on international standardization and adaptation--From a systematic literature analysis to a theoretical framework

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  • Schmid, Stefan
  • Kotulla, Thomas
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    Abstract

    When going and operating abroad, firms face the challenge of finding the optimal balance between standardizing and adapting their marketing strategies across national borders in order to be successful. In this contribution, we present the major results of a systematic literature analysis in the field of international marketing standardization/adaptation. Based on our findings, we introduce a theoretical framework combined with the concept of situation-strategy fit. This framework serves as a basis for providing theoretically grounded and empirically testable recommendations regarding performance-enhancing strategies of international product standardization/adaptation in given situations. We argue that a high degree of international product standardization is likely to enhance foreign product profit, as compared to all alternative strategies, if there is (1) a high cross-national homogeneity of demand, (2) a high potential for cross-national economies of scale, (3) a high cost of product modification, (4) a high foreign price elasticity of demand, (5) a small perceptual error of the managers, and (6) a high quality of strategy execution. By presenting the state-of-the-art knowledge in the field and by introducing a novel theoretical framework, our paper has important implications for both scholars and managers in the fields of international marketing and international business.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 20 (2011)
    Issue (Month): 5 (October)
    Pages: 491-507

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    Handle: RePEc:eee:iburev:v:20:y:2011:i:5:p:491-507

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    Related research

    Keywords: Adaptation Globalization International marketing strategy Literature review Localization Situation-strategy fit Standardization Theoretical framework;

    References

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    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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    1. Pankaj Ghemawat, 2003. "Semiglobalization and international business strategy," Journal of International Business Studies, Palgrave Macmillan, vol. 34(2), pages 138-152, March.
    2. Theodosiou, Marios & Leonidou, Leonidas C., 2003. "Standardization versus adaptation of international marketing strategy: an integrative assessment of the empirical research," International Business Review, Elsevier, vol. 12(2), pages 141-171, April.
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    18. Shoham, Aviv & Albaum, Gerald, 1994. "The effects of transfer of marketing methods on export performance: an empirical examination," International Business Review, Elsevier, vol. 3(3), pages 219-241, September.
    19. James J Ward, 1973. "Product and Promotion Adaptation by European Firms in the U.S," Journal of International Business Studies, Palgrave Macmillan, vol. 4(1), pages 79-85, March.
    20. Leonidou, Leonidas C. & Katsikeas, Constantine S. & Samiee, Saeed, 2002. "Marketing strategy determinants of export performance: a meta-analysis," Journal of Business Research, Elsevier, vol. 55(1), pages 51-67, January.
    21. Bianchi, Constanza C. & Ostale, Enrique, 2006. "Lessons learned from unsuccessful internationalization attempts: Examples of multinational retailers in Chile," Journal of Business Research, Elsevier, vol. 59(1), pages 140-147, January.
    22. Bagwell, Laurie Simon & Bernheim, B Douglas, 1996. "Veblen Effects in a Theory of Conspicuous Consumption," American Economic Review, American Economic Association, vol. 86(3), pages 349-73, June.
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    25. Walters, Peter G.P. & Whitla, Paul & Davies, Howard, 2008. "Global strategy in the international advertising industry," International Business Review, Elsevier, vol. 17(3), pages 235-249, June.
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    Cited by:
    1. Mohammad Movahedi & Olivier Gaussens, 2013. "Les effets de l’exportation sur l’innovation et la productivité : Analyse empirique sur un échantillon de PMI," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201307, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
    2. Helm, Roland & Gritsch, Stephanie, 2014. "Examining the influence of uncertainty on marketing mix strategy elements in emerging business to business export-markets," International Business Review, Elsevier, vol. 23(2), pages 418-428.
    3. Poulis, Konstantinos & Poulis, Efthimios & Plakoyiannaki, Emmanuella, 2013. "The role of context in case study selection: An international business perspective," International Business Review, Elsevier, vol. 22(1), pages 304-314.

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